Electric Vehicle Incentive Landscape
Several federal programs were enacted to make the electric vehicle charging infrastructure more cost-effective for taxpayers. Electric vehicle (EV) incentives are designed to encourage the adoption of electric vehicles and the development of EV charging infrastructure. If your development falls in this category, you may qualify for incentives from the federal and state level and from local utility companies to reduce the financial strain associated with EVs and support the transition to clean energy.
Our team can help you navigate these incentives and ensure you capture the maximum benefits.
Section 30C
Internal Revenue Code (IRC) section 30C, also known as the Alternative Fuel Vehicle Refueling Property Tax Credit was extended and modified by the Inflation Reduction Act of 2022 (IRA). 30C offers a credit of 30% up to $100,000 to individuals and businesses installing qualified refueling property for electric vehicles as of January 1, 2023.
- Produce a transportation fuel that has a lifecycle greenhouse gas emissions rate (emissions rate) of not greater than 50 kilograms (kg) of CO2e per mmBTU2 and that satisfies certain suitability and coprocessing requirements
- Produce the fuel in the United States at a qualified facility
- Be registered as a producer of clean fuel under § 4101 at the time of production; and
- Sell the fuel to an unrelated person in a qualifying manner during the taxable year
National Electric Vehicle Infrastructure Formula Program
The National Electric Vehicle Infrastructure (NEVI) Formula Program provides $5 billion to states and local jurisdictions to develop EV charging infrastructure along 75,000 miles of highway. To qualify, projects must be within one mile of an alternative fuel corridor and meet specific federal criteria. MSC can help you determine eligibility and navigate the application process.
The Prevailing Wage & Apprenticeship Requirements
For this and other credits enacted under the IRA meeting the prevailing wage and apprenticeship requirements allow companies to achieve 5x the base credit.
For companies intending to transfer these credits, almost all brokers and underwriters require testing and documentation of how a company, its contractors, and its subcontractors have satisfied the PWA requirements.
What We Promise:
Over 600 national and regional CPA firms trust MSC’s expertise to help navigate the complexities of green energy tax incentives. We are fully committed to our clients’ success—providing partner-level guidance, in-depth audit support, and exceptional service throughout every phase of the incentive process.
- We do all the heavy lifting – in-person site visits, reports, & lifetime audit support
- We build personal relationships—every client matters
- We deliver premium and defensible reports with IRS-preferred best practices
- We ensure a seamless experience with timely, accurate results
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Contact us today to find out how we can capture extraordinary tax benefits for all types of entities.