Form 8910: Alternative Motor Vehicle Credit

Form 8910 is an Internal Revenue Service (IRS) document used to calculate and claim the credit for certain alternative motor vehicles you placed in service during your tax year. It's important to note that this credit expired for vehicles purchased after December 31st, 2021. However, if you bought a qualifying vehicle in 2021 and placed it in service in 2022, you may still be eligible to claim the credit for tax year 2022.

What is the Purpose of the Credit?

The Alternative Motor Vehicle Credit was introduced to incentivize the purchase of environmentally friendly vehicles. By lowering the tax burden for qualified vehicles, the government aimed to encourage a shift towards cleaner transportation.

Who Should Use Form 8910?

Original Purchasers: Only the original purchaser of a qualifying alternative motor vehicle placed in service during the tax year can claim the credit using Form 8910.

Partnerships and S Corporations: These entities must also use Form 8910 to claim the credit for qualified vehicles.

Personal vs. Business Use:

  • If you didn't use the vehicle for business or investment purposes and didn't claim the credit through a partnership or S corporation, you can skip certain sections of the form.
  • For vehicles used for business or investment, the credit is treated as a general business credit.

Can I still claim the credit for a vehicle purchased in 2023?

No, the credit is not available for vehicles purchased after December 31st, 2021. You can explore the Qualified Plug-In Electric Drive Motor Vehicle Credit claimed on Form 8936 for newer electric vehicles.

What happens if I miss the deadline to claim the credit?

Generally, you cannot claim the credit for a tax year after the filing deadline (including extensions) for that year has passed. However, it's always best to consult with a tax professional for specific situations.

Can I claim the credit for a Tesla on Form 8910?

No, unless your Tesla is a fuel cell electric vehicle (FCEV). The credit primarily applies to FCEVs. The Qualified Plug-In Electric Drive Motor Vehicle Credit (claimed on Form 8936) is typically used for electric vehicles like Teslas.

What information do I need to complete Form 8910?

You'll need details about the vehicle, including the Vehicle Identification Number (VIN), model year, and the date you placed it in service. Additionally, gather information on the credit amount based on the specific vehicle and your tax situation.

Where do I find the Form 8910?

You can download the Form 8910 attached below.