Major mistake by (CPA!) with Commercial Clean Vehicle Tax Credit

[Aleks]

Edit: CPA's are making the mistake because of a very confusing question on the tax forms. Please read further into the thread for answers!

Hello everyone I've been doing alot of research on why the IRS rejected my commercial clean vehicle tax credit filing for my 2024 Non Foundation Cybertruck.

Turns out Tesla failed to file with the IRS ECOS online portal at the time of sale, likely thinking they didn't need to since it didn't qualify for the personal tax credit, turns out the IRS needed that for any type of tax credit and now tax returns are being rejected by the thousands for CTs and other EVs where dealerships failed to do this.

This is a major mistake because currently the software does not allow filing for this more than 5 days back from the current date and this was supposed to be filed within 3 days by Tesla.

If you were unable to get a commercial tax credit through form 8936 or 8300 which the 2024 cybertruck DOES qualify for, this is because Tesla made a major mistake!

There maybe some type of solution coming from the IRS on this and some people have had success by having their dealer enter the sale date as the current date and the placed in service date as the actual sale date back in 2024.

All of us with commercial cybertrucks need to talk to Tesla to push for a solution, we are supposed to get $7,500, so it's no small issue!!

https://www.npr.org/2025/02/28/nx-s...uDtqk15nGADtH5rriQ_aem_LrWDKmHnhIpOBPjqMg-saQ

https://www.wral.com/consumer/5onyo...oRSn0gR7vICO5VyQbA_aem_u7wpbaF-QU54sZJcVUodgg

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[Aleks]

Here's a message from an IRS spokesperson

 

[Aleks]

Here is what the IRS rejection letter looks like when your delearship failed to do this crucial step

 

[Gritted Cybe]

2024 trucks did not qualify for the credit.

 

[sefar]

I'm sure cutting staff at the IRS will help. I'm still waiting on a return from a June 24 amended filing.

But seriously, How did the IRS flag that item so fast? My corporate return isn't even done yet.

 

[Gigahorse]

2024 trucks did not qualify for the credit.

2024 trucks did not qualify for the personal 7500 credit, they DID/DO qualify for the COMMERCIAL CLEAN ENERGY CREDIT (business)

 

[Baldyloxx]

Oops…

at some point these stumbles will get old..

 

[Effonefiddy Lightning]

I'm sure cutting staff at the IRS will help. I'm still waiting on a return from a June 24 amended filing.

But seriously, How did the IRS flag that item so fast? My corporate return isn't even done yet.

Im telling you here because the comments were turn off on this subject. CNN was sued for lying in the past. It doesn't matter why, they were sued.

 

[mongo]

Hello everyone I've been doing alot of research on why the IRS rejected my commercial clean vehicle tax credit filing for my 2024 Non Foundation Cybertruck.

Turns out Tesla failed to file with the IRS ECOS online portal at the time of sale, likely thinking they didn't need to since it didn't qualify for the personal tax credit, turns out the IRS needed that for any type of tax credit and now tax returns are being rejected by the thousands for CTs and other EVs where dealerships failed to do this.

This is a major mistake because currently the software does not allow filing for this more than 5 days back from the current date and this was supposed to be filed within 3 days by Tesla.

If you were unable to get a commercial tax credit through form 8936 or 8300 which the 2024 cybertruck DOES qualify for, this is because Tesla made a major mistake!

There maybe some type of solution coming from the IRS on this and some people have had success by having their dealer enter the sale date as the current date and the placed in service date as the actual sale date back in 2024.

All of us with commercial cybertrucks need to talk to Tesla to push for a solution, we are supposed to get $7,500, so it's no small issue!!

https://www.npr.org/2025/02/28/nx-s...uDtqk15nGADtH5rriQ_aem_LrWDKmHnhIpOBPjqMg-saQ

https://www.wral.com/consumer/5onyo...oRSn0gR7vICO5VyQbA_aem_u7wpbaF-QU54sZJcVUodgg

Tesla needed to file with the IRS than the vehicles are eligibile, but didn't need to provide a seller's for Qualified Commercial Clean Vehicle Credit (45W).

https://www.irs.gov/irb/2022-52_IRB#REV-PROC-2022-42

 

[Aleks]

2024 trucks did not qualify for the credit.

Yes they do

 

[Aleks]

I'm sure cutting staff at the IRS will help. I'm still waiting on a return from a June 24 amended filing.

But seriously, How did the IRS flag that item so fast? My corporate return isn't even done yet.

Automated system checks for the VIN

 

[Aleks]

Tesla needed to file with the IRS than the vehicles are eligibile, but didn't need to provide a seller's for Qualified Commercial Clean Vehicle Credit (45W).

https://www.irs.gov/irb/2022-52_IRB#REV-PROC-2022-42

Except yes they did need to, unless you filed for this and got approved then you are just saying things without actually trying things, whereas I tried to file it and yes they did need to provide the 15400

 

[mongo]

Except yes they did need to, unless you filed for this and got approved then you are just saying things without actually trying things, whereas I tried to file it and yes they did need to provide the 15400

I'm not the saying the tax filing submission is working, I'm saying there was no guidance from the IRS that dealers needed to provide seller reports for commercial vehicles. The manufacturer (in the case the same as the dealer) did need to submit to the IRS that the vehicle was eligible.

Form 15400 is the Clean Vehicle Seller Report, that refers to the New Clean Vehicle Credit 30D and Previously Owned Vehicle Credit 25E (by reference), not the Qualified Commercial Vehicle Credit 45W.

Fortunately, if Tesla didn't report, it's fixable (note again that commercial doesn't get a seller's report)

.03 Taxpayer’s Reliance. A taxpayer who acquires a “new clean vehicle,” a “previously-owned clean vehicle” for which the seller provides a clean vehicle seller report, or a “qualified commercial clean vehicle” and places it in service may rely on the manufacturer’s certification concerning the manufacturer’s status as a qualified manufacturer (including in cases in which the certification is received by the IRS after the purchase of the vehicle). A taxpayer also may rely on the information and certifications contained in the qualified manufacturer’s written reports for the tax credit allowed under §§ 30D, 25E, and 45W.

Sellers reports only under 30D and 25E (new and previously owned)

SECTION 5. SELLER’S REPORTS

.01 Required Reports under Sections 30D and 25E. For purposes of § 30D(d)(1)(H), the person who sells any vehicle to the taxpayer or, for purposes of § 25E(c)(1)(D)(i), the dealer (as defined in § 30D(g)(8)) who sells any vehicle to the taxpayer, as applicable, (collectively, Seller) must furnish a report to the taxpayer and the IRS, at such time and in such manner as the Secretary provides containing information that is listed in this section 5.01. Accordingly, for vehicle sales occurring in calendar year 2023 or later, the Seller must provide the report to the taxpayer not later than the date the vehicle is purchased and must submit the report to Secretary within fifteen (15) days of the end of the calendar year containing the following:

Vehicle eligibility reports to IRS (all types)

.02 Content of Written Reports for Qualified Manufacturers. The written report providing information for vehicles that may be eligible for the credit under § 30D, § 25E, and/or § 45W must contain the name, address, and taxpayer identification number of the qualified manufacturer. This written report must be provided by the qualified manufacturer to the IRS in the time and manner described in section 6.02 of this revenue procedure. In addition, the written report must contain all of the following information for any vehicle that the qualified manufacturer asserts is eligible for the credit under § 30D, § 25E, and/or § 45W:

(1) General Information.

(a) The make, model, model year, and any other appropriate identifiers of the motor vehicle;

(b) Certification that the motor vehicle is made by a qualified manufacturer, within the meaning of § 30D(d)(3);

(c) Certification that the motor vehicle is treated as a motor vehicle for purposes of title II of the Clean Air Act;

(d) The gross vehicle weight rating of the motor vehicle;

(e) The battery capacity of the motor vehicle;

(f) The motor vehicle’s vehicle identification number; and

(g) Such other information as the Secretary may provide on irs.gov.
...
(4) Specifically, for § 45W:

(a) For motor vehicles, certification that the vehicle is manufactured primarily for use on public streets, roads, and highways (not including a vehicle operated exclusively on a rail or rails), and is either: a motor vehicle that is propelled to a significant extent by an electric motor that draws electricity from a battery that has a capacity of not less than 15 kilowatt hours (or, in the case of a vehicle that has a gross vehicle weight rating of less than 14,000 pounds, 7 kilowatt hours) and is capable of being recharged from an external source of electricity, or is a new qualified fuel cell motor vehicle that satisfies the requirements under § 30B(b)(3)(A) and (B); or

(b) For mobile machinery, certification that the machinery meets the definition in § 4053(8) of the Code (including vehicles that are not designed to perform a function of transporting a load over the public highways), and that the machinery is either: propelled to a significant extent by an electric motor that draws electricity from a battery that has a capacity of not less than 15 kilowatt hours (or, in the case of a vehicle that has a gross vehicle weight rating of less than 14,000 pounds, 7 kilowatt hours) and is capable of being recharged from an external source of electricity, or is a new qualified fuel cell motor vehicle that satisfies the requirements under § 30B(b)(3)(A) and (B).

(c) With respect to a motor vehicle with a gross vehicle weight rating of less than 14,000 pounds, the manufacturer’s suggested retail price.

(5) Attestation Required. Each written report must include: a declaration, applicable to the certification, statements, and any accompanying documents, signed by a person currently authorized to bind the qualified manufacturer (or, in the case of a foreign vehicle manufacturer, its domestic distributor) in these matters, in the following form: “Under penalties of perjury, I declare that I have examined this certification, including accompanying documents, and to the best of my knowledge and belief, the facts presented in support of this certification are true, correct, and complete.”

 

[Aleks]

I'm not the saying the tax filing submission is working, I'm saying there was no guidance from the IRS that dealers needed to provide seller reports for commercial vehicles. The manufacturer (in the case the same as the dealer) did need to submit to the IRS that the vehicle was eligible.

Form 15400 is the Clean Vehicle Seller Report, that refers to the New Clean Vehicle Credit 30D and Previously Owned Vehicle Credit 25E (by reference), not the Qualified Commercial Vehicle Credit 45W.

Fortunately, if Tesla didn't report, it's fixable (note again that commercial doesn't get a seller's report)


Sellers reports only under 30D and 25E (new and previously owned)


Vehicle eligibility reports to IRS (all types)

That's awesome! Thanks Mongo and applogies for my misunderstanding, now if only someone at Tesla would get this done, my store employees are practically useless in this matter. Any ideas?

 

[mongo]

That's awesome! Thanks Mongo and applogies for my misunderstanding, now if only someone at Tesla would get this done, my store employees are practically useless in this matter. Any ideas?

I wish I were that powerful!
Tesla is already known to be a qualified manufacturer and the Cybertruck, when purchased in 2023, was a fully eligible vehicle, so either Tesla's submission for commercial eligibility was time restricted and they needed to file again in 2024, or the IRS system is using the New Clean Vehicle filing criteria to validate Commercial purchases.
Either way it seems from your searching that they are aware of the problem and will hopefully fix it shortly. Otherwise... file for extension and pay based on expected tax liability with the credit.

(FWIW, it's sometimes hard to differentiate social media posts about 30D from 45W. )

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