Internal Revenue Bulletin:  2013-45 

November 4, 2013 

Notice 2013–67

Qualified 2- or 3-Wheeled Plug-In Electric Vehicle Credit Under Section 30D(g)


SECTION 1. PURPOSE

This notice sets forth guidance relating to the qualified 2- or 3-wheeled plug-in electric vehicle credit under § 30D(g) of the Internal Revenue Code, which applies to vehicles acquired after December 31, 2011, and before January 1, 2014. Specifically, this notice provides procedures for a vehicle manufacturer (or, in the case of a foreign vehicle manufacturer, its domestic distributor) to certify to the Internal Revenue Service (IRS) that a vehicle of a particular make, model, and model year meets the requirements for the qualified 2- or 3-wheeled plug-in electric vehicle credit under § 30D(g).

This notice also provides guidance regarding the conditions under which taxpayers who purchase vehicles may rely on the vehicle manufacturer’s (or, in the case of a foreign vehicle manufacturer, its domestic distributor’s) certification in determining whether a credit is allowable with respect to a vehicle.

A credit for qualified 2- or 3-wheeled plug-in electric vehicles previously was enacted as § 30 in the American Recovery and Reinvestment Act of 2009, Pub. L. 111–5, 123 Stat. 115. The § 30 credit was effective for qualified 2- or 3-wheeled plug-in electric vehicles acquired after February 17, 2009, and before January 1, 2012. Guidance regarding the credit under § 30 for vehicles acquired after February 17, 2009, and before January 1, 2012, is provided in Notice 2009–58, 2009–30 I.R.B. 163. The American Taxpayer Relief Act of 2012, Pub. L. 112–240, 126 Stat. 2313, added new § 30D(g), which creates a credit for qualified 2- or 3-wheeled plug-in electric vehicles that is effective for vehicles acquired after December 31, 2011, and before January 1, 2014. This notice provides guidance regarding the credit under § 30D(g) for vehicles acquired after December 31, 2011, and before January 1, 2014.

SECTION 2. BACKGROUND

Section 30D(g)(1) provides a credit for qualified 2- or 3-wheeled plug-in electric vehicles. The credit is an amount equal to the sum of the applicable amount for each qualified 2- or 3-wheeled plug-in electric vehicle placed in service by the taxpayer during the taxable year. Under § 30D(g)(2), the applicable amount for a qualified 2- or 3-wheeled plug-in electric vehicle is an amount equal to the lesser of: (1) 10 percent of the cost of the vehicle, or (2) $2,500.

SECTION 3. SCOPE OF NOTICE

This notice applies to qualified 2- or 3-wheeled plug-in electric vehicles.

SECTION 4. MEANING OF TERMS

The following definitions apply for purposes of this notice:

.01 In General. Terms used in this notice and not defined in this section 4 have the same meaning as when used in § 30D.

.02 Acquire. The term “acquire” means to take title under state law. A vehicle is acquired on the date on which title to that vehicle passes under state law.

.03 Model Year. The term “model year” means the model year determined under the Clean Air Act regulations (see 40 CFR § 86–082-2).

SECTION 5. MANUFACTURER’S CERTIFICATION

.01 When Certification Permitted. A vehicle manufacturer (or, in the case of a foreign vehicle manufacturer, its domestic distributor) may certify to purchasers that a vehicle of a particular make, model, and (if applicable) model year is eligible for the qualified 2- or 3-wheeled plug-in electric vehicle credit allowable under § 30D(g) when the following requirements are met:

(1) The manufacturer (or, in the case of a foreign vehicle manufacturer, its domestic distributor) has submitted to the IRS, in accordance with this section 5, a certification with respect to the vehicle, and the certification satisfies the requirements of section 5.03 of this notice; and

(2) The manufacturer (or, in the case of a foreign vehicle manufacturer, its domestic distributor) has received an acknowledgment of the certification from the IRS.

.02 Purchaser’s Reliance. Except as provided in section 5.05 of this notice, for purposes of determining whether a vehicle is a qualified vehicle, a purchaser of a vehicle may rely on the manufacturer’s (or, in the case of a foreign vehicle manufacturer, its domestic distributor’s) certification concerning the vehicle (including cases in which the certification is received after the purchase of the vehicle). The purchaser may claim a credit with respect to a qualified vehicle if the following requirements are satisfied:

(1) The vehicle is acquired after December 31, 2011, and before January 1, 2014;

(2) The vehicle is placed in service by the taxpayer in a taxable year beginning after December 31, 2011;

(3) The original use of the vehicle commences with the taxpayer;

(4) The vehicle is acquired for use or lease by the taxpayer, and not for resale; and

(5) The vehicle is used predominantly in the United States.

.03 Content of Certification. The certification must contain the following information:

(1) The name, address, and taxpayer identification number of the certifying entity;

(2) The make, model, and (if applicable) model year, and any other appropriate identifiers of the vehicle;

(3) A statement that the vehicle is made by a manufacturer within the meaning of § 30D(d)(3);

(4) The gross vehicle weight rating of the vehicle;

(5) A statement that the vehicle is propelled to a significant extent by an electric motor that draws electricity from a battery;

(6) The number of wheels that the vehicle has;

(7) The kilowatt hour capacity of the battery;

(8) A statement that the battery is capable of being recharged from an external source of electricity;

(9) A statement that the vehicle is manufactured primarily for use on public streets, roads, and highways, and is not manufactured primarily for off-road use;

(10) A statement that the vehicle is capable of achieving a speed of 45 miles per hour or greater;

(11) A description of the motor vehicle safety provisions of 49 C.F.R. Part 571 applicable to the vehicle and a statement that the vehicle complies with those provisions; and

(12) A declaration, applicable to the certification, statements, and any accompanying documents, signed by a person currently authorized to bind the manufacturer (or, in the case of a foreign vehicle manufacturer, its domestic distributor) in these matters, in the following form: “Under penalties of perjury, I declare that I have examined this certification, including accompanying documents, and to the best of my knowledge and belief, the facts presented in support of this certification are true, correct, and complete.”

.04 Acknowledgement of Certification. The IRS will review the original signed certification and issue an acknowledgment letter to the vehicle manufacturer (or, in the case of a foreign vehicle manufacturer, its domestic distributor) within 30 days of its receipt. This acknowledgment letter will state whether purchasers may rely on the certification.

.05 Effect of Erroneous Certification. The acknowledgment that the IRS provides for a certification is not a determination that a vehicle qualifies for the credit. If the IRS, upon examination (and after any appropriate consultation with the Department of Transportation or the Environmental Protection Agency), determines that the vehicle is not a qualified 2- or 3-wheeled plug-in electric vehicle, the manufacturer’s (or, in the case of a foreign vehicle manufacturer, its domestic distributor’s) right to provide a certification to future purchasers of 2- or 3-wheeled plug-in electric vehicles will be withdrawn. Purchasers who acquire vehicles after the date on which the IRS publishes an announcement of the withdrawal may not rely on the certification. Purchasers may continue to rely on the certification for vehicles they acquired on or before the date on which the announcement of the withdrawal is published (including in cases in which the vehicle is not placed in service and the credit is not claimed until after that date), and the IRS will not attempt to collect any understatement of tax liability attributable to such reliance. Manufacturers (or, in the case of foreign vehicle manufacturers, their domestic distributors) are reminded that an erroneous certification may result in the imposition of penalties, including, but not limited to, the following:

(1) Under § 7206 for fraud and making false statements; and

(2) Under § 6701 for aiding and abetting an understatement of tax liability.

SECTION 6. TIME AND ADDRESS FOR FILING CERTIFICATION

.01 Time for Filing Certification. For a certification under section 5 of this notice to be effective for a qualified 2- or 3-wheeled plug-in electric vehicle, the IRS must receive the certification not later than March 31, 2014.

.02 Address for Filing. Certifications under section 5 of this notice must be sent to:

Internal Revenue Service

Industry Director, LB&I, Retailers, Food, Transportation & Healthcare

1901 West Butterfield Road

Suite 310 M/S 1902 WSB

Downers Grove, IL 60515

SECTION 7. DATE OF APPLICABILITY

This notice applies to qualified 2- or 3-wheeled plug-in electric vehicles acquired after December 31, 2011, and before January 1, 2014.

SECTION 8. PAPERWORK REDUCTION ACT

The collection of information contained in this notice has been reviewed and approved by the Office of Management and Budget in accordance with the Paperwork Reduction Act (44 U.S.C. 3507) under control number 1545–2137.

An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless the collection of information displays a valid OMB control number.

The collections of information in this notice are in sections 5 and 6. This information is required to be collected and retained in order to ensure that a vehicle meets the requirements for the qualified 2- or 3-wheeled plug-in electric vehicle credit under § 30D(g). This information will be used to determine whether the vehicle for which the credit is claimed by a taxpayer is property that qualifies for the credit. The collection of information is voluntary to obtain a benefit. The likely respondents are corporations and partnerships who manufacture (or, in the case of foreign manufacturers, distribute) electric vehicles.

The estimated total annual reporting burden is 120 hours.

The estimated annual burden per respondent varies from 6 hours to 10 hours, depending on individual circumstances, with an estimated average burden of 8 hours to complete the certification required under this notice. The estimated number of respondents is 15.

The estimated annual frequency of responses is on occasion.

Books or records relating to a collection of information must be retained as long as their contents may become material in the administration of any internal revenue law. Generally, tax returns and tax return information are confidential, as required by section 6103.

SECTION 8. DRAFTING INFORMATION

The principal author of this notice is Shauna D. Manion of the Office of Associate Chief Counsel (Passthroughs & Special Industries). For further information regarding this notice, contact Patrick S. Kirwan at (202) 622-3110 (not a toll-free call).


More Internal Revenue Bulletins