You Should Speak with the Manager—New Rules Allow Certain Dealerships to Take Credits off an EV’s Purchase Price

Section 30D of the Internal Revenue Code was enacted by Section 205(a) of the Energy Improvement and Extension Act of 2008, Division B of Public Law 110-343 (October 3, 2008), to provide a credit for purchasing and placing in service new qualified plug-in electric drive motor vehicles. The Code section has been amended several times since its enactment, most recently by the Inflation Reduction Act of 2022. In general, these amendments apply to vehicles placed in service after December 31, 2022. IRS just released procedures (Rev. Proc. 2023-33) under I.R.C. Sections 30D(g) and 25E(f) for the transfer of the clean vehicle credit or previously owned clean vehicle credit from the taxpayer who elects to transfer such credit to an eligible entity. These procedures will apply to transfers of credits after December 31, 2023. They include registration procedures with the IRS for qualified manufacturers and sellers, as well as procedures for dealer registration and the suspension and revocation of that registration. The revenue procedure also establishes a program to make advance payments of credit amounts to registered dealers.

Read now »

Related Content

• Renewable and Clean Energy Tax Incentives State Law Survey
  Reference our state law survey which outlines the laws and regulations that exist surrounding renewable and clean energy tax incentives covering all 50 states, the District of Columbia, Guam, the U.S. Virgin Islands, and Puerto Rico.

Practical Guidance Updates 
Featuring the latest updates from your Practical Guidance account. 

•  Tax Key Legal Developments Tracker (Federal)—keep up to date with key legal developments!
  • Business Entities. President Biden signed into law H.R. 5860, Continuing Appropriations Act, 2024 and Other Extensions Act, which makes continuing appropriations for fiscal year 2024 and for other purposes, affecting I.R.C. Sections 9502, 4081, 4261, 4271, 4043, and 4083.
  • Business Entities. IRS prescribes short-term, mid-term, and long-term applicable federal rates for the month of September, for purposes of I.R.C. § 1274(d). Rev. Rul. 2023-16.
  • Practice, Procedure & Controversy. IRS releases its 2023-2024 Priority Guidance Planwhich sets forth 237 guidance projects that are priorities for allocating Treasury and IRS resources during the 12-month period from July 1, 2023 through June 30, 2024.

• Document alerts allow you to stay current on legal developments that affect your practice. Find out how to set up your document alerts. 
• Generative Artificial Intelligence (AI) Resource Kit is a collection of current guidance on generative AI, ChatGPT, and similar tools.
• Public Interest, Pro Bono, and Non-Profit Resource Kit offers valuable guidance for those providing pro bono legal services and assisting non-profit organizations and public interest groups. It includes useful content on topics including tenant's rights, fair housing and lending, discrimination, immigration, and general non-profit resources.
• Practical Guidance Journal Third Edition 2023 features Generative AI cautions and benefits, new trends in lending, environmental law considerations, and insightful market intelligence.
• Check out our Practical Guidance Author Center! Learn about the 1750+ leading attorney authors contributing to our 26 practice areas, and find out how you can Become a Practical Guidance Author. Practical Guidance is committed to amplifying diverse voices of attorneys across all differences, including gender and race.  
• Legal Developments provide the latest updates and analyses of emerging topics impacting your practice area. Visit the Legal Developments page to see the latest topics, which also include breaking legal news and related Practical Guidance content. 
• Listen Up! The Practical Guidance and Law360 Podcasts Resource Kit features interviews with industry-leading attorneys on innovative issues in the law: NFTs, Cannabis, COVID-19, and more.
• New and Recently Updated Practical Guidance Content
  • Interest Rates on State Income Tax Underpayments and Overpayments State Law Survey
  • Hiring Disability Credits and the Accommodation of Disabilities
  • Real Estate Tax: Property Reassessment May Result in Savings
  • QSBS, A Powerful Tool, But Documentation is Key
  • IRS To Notify Victims Whose Tax Data Was Leaked
  • IRS Announces New Compliance Effort Focused on High-income Individuals, Partnerships, and Large Corporations
  • Angel Investor Credits and Venture Capital Investment Credits
  • Taxation of 1231 Property

PRACTICAL GUIDANCE CUSTOMER EMAIL EDITION ON THE WEB

Experience results today with practical guidance, legal research, and data-driven insights—all in one place.

Experience Lexis+