Credit for previously owned clean vehicles

This provision will create a new tax credit for buyers of previously owned, qualified clean (plug-in electric and fuel cell) vehicles. The credit would be up to USD 4,000, limited to 30% of the vehicle purchase price.

The credit would be disallowed for taxpayers above modified adjusted gross income (MAGI) thresholds. A joint filers return could not claim the credit if their modified adjusted gross income (AGI) is above USD 150,000 (USD 112,500 in the case of head of household filers; USD 75,000 in the case of other filers).

Credits would only be allowed for vehicles with a sale price of USD 25,000, or less, with a model year that is at least two years earlier than the calendar year in which the vehicle is sold. This credit could only be claimed for