State of Kansas provides 40% of the cost of PHEV Conversion
Alternative Fuel Vehicle (AFV) Tax Credit An income tax credit is available for up to 40% of the incremental or conversion cost for qualified AFVs,
as outlined in the table below. Qualified AFVs include vehicles that operate on a combustible liquid derived from grain starch, oil seed, animal fat,
or other biomass, or produced from a biogas source.
GVWR Credit Less than 10,000 pounds (lbs.) Up to $2,400 10,000 to 26,000 lbs. Up to
$4,000 Over 26,000 lbs. Up to $40,000
Alternatively, a tax credit of $750 or 5% of the cost of the AFV, whichever is less, is available for
the purchase of an original equipment manufacturer AFV. This credit is allowed only to the first individual to take title of the vehicle. For motor
vehicles capable of operating on E85, the individual claiming the credit must provide evidence of purchasing at least 500 gallons of E85 between the
time the vehicle was purchased and December 31 of the following calendar year. Excess credits may be carried over for up to three years after the year
in which the expenditures were made. For more information, see the Kansas Department of Revenue Alternative Fuel Tax Credit Web
page.
(Reference Kansas Statutes 79-32,201)
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