--- title: "IRS Offers Fix for Dealer Flub That Halted EV Owners’ Tax Returns" date: "2025-03-28" modified: "2025-03-28" authors: - name: "Byron Hurd" job_title: "Editor" link: "https://www.thedrive.com/authors/byron-hurd" url: "https://www.thedrive.com/news/irs-offers-fix-for-dealer-flub-that-halted-ev-owners-tax-returns" categories: - "Car Buying" - "News" tags: - "Electric Vehicle" --- # IRS Offers Fix for Dealer Flub That Halted EV Owners’ Tax Returns ![]() *\Cadillac\* A few weeks back, we reported that the IRS was [rejecting some EV owners' tax returns]() over a widespread dealership flub. Some auto retailers missed the window to report EV transactions to the federal government, jeopardizing tax credits worth up to $7,500 and leaving buyers' entire tax returns in limbo. Now, buyers left frustrated by the Clean Vehicle Tax Credit problems have received good news from the National Automobile Dealers Association: The IRS has made it easier for dealers to retroactively report 2024 EV sales to eligible customers, as *[NPR]()* writes. Last year, the IRS [implemented a new portal]() to allow dealers to report EV sales that were eligible for point-of-sale tax credits, making verification of buyers' tax returns a simple point-and-click process. That's where some transactions hit a snag, with issues most commonly related to buyers' [IRS form 15400](). This report informs the IRS that the vehicle was eligible for the credit at the time of purchase and tells the appropriate bean counters whether you claimed the rebate at purchase (an option not available under the previous program) or planned to claim it when you filed your taxes (as was the norm prior to 2024). But in many cases, dealers failed to report those sales within the three-day period mandated by the feds, [leaving buyers in the lurch]() when their 2024 returns were rejected over the discrepancy. To clear the logjam, the IRS has taken two steps. For starters, it has rescinded the three-day reporting requirement, allowing dealers to retroactively report eligible sales. Secondly, it is working to register dealers who never bothered to enroll in the portal in the first place, paving the way for their customers to properly claim their credits. These concessions are welcome, but they do nothing for customers who are stuck with deadbeat dealerships. Even with the reporting window extended indefinitely, dealers must still register for the portal and report their customers' purchases, and the IRS is not in a position to compel a stubborn dealership to do either. In cases where customers were misled, intentionally or otherwise, there's not much relief to be found here. And if you're stuck on your EV credit paperwork, don't forget that you can always call the IRS for assistance (800-829-1040). No better place to get the answer than straight from the source! *Got a tip? Send it in: tips@thedrive.com* ## Author Byron is an editor at The Drive with a keen eye for infrastructure, sales and regulatory stories. He brings a light, punchy style to all of his content, believing that there's plenty out there to be laughed at—himself included. Born and raised in Maryland but now based just a stone's throw from Detroit, Byron is an auto enthusiast and generalist who enjoys building and tinkering with things of all kinds, from cars, computers and digital cityscapes, to the new garage that will soon house his fleet (a CT4-V Blackwing, a JK Wrangler and an NA Miata). Inspired by an early love of rollercoasters, Byron quickly caught the high-performance driving itch. He's been tracking and auto-crossing his cars since 2007. In his downtime, Byron enjoys reading, playing city builders, and studying the history of the Motor City. ### Author social links [Bluesky]() [Instagram]() [LinkedIn]()