Many dealers are in a situation where they did not timely report "clean vehicle credit transactions" to the IRS for sales that occurred in 2024. If a "clean vehicle credit transaction" was not reported to the IRS the consumer is unable to claim the credit for the "clean vehicle credit transactions" on their 2024 tax return.
Although many dealers were not aware of the reporting obligation or did not learn about this until 2025, the IRS closed its reporting "portal" in 2024, leaving dealers unable to submit late reports and consumers unable to obtain the credit.
However, through NADA's advocacy efforts, the IRS is now allowing dealers to submit time of sale reports for qualifying clean vehicle credit transactions that occurred in 2024.
The IRS has confirmed that the portal for time of sale reporting is now open (effective Wednesday, March 26, 2025). The portal will enable both traditional 30D and advanced payment transactions to be processed. We do not know how long the IRS portal will be open, so we encourage dealers to begin using the portal immediately.
Without proper reporting, customers may be unable to claim their clean vehicle credits, and dealers will undoubtedly face dissatisfied customers and could be responsible for financial losses.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
