tax credit question

[ponugupati]

Hi All,

I have a question on ev tax credit. I am buying tesla model y this march it qualifies for 7500 ev tax credit. One of the qualifying criteria is family income less than 300k. If my income is less than 300k for year 2022 but for 2023 if its more than 300k do I qualify. I read somewhere that if the income is less than 300k for previous year also qualifies for tax credit. Just want to check if anyone have idea on this. Thanks.

 

[bithrisathiiiii]

you are filing in 2024 for 2023 tax, so in 2023 family income more than 300k, you wont qualify

[ponugupati]

Ok Thanks

[Tenali]

Make sure you AGI - Adjusted gross income is less than 300k.. like if you & your spouse earn 330k... you can cut down your AGI to 285k by investing 22.5k each into 401k.

[sarvayogi]

the tax credit is for gross income less than 300 or AGI less than 300?

our household 340 and with 401k it should come below 300

6 minutes ago, Tenali said:

Make sure you AGI - Adjusted gross income is less than 300k.. like if you & your spouse earn 330k... you can cut down your AGI to 285k by investing 22.5k each into 401k.

 

[ponugupati]

5 minutes ago, Tenali said:

Make sure you AGI - Adjusted gross income is less than 300k.. like if you & your spouse earn 330k... you can cut down your AGI to 285k by investing 22.5k each into 401k.

Thanks.. but what I read is even though I file in 2024, if my income is less than 300k in either 2023 or 2022, I get qualified. https://www.npr.org/2023/01/07/1147209505/electric-car-tax-credit-climate-bill-tesla-volkswagen-ev Check this under section You can't make too much money (or too little)

[Variety_Pullayya]

yes. for 2023 when filing for tax credit , show that your gross was less than 300k in 2022.