Clean alternative fuel commercial vehicle and vehicle infrastructure tax credit

Available to:

Businesses that use commercial vehicles to transport commodities, merchandise, produce, refuse, freight, animals or passengers, and need to refuel the vehicles with clean alternative fuel.

Credit is earned on:

Purchases of new commercial vehicles and qualifying used commercial vehicles with propulsion units that are principally powered by a clean alternative fuel. This includes:

• Leases of new commercial vehicles and qualifying used commercial vehicles with propulsion units that are principally powered by a clean alternative fuel.
• Costs to modify a commercial vehicle to be principally powered by a clean alternative fuel, including property incorporated into the vehicle and labor or service charges to modify the vehicle.
• Purchases of alternative fuel vehicle infrastructure component parts, as well as related installation and construction costs.

Vehicle must display a WA license plate.

Credit is not earned on vehicles purchased to lease to others.

Reporting/documentation requirements:

• No Annual Tax Performance Report.
• Electronic filing required.
• Apply for the Commercial Vehicle Credit and/or Alternative Fuel Vehicle Infrastructure Credit (3 part application) in MyDOR.

Statewide annual credit balances
(As of December 31, 2020)

Applied for: $8,964,851.25
Amount issued: $2,053,442.46
Remaining available: $6,000,000 as of January 1, 2021

Statewide total credit balances
(From July 15, 2015 through December 31, 2020)

Applied for: $15,221,384.16
Amount issued: $4,138,696.65
Remaining available: $28,361,303.35

Note: The remaining available credit is the total annual statewide cap less any credits issued.

For questions about the application, call Taxpayer Account Administration at 360-705-6214.