PriceProtect™
DriveShield™
GarageGuard™
Services
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Renters Insurance
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
Is the electric vehicle tax credit refundable?
I’m currently shopping for an electric car that I can cash in a federal tax credit on, but what if you don’t have a tax due? Is the tax credit refundable?
Allison Stone · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
While the
federal tax credit
for buying an electric car could save you thousands, there are several stipulations to keep in mind to see if you qualify. The tax credit itself is not refundable, meaning you must have federal tax due to take advantage of it. If your tax due is less than the credit amount, you can only claim the credit up to the amount of your tax due.
This doesn’t mean to have to owe taxes when you file your return to qualify, it just means you must have a tax due as calculated from your taxable income reported on your tax return. In order to receive the full $7,500 credit, you would need to earn about $65,000 to owe enough tax.
If you’re shopping around for a new car and want a fast and easy way to find car insurance savings, try
Jerry
.Jerry is a free app that helps you compare quotes sourced from 55+ top insurance companies in under a minute. As a licensed broker, Jerry takes care of your insurance needs from start to finish.
Not only that, but Jerry monitors your insurance rate every six months and sends you new quotes when your plan is up for renewal, so you always know you’re getting the best deal.
View full answer
- Gregory R.
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
Join 4M+ members in lowering their car insurance
You Might Also Be Interested
Read Advice From Car Experts At Jerry
What Others Are Asking
Browse More Content
Insurance in Your State
Easiest way to compare and buy car insurance
No long forms
No spam or unwanted phone calls
Quotes from top insurance companies