Alternative Fuel Infrastructure Tax Credit

For alternative fuel vehicle (AFV) infrastructure placed in service prior to January 1, 2023, see the Pre-2023 Alternative Fuel Infrastructure Tax Credit entry.

Installations Beginning January 1, 2023

The Alternative Fuel Vehicle Refueling Property Credit is available for qualified AFV fueling property installed in qualified locations on or after January 1, 2023, and through December 31, 2032. Eligible property includes certain fueling equipment for natural gas, propane, hydrogen, electricity, E85, or biodiesel blends of at least 20% (B20+). Businesses are eligible for a tax credit of:

Tax exempt entities, including state and local governments, may be eligible to receive this credit in the same amount as businesses, via IRS elective pay provisions. For elective pay eligibility requirements, please see the IRS Elective Pay and Transferability website.

Consumers who purchase qualified alternative fueling equipment for installation at their principal residence in qualified locations on or after January 1, 2023, and through December 31, 2032, may receive a tax credit of up to 30% of the cost, up to $1,000.

To be eligible, all qualified fueling equipment also must be installed in a population census tract that is a low-income community or not an urban area. To help determine if an installation location is in a qualified census tract, see Argonne National Laboratory’s 30C Tax Credit Eligibility Locator tool and list of frequently asked questions.

Additional requirements may apply. For further details, see the IRS Inflation Reduction Act of 2022 website and IRS Form 8911, which is available on the IRS Forms and Publications website. Additional location eligibility information is available in the IRS Guidance on Satisfying the Geographical Requirements of the Section 30C Alternative Fuel Vehicle Refueling Property Credit. For more information, including frequently asked questions and an eligibility locator map, see the Argonne National Laboratory Refueling Infrastructure Tax Credit website.

(Reference 26 U.S. Code 30C, 30D, 38, and 6417 and Public Law 117-169)

Point of Contact
U.S. Internal Revenue Service
Phone: (800) 829-1040

Jurisdiction: Federal

Type: Incentives

Agency: U.S. Internal Revenue Service

Enacted: Aug 8, 2005

Amended: Aug 16, 2022

Technologies: Biodiesel, Ethanol, EVs, Hydrogen Fuel Cells, Natural Gas, PHEVs, Propane (LPG)

See all Federal Laws and Incentives.