What is the incremental cost for the Commercial Clean Vehicle Credit?

The incremental cost of the vehicle is the amount of the purchase price for the vehicle that is over the price of a comparable vehicle that is powered by a gas or diesel engine and is similar in size and use.

For 2025, the IRS will accept the use of $7,500 as the incremental cost of all street vehicles (other than compact car plug-in hybrid electric vehicles (PHEVs)) with a gross weight less than 14,000 pounds. For PHEVs and vehicles over 14,000 pounds see the Form 8936 Instructions  for more information.

Free federal for everyone

Start 2025 return