Part I

Part III

Tentative Credit

Enter date during 2006 vehicle was placed in service

(MM/DD)

Maximum credit allowable (see instructions)

Phaseout percentage (see instructions)

Tentative credit. Multiply line 3 by line 4

Multiply line 5 by line 6

Add columns (a) through (c) on line 7

Alternative motor vehicle credits from pass-through entities:

Credit for Personal Use Part of Vehicle

2

3

4

5

7

18

2

3

4

5

7

(a) (b) 

Cat. No. 37720F Form 

If you are a: Then enter the total alternative motor vehicle credits from:

Shareholder Schedule K-1 (Form 1120S), box 13, code F, G, or U

8 8

Partner Schedule K-1 (Form 1065), box 15, code F, G, or U

For Paperwork Reduction Act Notice, see instructions.

1 Year, make, and model of vehicle 1

a

b

11 Subtract line 7 from line 5

Business/investment use part of alternative motor vehicle credit. Add lines 8 and 9. Enter here

and on line 1u of Form 3800. Exception: S corporations and partnerships, see instructions

9



15

16

17

Personal use part of alternative motor vehicle credit. Enter the smaller of line 12 or 17 here and

on Form 1040, line 55, or the appropriate line of your return. If line 17 is smaller than line 12, see

instructions

Net regular tax. Subtract line 14d from line 13. If zero or less, stop here; do not file this form unless

you are claiming a credit on line 10

Tentative minimum tax (see instructions):

Subtract line 16 from line 15. If zero or less, stop here; do not file this form unless you are claiming

a credit on line 10

Credits that reduce regular tax before the alternative motor vehicle credit:

Credits from Form 1040, lines 48 through 54

Foreign tax credit

Qualified electric vehicle credit (Form 8834, line 20)

a

b

c

14

14a

14b

d Add lines 14a through 14c

14c

14d

18

15

16

17

9

Use a separate column for each vehicle. If you need more columns, use

additional Forms 8910 and include the totals on lines 8 and 12.

/ /2006 / / /2006

6 Business/investment use percentage (see instructions) 6

% %

% % 

Part II Credit for Business/Investment Use Part of Vehicle

10

10

13

12 Add columns (a) through (c) on line 11 12

Regular tax before credits:

13 ● Individuals. Enter the amount from Form 1040, line 44

● Other filers. Enter the regular tax before credits from your return

11

● Individuals. Enter the amount from Form 6251, line 33

● Other filers. Enter the tentative minimum tax from your alternative minimum tax form or schedule 


gyyp

service after 2005. The credit attributable to depreciable property (vehicles used

for business or investment purposes) is treated as a general business credit. Any

credit not attributable to depreciable property is treated as a personal credit.

Alternative Motor Vehicle

An alternative motor vehicle is a new vehicle that qualifies as one of the following

four types of vehicles.

● Qualified alternative fuel vehicle. This is a vehicle fueled by compressed

natural gas, liquefied natural gas, liquefied petroleum gas, hydrogen, any liquid

that is at least 85 percent methanol, or a mixture of one of these fuels and a

petroleum-based fuel, and that meets certain additional requirements.

Specific Instructions

Line 3

Enter the maximum credit allowable for the year, make, and model of vehicle you

entered on line 1. You can generally rely on the manufacturer’s (or domestic

distributor’s) certification of the maximum credit allowable as explained above.

Line 4

60,000 qualified vehicles for use in the United States during the f

2006, enter 50% on line 4.

Paperwork Reduction Act Notice. We ask for the information o

carry out the Internal Revenue laws of the United States. You are 

us the information. We need it to ensure that you are complying 

and to allow us to figure and collect the right amount of tax.

You are not required to provide the information requested on 

subject to the Paperwork Reduction Act unless the form displays 

control number. Books or records relating to a form or its instruc

retained as long as their contents may become material in the ad

any Internal Revenue law. Generally, tax returns and return inform

confidential, as required by section 6103.

The time needed to complete and file this form will vary depen

individual circumstances. The estimated burden for individual tax

this form is approved under OMB control number 1545-0074 and 

the estimates shown in the instructions for their individual incom

estimated burden for all other taxpayers who file this form is sho

If you have comments concerning the accuracy of these time 

suggestions for making this form simpler, we would be happy to 

See the instructions for the tax return with which this form is filed

● If you purchased your vehicle after September 30, 2006, and t

manufacturer (or, for a foreign manufacturer, its U.S. distributor) 

60,000 qualified vehicles for use in the United States during the f

2006, enter 50% on line 4.

Recordkeeping 

Learning about the law

or the form 

Preparing and sending

the form to the IRS 

● Advanced lean burn technology vehicle. This is a vehicle with an internal

combustion engine that incorporates direct injection, is designed to operate

primarily using more air than is necessary for complete combustion of the fuel,

and that meets certain additional requirements.

● Qualified hybrid vehicle. This is a vehicle that draws propulsion energy from

onboard sources of stored energy that are both an internal combustion or heat

engine using consumable fuel and a rechargeable energy storage system and

that meets certain additional requirements.

● Qualified fuel cell vehicle. This is a vehicle propelled by power derived from

one or more cells which convert chemical energy directly into electricity by

combining oxygen with hydrogen fuel and that meets certain additional

requirements.

Generally, for a passenger car or light duty truck that is either a qualified

hybrid vehicle or an advanced lean burn technology vehicle, you can rely on the

manufacturer’s (or, in the case of a foreign manufacturer, its domestic

distributor’s) certification that a specific make, model, and model year vehicle

qualifies for the credit and the maximum amount of the credit for which it

qualifies.

Line 18

If you cannot use part of the personal portion of the credit becau

liability limit, the unused credit is lost. The unused personal port

cannot be carried back or forward to other tax years.

Line 16

Although you may not owe alternative minimum tax (AMT), you m

the tentative minimum tax (TMT) to figure your credit. Complete 

applicable AMT form or schedule and enter the TMT on line 16.

Allocate the line 10 credit of an S corporation or partnership amo

shareholders or partners. Show the credit for each shareholder o

Schedule K-1. Electing large partnerships include this credit in “

Line 10

For more information, see Pub. 463, Travel, Entertainment, G

Expenses.

If during the tax year you convert property used solely for per

to business/investment use (or vice versa), figure the percentage 

business/investment use only for the number of months you use 

your business or for the production of income. Multiply that perc

number of months you use the property in your business or for th

income and divide the result by 12. For example, if you converte

50% business use for the last 6 months of the year, you would e

6 (50% multiplied by 6 divided by 12).

If the nature of the vehicle lends itself to personal use (for exa

automobiles, pick up trucks, and sport utility vehicles), determin

percentage by dividing the number of miles the vehicle is driven 

for trade or business purposes or for the production of income (n

any commuting mileage) by the total number of miles the vehicle 

purposes. Treat vehicles used by your employees as being used 

business/investment purposes if the value of personal use is inc

employees’ gross income, or the employees reimburse you for t

If you report the amount of personal use of the vehicle in your em

income and withhold the appropriate taxes, enter “100%” for the 

business/investment use.

Enter 100% if the nature of the vehicle does not lend itself to 

you are claiming the credit as the seller of the vehicle.

Enter the percentage of business/investment use.

Line 6

Basis Reduction

Unless you elect not to claim the credit, you may have to reduce the basis of

each vehicle by the sum of the amounts entered on lines 7 and 11 for that

vehicle.

Recapture of Credit

If the vehicle no longer qualifies for the credit, you must recapture part or all of

the credit. For details, see section 30B(h)(8).

At the time these instructions went to print, the IRS had not

announced the procedures for determining the maximum credit

allowable for all vehicles that may qualify for the credit.

CAUTION

If, however, the Internal Revenue Service publishes an announcement that the

certification for any specific make, model, and model year vehicle has been

withdrawn, you cannot rely on the certification for such a vehicle purchased after

the date of publication of the withdrawal announcement.

If you purchased a vehicle and its certification was withdrawn on or after the

date of purchase, you can rely on such certification even if you had not placed

the vehicle in service or claimed the credit by the date the withdrawal

announcement was published by the IRS. The IRS will not attempt to collect any

understatement of tax liability attributable to reliance on the certification as long

as you purchased the vehicle on or before the date the IRS published the

withdrawal announcement.

In addition to certification, the following requirements must be met to qualify

for the credit:

● You placed the vehicle in service after 2005;

● The original use of the vehicle began with you;

● You acquired the vehicle for your use or to lease to others, and not for

resale; and

● You use the vehicle primarily in the United States.

For details, see section 30B and Notice 2006-9. You can find Notice 2006-9

on page 413 of Internal Revenue Bulletin 2006-6 at

www.irs.gov/pub/irs-irbs/irb06-06.pdf.

If you purchased your vehicle after June 30, 2006, you must c

to get the information on qualified vehicle sales. Qualified vehicl

lean burn technology vehicles and qualified hybrid vehicles.

Exception. If you are the seller of a new vehicle to a tax-exempt organization,

governmental unit, or a foreign person or entity, and the use of that vehicle is

described in section 50(b)(3) or (4), you can claim the credit, but only if you

clearly disclose in writing to the purchaser the amount of the tentative credit

allowable for the vehicle (from line 5 of Form 8910).