Tax Credit for VehicleQ: Is it tax deductible?
A: The IRS gives a tax deduction for any property that you purchase in order to allow your vehicle to run on clean burning fuel. The clean burning fuels accepted by the IRS are:
Hydrogen Liquefied natural gas Natural gas Liquefied petroleum Electricity E85 (or higher alcohol content fuels)
As you can see, hydrogen is on top of the list. You can deduct some of the cost of your supplemental hydrogen generator on the year you purchase it. It must be installed properly in your vehicle the year you bought it in order to claim the deduction. Since supplemental hydrogen generators allow your vehicle to run on a cleaner burning hydrogen injected fuel, they qualify for this deduction.
IRS Source -Tax Credit or Deductible |