Form 8936

Department of the Treasury 

Internal Revenue Service 

Qualified Plug-in Electric Drive Motor Vehicle Credit

▶ Attach to your tax return.

OMB No. 1545-2137

2011

Attachment 

Sequence No. 125

Name(s) shown on return Identifying number

Note.

• Use this form to claim the credit for certain plug-in electric vehicles (other than two- or three-wheeled or low-speed four-wheeled 

vehicles).

• Claim the credit for certain two- or three-wheeled or low-speed four-wheeled plug-in electric vehicles on Form 8834.

• Claim the credit for certain alternative motor vehicles or plug-in electric vehicle conversions on Form 8910.

Part I Tentative Credit

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

use additional Forms 8936 and include the totals on lines 7 and 11. (a) Vehicle 1 (b) Vehicle 2

1 Year, make, and model of vehicle . . . . . . . 1

2 Vehicle identification number (see instructions) . . 2

3 Enter date vehicle was placed in service (MM/DD/YYYY) 3

4 Tentative credit (see instructions for amount to enter) 4

Next: If you did NOT use your vehicle for business or investment purposes and did not have a credit from a partnership or 

S corporation, skip Part II and go to Part III. All others, go to Part II.

Part II Credit for Business/Investment Use Part of Vehicle 

5 Business/investment use percentage (see instructions) 5 % %

6 Multiply line 4 by line 5 . . . . . . . . . . 6

7 Add columns (a) and (b) on line 6 . . . . . . . . . . . . . . . . . . 7

8 Qualified plug-in electric drive motor vehicle credit from partnerships and S 

corporations . . . . . . . . . . . . . . . . . . . . . . . . . 8

9 Business/investment use part of credit. Add lines 7 and 8. Partnerships and S 

corporations, report this amount on Schedule K. All others, report this amount on Form

3800, line 1y . . . . . . . . . . . . . . . . . . . . . . . . . 9

Part III Credit for Personal Use Part of Vehicle 

10 If you skipped Part II, enter the amount from line 4. If 

you completed Part II, subtract line 6 from line 4 . . 10

11 Add columns (a) and (b) on line 10 . . . . . . . . . . . . . . . . . . 11

12 Enter the amount from Form 1040, line 46, or Form 1040NR, line 44 . . . . . . 12

13 Personal credits from Form 1040 or 1040NR (see instructions) . . . . . . . . 13

14 Subtract line 13 from line 12 . . . . . . . . . . . . . . . . . . . 14

15 Personal use part of credit. Enter the smaller of line 11 or line 14 here and on Form

1040, line 53, or Form 1040NR, line 50. Check box c on that line and enter “8936” in

the space next to that box. If line 14 is smaller than line 11, see instructions . . . . 15

For Paperwork Reduction Act Notice, see instructions. Cat. No. 37751E Form 8936 (2011) 
Form 8936 (2011) Page 2 

General Instructions

Section references are to the Internal Revenue Code.

Purpose of Form

For tax years beginning after 2008, use Form 8936 to 

figure your credit for qualified plug-in electric drive motor 

vehicles you placed in service during your tax year. 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.

Taxpayers that are not partnerships or S corporations, 

and whose only source of this credit is from those passthrough entities, are not required to complete or file this 

form. Instead, they can report this credit directly on Form 

3800.

Qualified Plug-in Electric Drive Motor Vehicle

This is a new vehicle with at least four wheels that:

• Has a gross vehicle weight of less than 14,000 pounds, 

and

• Is propelled to a significant extent by an electric motor 

that draws electricity from a battery that has a capacity of 

not less than 4 kilowatt hours and is capable of being 

recharged from an external source of electricity.

Certification and other requirements. Generally, 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 amount of the credit for which it 

qualifies.

If, however, the IRS 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 are the owner of the vehicle. If the vehicle is leased, 

only the lessor and not the lessee, is entitled to the credit;

• You placed the vehicle in service during your tax year;

• The original use of the vehicle began with you;

• You acquired the vehicle for use or to lease to others, 

and not for resale; and

• You use the vehicle primarily in the United States.

Exception. If you are the seller of a qualified plug-in

electric drive motor 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 6 of Form 8936).

More information. For details, see the following.

• Section 30D.

• Notice 2009-54, 2009-26 I.R.B. 1124, available at 

www.irs.gov/irb/2009-26_IRB/ar07.html.

• Notice 2009-89, 2009-48 I.R.B. 714, available at 

www.irs.gov/irb/2009-48_IRB/ar09.html.

Credit Phaseout

The credit is subject to a phaseout (reduction) once the 

vehicle manufacturer (or, for a foreign manufacturer, its 

U.S. distributor) sells 200,000 of these vehicles to a 

retailer for use in the United States after 2009. The 

phaseout begins in the second calendar quarter after the 

quarter in which the 200,000th vehicle was sold. Then the 

phaseout allows 50% of the full credit for 2 quarters, 25% 

of the full credit for 2 additional quarters, and no credit 

thereafter.

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 6 and 10 for that vehicle.

Coordination With Other Credits

A vehicle that qualifies for the qualified plug-in electric 

drive motor vehicle credit on this form cannot be used to 

claim the alternative motor vehicle credit on Form 8910. 

Also, the vehicle will not qualify for the qualified plug-in 

electric motor vehicle credit on Form 8834.

Recapture of Credit

If the vehicle no longer qualifies for the credit, you may 

have to recapture part or all of the credit. For details, see 

section 30D(f)(5).
Form 8936 (2011) Page 3 

Specific Instructions

Line 2

Enter the vehicle's vehicle identification number (VIN) on 

line 2. The VIN of a vehicle can be obtained from the 

registration, title, proof of insurance, or actual vehicle. 

Generally, the VIN is 17 characters made up of numbers 

and letters.

Line 4

Tentative Credit

Enter the 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 credit allowable as explained above.

Tentative credit amounts acknowledged by the IRS are 

available at 

www.irs.gov/businesses/article/0,,id=214841,00.html. Or 

you can visit IRS.gov and search for “Plug-in Electric 

Vehicle Credit (IRC 30 and 30D).”

Line 5

Enter the percentage of business/investment use.

Enter 100% if the vehicle is used solely for business 

purposes or you are claiming the credit as the seller of 

the vehicle.

If the vehicle is used for both business purposes and 

personal purposes, determine the percentage of business 

use by dividing the number of miles the vehicle is driven 

during the year for business purposes or for the 

production of income (not to include any commuting 

mileage) by the total number of miles the vehicle is driven 

for all purposes. Treat vehicles used by your employees 

as being used 100% for business/investment purposes if 

the value of personal use is included in the employees’ 

gross income, or the employees reimburse you for the 

personal use. If you report the amount of personal use of 

the vehicle in your employee’s gross income and withhold 

the appropriate taxes, enter “100%” for the percentage of 

business/investment use.

If during the tax year you convert property used solely 

for personal purposes to business/investment use (or vice 

versa), figure the percentage of business/investment use 

only for the number of months you use the property in 

your business or for the production of income. Multiply 

that percentage by the number of months you use the 

property in your business or for the production of income 

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

a vehicle to 50% business use for the last 6 months of the 

year, you would enter 25% on line 5 (50% multiplied by 6 

divided by 12).

For more information, see Pub. 463, Travel, 

Entertainment, Gift, and Car Expenses.

Line 8

Enter total qualified plug-in electric drive motor vehicle 

credits from:

• Schedule K-1 (Form 1065), box 15 (code P), and

• Schedule K-1 (Form 1120S), box 13 (code P).

Line 13

Enter the total, if any, credits from Form 1040, lines 47 

through 50 (or Form 1040NR, lines 45 through 47); Form 

5695, line 14; Form 8834, line 23; Form 8910, line 22; and 

Schedule R, line 22.

Line 15

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

because of the tax liability limit, the unused credit is lost. 

The unused personal portion of the credit cannot be 

carried back or forward to other tax years.

Paperwork Reduction Act Notice. We ask for the

information on this form to carry out the Internal Revenue 

laws of the United States. You are required to give us the 

information. We need it to ensure that you are complying 

with these laws and to allow us to figure and collect the 

right amount of tax.

You are not required to provide the information 

requested on a form that is subject to the Paperwork 

Reduction Act unless the form displays a valid OMB 

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

instructions must be retained as long as their contents 

may become material in the administration of any Internal 

Revenue law. Generally, tax returns and return 

information are confidential, as required by section 6103.

The time needed to complete and file this form will vary 

depending on individual circumstances. The estimated 

burden for individual taxpayers filing this form is approved 

under OMB control number 1545-0074 and is included in 

the estimates shown in the instructions for their individual 

income tax return. The estimated burden for all other 

taxpayers who file this form is shown below.

Recordkeeping . . . . . . . . . . 4 hr., 4 min.

Learning about the law or the form . . . . 35 min.

Preparing and sending the form to the IRS . 41 min.

If you have comments concerning the accuracy of 

these time estimates or suggestions for making this form 

simpler, we would be happy to hear from you. See the 

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