Tesla wall charger tax break

[MrTichy]

Are there any federal tax breaks (credits or deductions) available for Tesla Wall charger (either hardware or hardware/installation) as of fall 2022 or after 1/1/23? I have been searching hi and lo and it appears a tax break expired on 1/1/22 and no one talks about IRA ("Inflation Reduction Act") having any tax breaks for Tesla wall chargers,

I have a 50A 240V circuit breaker in my electric panel and 6/3 line that terminates in my garage. A decent NEMA 14/50 outlet and GFCI circuit breaker (required by code) would probably be almost as much as a Tesla wall charger.

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[android04]

It looks like the federal credit expired (not sure if the new incentives bill has anything about charging equipment). Your local utility or state might still have an incentive though. https://wattlogic.com/blog/ev-charger-tax-credit-2022/

 

[cvalue13]

Home battery systems will qualify for the 30% credit for the first time.

Off the cuff, I believe this credit will apply only to amounts spent after 1/1/23 (when the bill of the law takes effect).

So, anyone buying/installing batteries for the next 4ish months is possibly paying a premium (assuming equip/instal prices equal).

 

[JBee]

Power wall or wall chargers?

 

[MrTichy]

Found it: "Section 13404 of The Inflation Reduction Act of 2022 (H.R. 5376) ...

Qualified alternative fuel vehicle refueling equipment not subject to depreciation allowances, including electric vehicle charging equipment, is eligible for a tax credit of 30% up to $1,000."

I guess I will buying my Tesla wall charger on 1/1/23 right after midnight.

 

[cvalue13]

Power wall or wall chargers?

thanks for that catch

Not sure what we’re talking about anymore!

 

[MrTichy]

Possibly:

"Solar installations are definitely eligible for the ITC, but what about solar battery systems? If a homeowner installs both a solar PV and a battery storage system, the savings does extend to storage! However, there is one very important caveat: the energy used to charge the battery storage system must come 100% from solar, and not at all from the grid.

Although energy storage devices were not written into the ITC and batteries themselves are not “solar energy properties” (equipment that generates electricity from the sun), the Internal Revenue Service (IRS) has interpreted the tax code in the past to include residential solar storage if it is charged exclusively from solar.

https://aurorasolar.com/blog/federal-tax-incentive-for-battery-storage/

I did not look far into it. Just reposting.

 

[cvalue13]

Possibly:

"Solar installations are definitely eligible for the ITC, but what about solar battery systems? If a homeowner installs both a solar PV and a battery storage system, the savings does extend to storage! However, there is one very important caveat: the energy used to charge the battery storage system must come 100% from solar, and not at all from the grid.

Although energy storage devices were not written into the ITC and batteries themselves are not “solar energy properties” (equipment that generates electricity from the sun), the Internal Revenue Service (IRS) has interpreted the tax code in the past to include residential solar storage if it is charged exclusively from solar.

https://aurorasolar.com/blog/federal-tax-incentive-for-battery-storage/

I did not look far into it. Just reposting.

With apologies, and recognizing you said you were merely reporting, I believe you reporting mistake the ITC for businesses (what you’re describing above) with instead the residential portions of the laws regarding battery storage.

I assume OP is inquiring after residential/personal tax info, as opposed to corporate tax.

For residential purposes, subject to a 3kW minimum sizing, the battery storage has no such “solar only” limitation (as I understand it).

Beginning in 2023, there are a lot of residential rebates/credits to be had for any number of energy (or energy-adjacent) purchases, subject however to numerous caps (including income caps), anti-redundancy caveats, etc., depending on the subject matter - so, buyer beware of how purchasing batteries may or may not interact with other facets of the new laws. Definitely a matter of ask your tax advisor (not that they’ll give you any good answers until the IRS provides its guidance-making.)

But, off the cuff, I do *not* think the residential solar storage is subject to an income cap or off-set, and I’m pretty confident in any event it’s irrelevant to amounts spent before 1/1/23 … so staying tuned for IRS guidance could be a 30% bonus.

That said, I am *not* sure the vehicle charging credit referenced earlier in the thread is for residential purposes - I haven’t investigated, but I thought 13404 was for more commercial-grade charging infrastructure, and limited to rural/low income areas, certain labor requirements, etc.

But if someone can find more reliable confirmation that residential EV chargers are subject to a 30% rebate, I’ll be glad to hear about it!

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