26 U.S.C. § 30C | Alternative fuel vehicle refueling property credit

(a)

Credit allowed

There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 30 percent (6 percent in the case of property of a character subject to depreciation) of the cost of any qualified alternative fuel vehicle refueling property placed in service by the taxpayer during the taxable year.

(b)

Limitation

The credit allowed under subsection (a) with respect to any single item of qualified alternative fuel vehicle refueling property placed in service by the taxpayer during the taxable year shall not exceed—

(1)

$100,000 in the case of any such item of property of a character subject to an allowance for depreciation, and

(2)

$1,000 in any other case.

(c)

Qualified alternative fuel vehicle refueling property

For purposes of this section—

(1)

In general

The term “qualified alternative fuel vehicle refueling property” has the same meaning as the term “qualified clean-fuel vehicle refueling property” would have under section 179A if—

(A)

paragraph (1) of section 179A(d) did not apply to property installed on property which is used as the principal residence (within the meaning of section 121) of the taxpayer, and

(B)

only the following were treated as clean-burning fuels for purposes of section 179A(d):

(i)

Any fuel at least 85 percent of the volume of which consists of one or more of the following: ethanol, natural gas, compressed natural gas, liquified natural gas, liquefied petroleum gas, or hydrogen.

(ii)

Any mixture—

(I)

which consists of two or more of the following: biodiesel (as defined in section 40A(d)(1)), diesel fuel (as defined in section 4083(a)(3)), or kerosene, and

(II)

at least 20 percent of the volume of which consists of biodiesel (as so defined) determined without regard to any kerosene in such mixture.

(iii)

Electricity.

(iv)

Any transportation fuel (as defined in section 45Z(d)(5)).

(2)

Bidirectional charging equipment

Property shall not fail to be treated as qualified alternative fuel vehicle refueling property solely because such property—

(A)

is capable of charging the battery of a motor vehicle propelled by electricity, and

(B)

allows discharging electricity from such battery to an electric load external to such motor vehicle.

(3)

Property required to be located in eligible census tracts

(A)

In general

Property shall not be treated as qualified alternative fuel vehicle refueling property unless such property is placed in service in an eligible census tract.

(B)

Eligible census tract

(i)

In general

For purposes of this paragraph, the term “eligible census tract” means any population census tract which—

(I)

is described in section 45D(e), or

(II)

is not an urban area.

(ii)

Urban area

For purposes of clause (i)(II), the term “urban area” means a census tract (as defined by the Bureau of the Census) which, according to the most recent decennial census, has been designated as an urban area by the Secretary of Commerce.

(d)

Application with other credits

(1)

Business credit treated as part of general business credit

So much of the credit which would be allowed under subsection (a) for any taxable year (determined without regard to this subsection) that is attributable to property of a character subject to an allowance for depreciation shall be treated as a credit listed in section 38(b) for such taxable year (and not allowed under subsection (a)).

(2)

Personal credit

The credit allowed under subsection (a) (after the application of paragraph (1)) for any taxable year shall not exceed the excess (if any) of—

(A)

the regular tax liability (as defined in section 26(b)) reduced by the sum of the credits allowable under subpart A and section 27, over

(B)

the tentative minimum tax for the taxable year.

(e)

Special rules

For purposes of this section—

(1)

Reduction in basis

For purposes of this subtitle, the basis of any property for which a credit is allowable under subsection (a) shall be reduced by the amount of such credit so allowed (determined without regard to subsection (d)).

(2)

Property used by tax-exempt entity

In the case of any qualified alternative fuel vehicle refueling property the use of which is described in paragraph (3) or (4) of section 50(b) and which is not subject to a lease, the person who sold such property to the person or entity using such property shall be treated as the taxpayer that placed such property in service, but only if such person clearly discloses to such person or entity in a document the amount of any credit allowable under subsection (a) with respect to such property (determined without regard to subsection (d)). For purposes of subsection (d), property to which this paragraph applies shall be treated as of a character subject to an allowance for depreciation.

(3)

Property used outside United States not qualified

No credit shall be allowable under subsection (a) with respect to any property referred to in section 50(b)(1) or with respect to the portion of the cost of any property taken into account under section 179.

(4)

Election not to take credit

No credit shall be allowed under subsection (a) for any property if the taxpayer elects not to have this section apply to such property.

(5)

Recapture rules

Rules similar to the rules of section 179A(e)(4) shall apply.

(6)

Reference

For purposes of this section, any reference to section 179A shall be treated as a reference to such section as in effect immediately before its repeal.

(f)

Special rule for electric charging stations for certain vehicles with 2 or 3 wheels

For purposes of this section—

(1)

In general

The term “qualified alternative fuel vehicle refueling property” includes any property described in subsection (c) for the recharging of a motor vehicle described in paragraph (2), but only if such property—

(A)

1 So in original. There is no subsec. (a)(2) in this section.

meets the requirements of subsection (a)(2), and

(B)

is of a character subject to depreciation.

(2)

Motor vehicle

A motor vehicle is described in this paragraph if the motor vehicle—

(A)

is manufactured primarily for use on public streets, roads, or highways (not including a vehicle operated exclusively on a rail or rails),

(B)

has 2 or 3 wheels, and

(C)

is propelled by electricity.

(g)

Wage and apprenticeship requirements

(1)

Increased credit amount

(A)

In general

In the case of any qualified alternative fuel vehicle refueling project which satisfies the requirements of subparagraph (C), the amount of the credit determined under subsection (a) for any qualified alternative fuel vehicle refueling property of a character subject to an allowance for depreciation which is part of such project shall be equal to such amount (determined without regard to this sentence) multiplied by 5.

(B)

Qualified alternative fuel vehicle refueling project

For purposes of this subsection, the term “qualified alternative fuel vehicle refueling project” means a project consisting of one or more properties that are part of a single project.

(C)

Project requirements

A project meets the requirements of this subparagraph if it is one of the following:

(i)

A project the construction of which begins prior to the date that is 60 days after the Secretary publishes guidance with respect to the requirements of paragraphs (2)(A) and (3).

(ii)

A project which satisfies the requirements of paragraphs (2)(A) and (3).

(2)

Prevailing wage requirements

(A)

In general

The requirements described in this subparagraph with respect to any qualified alternative fuel vehicle refueling project are that the taxpayer shall ensure that any laborers and mechanics employed by the taxpayer or any contractor or subcontractor in the construction of any qualified alternative fuel vehicle refueling property which is part of such project shall be paid wages at rates not less than the prevailing rates for construction, alteration, or repair of a similar character in the locality in which such project is located as most recently determined by the Secretary of Labor, in accordance with subchapter IV of chapter 31 of title 40, United States Code.

(B)

Correction and penalty related to failure to satisfy wage requirements

Rules similar to the rules of section 45(b)(7)(B) shall apply.

(3)

Apprenticeship requirements

Rules similar to the rules of section 45(b)(8) shall apply.

(4)

Regulations and guidance

The Secretary shall issue such regulations or other guidance as the Secretary determines necessary to carry out the purposes of this subsection, including regulations or other guidance which provides for requirements for recordkeeping or information reporting for purposes of administering the requirements of this subsection.

(h)

Regulations

The Secretary shall prescribe such regulations as necessary to carry out the provisions of this section.

(i)

Termination

June 30, 2026This section shall not apply to any property placed in service after .

Pub. L. 109–58, title XIII, § 1342(a)Aug. 8, 2005119 Stat. 1049 Pub. L. 109–135, title IVDec. 21, 2005119 Stat. 2615 Pub. L. 110–172, § 6(b)Dec. 29, 2007121 Stat. 2479 Pub. L. 110–343, div. B, title II, § 207(a)Oct. 3, 2008122 Stat. 3839 Pub. L. 111–5, div. B, title IFeb. 17, 2009123 Stat. 325 Pub. L. 111–312, title VII, § 711(a)Dec. 17, 2010124 Stat. 3315 Pub. L. 112–240, title IV, § 402(a)Jan. 2, 2013126 Stat. 2337 Pub. L. 113–295, div. A, title I, § 161(a)Dec. 19, 2014128 Stat. 4023 Pub. L. 114–113, div. Q, title I, § 182(a)Dec. 18, 2015129 Stat. 3072 Pub. L. 115–123, div. D, title I, § 40404(a)Feb. 9, 2018132 Stat. 148 Pub. L. 115–141, div. U, title IV, § 401(b)(3)Mar. 23, 2018132 Stat. 1201 Pub. L. 116–94, div. Q, title I, § 125(a)Dec. 20, 2019133 Stat. 3231 Pub. L. 116–260, div. EE, title I, § 143(a)Dec. 27, 2020134 Stat. 3054 Pub. L. 117–169, title IAug. 16, 2022136 Stat. 1966–1968 Pub. L. 119–21, title VII, § 70504July 4, 2025139 Stat. 251(Added , , ; amended , §§ 402(k), 412(d), , , 2636; , , ; , (b), , ; , §§ 1123(a), 1142(b)(3), 1144(b)(2), , , 331, 332; , , ; , , ; , title II, §§ 218(b), 221(a)(34)(B), , , 4035, 4042; , , ; , , ; , , ; , , ; , , ; , §§ 13404(a)–(e), 13704(b)(2), , , 2002; , , .)

Editorial Notes

References in Text

section 179A of this title Pub. L. 113–295, div. A, title II, § 221(a)(34)(A)128 Stat. 4042Dec. 19, 2014Section 179A as in effect immediately before its repeal, referred to in subsec. (e)(6), means as in effect before it was repealed by , Dec, 19, 2014, , effective .

Amendments

Pub. L. 119–21June 30, 2026December 31, 20322025—Subsec. (i). substituted “” for “”.

Pub. L. 117–169, § 13404(b)(1)2022—Subsec. (a). , inserted “(6 percent in the case of property of a character subject to depreciation)” after “30 percent”.

Pub. L. 117–169, § 13404(b)(2)(A)Subsec. (b). , in introductory provisions, substituted “with respect to any single item of” for “with respect to all” and struck out “at a location” after “taxable year”.

Pub. L. 117–169, § 13404(b)(2)(B)Subsec. (b)(1). , substituted “$100,000 in the case of any such item of property” for “$30,000 in the case of a property”.

Pub. L. 117–169, § 13404(b)(3)Subsec. (c). , amended subsec. (c) generally. Prior to amendment, subsec. (c) related to qualified alternative fuel vehicle refueling property.

Pub. L. 117–169, § 13704(b)(2)Subsec. (c)(1)(B)(iv). , added cl. (iv).

Pub. L. 117–169, § 13404(e)Subsec. (c)(3). , added par. (3).

Pub. L. 117–169, § 13404(c)Subsec. (f). , added subsec. (f). Former subsec. (f) redesignated (g), then (h).

Pub. L. 117–169, § 13404(d)Subsec. (g). , added subsec. (g). Former subsec. (g) redesignated (h), then (i).

Pub. L. 117–169, § 13404(a)December 31, 2032December 31, 2021, substituted “” for “”.

Pub. L. 117–169, § 13404(c)Subsecs. (h), (i). , (d), successively redesignated subsecs. (f) and (g) as (h) and (i), respectively.

Pub. L. 116–260December 31, 2021December 31, 20202020—Subsec. (g). substituted “” for “”.

Pub. L. 116–94December 31, 2020December 31, 20172019—Subsec. (g). substituted “” for “”.

Pub. L. 115–1412018—Subsec. (e)(6), (7). redesignated par. (7) as (6) and struck out former par. (6) which related to special rule for property placed in service during 2009 and 2010.

Pub. L. 115–123December 31, 2017December 31, 2016Subsec. (g). substituted “” for “”.

Pub. L. 114–113December 31, 2016December 31, 20142015—Subsec. (g). substituted “” for “”.

Pub. L. 113–295, § 218(b)2014—Subsec. (e)(1). , amended par. (1) generally. Prior to amendment, text read as follows: “The basis of any property shall be reduced by the portion of the cost of such property taken into account under subsection (a).”

Pub. L. 113–295, § 221(a)(34)(B)Subsec. (e)(7). , added par. (7).

Pub. L. 113–295, § 161(a)December 31, 2014Subsec. (g). , substituted “placed in service after .” for “placed in service—

December 31, 2014“(1) in the case of property relating to hydrogen, after , and

December 31, 2013“(2) in the case of any other property, after .”

Pub. L. 112–240December 31, 2013December 31, 20112013—Subsec. (g)(2). substituted “” for “.”

Pub. L. 111–312December 31, 2011December 31, 20102010—Subsec. (g)(2). substituted “.” for “”.

Pub. L. 111–5, § 1144(b)(2)2009—Subsec. (d)(2)(A). , substituted “section 27” for “sections 27 and 30B”.

Pub. L. 111–5, § 1142(b)(3), struck out “, 30,” before “and 30B”.

Pub. L. 111–5, § 1123(a)Subsec. (e)(6). , added par. (6).

Pub. L. 110–343, § 207(b)2008—Subsec. (c)(2)(C). , added subpar. (C).

Pub. L. 110–343, § 207(a)December 31, 2010December 31, 2009Subsec. (g)(2). , substituted “” for “”.

Pub. L. 110–172, § 6(b)(1)2007—Subsec. (b). , reenacted heading without change and amended introductory provisions generally. Prior to amendment, introductory provisions read as follows: “The credit allowed under subsection (a) with respect to any alternative fuel vehicle refueling property shall not exceed—”.

Pub. L. 110–172, § 6(b)(2)Subsec. (c). , reenacted heading without change and amended text generally. Prior to amendment, text read as follows:

In general“(1) .—Except as provided in paragraph (2), the term ‘qualified alternative fuel vehicle refueling property’ has the meaning given to such term by section 179A(d), but only with respect to any fuel—

“(A) at least 85 percent of the volume of which consists of one or more of the following: ethanol, natural gas, compressed natural gas, liquefied natural gas, liquefied petroleum gas, or hydrogen, or

“(B) any mixture of biodiesel (as defined in section 40A(d)(1)) and diesel fuel (as defined in section 4083(a)(3)), determined without regard to any use of kerosene and containing at least 20 percent biodiesel.

Residential property“(2) .—In the case of any property installed on property which is used as the principal residence (within the meaning of section 121) of the taxpayer, paragraph (1) of section 179A(d) shall not apply.”

Pub. L. 109–135, § 412(d)2005—Subsec. (d)(2)(A). , substituted “regular tax liability (as defined in section 26(b))” for “regular tax”.

Pub. L. 109–135, § 402(k)Subsec. (e)(2). , inserted at end “For purposes of subsection (d), property to which this paragraph applies shall be treated as of a character subject to an allowance for depreciation.”

Statutory Notes and Related Subsidiaries

Effective Date of 2022 Amendment

Pub. L. 117–169, title I, § 13404(f)Aug. 16, 2022136 Stat. 1968

“(1)

In general .—

December 31, 2022Except as provided in paragraph (2), the amendments made by this section [amending this section] shall apply to property placed in service after .

“(2)

Extension .—

December 31, 2021The amendments made by subsection (a) [amending this section] shall apply to property placed in service after .”

, , , provided that:

section 13704(b)(2) of Pub. L. 117–169Dec. 31, 2024section 13704(c) of Pub. L. 117–169 section 45Z of this titleAmendment by applicable to transportation fuel produced after , see , set out as an Effective Date note under .

Effective Date of 2020 Amendment

Pub. L. 116–260, div. EE, title I, § 143(b)Dec. 27, 2020134 Stat. 3054

December 31, 2020“The amendment made by this section [amending this section] shall apply to property placed in service after .”

, , , provided that:

Effective Date of 2019 Amendment

Pub. L. 116–94, div. Q, title I, § 125(b)Dec. 20, 2019133 Stat. 3231

December 31, 2017“The amendment made by this section [amending this section] shall apply to property placed in service after .”

, , , provided that:

Effective Date of 2018 Amendment

Pub. L. 115–123, div. D, title I, § 40404(b)Feb. 9, 2018132 Stat. 148

December 31, 2016“The amendment made by this section [amending this section] shall apply to property placed in service after .”

, , , provided that:

Effective Date of 2015 Amendment

Pub. L. 114–113, div. Q, title I, § 182(b)Dec. 18, 2015129 Stat. 3072

December 31, 2014“The amendment made by this section [amending this section] shall apply to property placed in service after .”

, , , provided that:

Effective Date of 2014 Amendment

Pub. L. 113–295, div. A, title I, § 161(b)Dec. 19, 2014128 Stat. 4023

December 31, 2013“The amendment made by this section [amending this section] shall apply to property placed in service after .”

, , , provided that:

section 218(b) of Pub. L. 113–295 Pub. L. 109–58, title XIII section 218(c) of Pub. L. 113–295 section 30B of this titleAmendment by effective as if included in the provision of the Energy Tax Incentives Act of 2005, , to which such amendment relates, see , set out as a note under .

section 221(a)(34)(B) of Pub. L. 113–295Dec. 19, 2014section 221(b) of Pub. L. 113–295 section 1 of this titleAmendment by effective , subject to a savings provision, see , set out as a note under .

Effective Date of 2013 Amendment

Pub. L. 112–240, title IV, § 402(b)Jan. 2, 2013126 Stat. 2337

December 31, 2011“The amendment made by this section [amending this section] shall apply to property placed in service after .”

, , , provided that:

Effective Date of 2010 Amendment

Pub. L. 111–312, title VII, § 711(b)Dec. 17, 2010124 Stat. 3315

December 31, 2010“The amendment made by this section [amending this section] shall apply to property placed in service after .”

, , , provided that:

Effective Date of 2009 Amendment

Pub. L. 111–5, div. B, title I, § 1123(b)Feb. 17, 2009123 Stat. 325

December 31, 2008“The amendment made by this section [amending this section] shall apply to taxable years beginning after .”

, , , provided that:

section 1142(b)(3) of Pub. L. 111–5Feb. 17, 2009section 1142(c) of Pub. L. 111–5 section 24 of this titleAmendment by applicable to vehicles acquired after , see , set out as an Effective and Termination Dates of 2009 Amendment note under .

section 1144(b)(2) of Pub. L. 111–5Dec. 31, 2008section 1144(c) of Pub. L. 111–5 section 24 of this titleAmendment by applicable to taxable years beginning after , see , set out as an Effective and Termination Dates of 2009 Amendment note under .

Effective Date of 2008 Amendment

Pub. L. 110–343, div. B, title II, § 207(c)Oct. 3, 2008122 Stat. 3840

Oct. 3, 2008“The amendments made by this section [amending this section] shall apply to property placed in service after the date of the enactment of this Act [], in taxable years ending after such date.”

, , , provided that:

Effective Date of 2007 Amendment

Pub. L. 110–172, § 6(e)Dec. 29, 2007121 Stat. 2481

“(1)

In general .—

section 6430 of this title Pub. L. 109–58Except as otherwise provided in this subsection, the amendments made by this section [amending this section and sections 41, 45J, 4041, 4042, 4082, and 6430 of this title, and enacting provisions set out as a note under ] shall take effect as if included in the provisions of the Energy Policy Act of 2005 [] to which they relate.

“(2)

Nonapplication of exemption for off-highway business use .—

section 4041 of this titleDec. 29, 2007The amendment made by subsection (d)(3) [amending ] shall apply to fuel sold for use or used after the date of the enactment of this Act [].

“(3)

Amendment made by the safetea–lu .—

section 4082 of this title Pub. L. 109–59The amendment made by subsection (d)(2)(C)(ii) [amending ] shall take effect as if included in section 11161 of the SAFETEA–LU [].”

, , , provided that:

Effective Date of 2005 Amendment

section 402(k) of Pub. L. 109–135 Pub. L. 109–58 section 402(m)(1) of Pub. L. 109–135 section 23 of this titleAmendment by effective as if included in the provision of the Energy Policy Act of 2005, , to which such amendment relates, see , set out as an Effective and Termination Dates of 2005 Amendments note under .

Effective Date

Pub. L. 109–58, title XIII, § 1342(c)Aug. 8, 2005119 Stat. 1051

December 31, 2005“The amendments made by this section [enacting this section and amending sections 38, 55, 1016, and 6501 of this title] shall apply to property placed in service after , in taxable years ending after such date.”

, , , provided that:

Savings Provision

Pub. L. 115–141Mar. 23, 2018Mar. 23, 2018section 401(e) of Pub. L. 115–141 section 23 of this titleFor provisions that nothing in amendment by be construed to affect treatment of certain transactions occurring, property acquired, or items of income, loss, deduction, or credit taken into account prior to , for purposes of determining liability for tax for periods ending after , see , set out as a note under .