The IRS has provided a draft of the Form 15400, Clean Vehicle Seller Report (also known as “Time of Sale Report), which is required to be provided to every buyer of a vehicle eligible for the Section 30D credit, as amended by the Inflation Reduction Act (IRA). This updated regulation provides a credit to qualified individuals and businesses purchasing eligible new electric vehicles (EVs).
Information from this report will be required to claim or reconcile a Clean Vehicle Credit on your income tax return for the year the vehicle is placed in service.
- The buyer listed on this Time of Sale report is the only buyer that may claim the specified tax credit with respect to the VIN listed. Please ensure all of the information listed, including your TIN/SSN is correct - if any information is incorrect, immediately request that the dealer correct the information submitted.
- If you elected to transfer the credit to the dealer, you are required to reconcile the Clean Vehicle Credit on your income tax return for the year the vehicle is placed in service.
- If your modified adjusted gross income exceeds applicable income limitations, you will need to repay the full value of the tax credit to the IRS when filing your tax return.
- The amount of any down payment assistance or cash payment provided to you by the dealer in exchange for transferring the tax credit must equal the maximum amount of the tax credit allowed for the VIN you are purchasing. If that is not the case, report that information to the form goes on to include information about the vehicle and the seller in order to complete the individual's income tax return.
