Electric Cars

Electric cars are propelled by electricity and built by an original equipment manufacturer.

They have higher depreciation limits than gas-propelled passenger cars. Although a hybrid car may be partially powered by electricity, it is not treated as an electric vehicle.

Annual Depreciation Limits for Electric Cars

  • Tax year 2006: $8,960
  • Tax year 2007: $14,400
  • Tax year 2008 $8,650
  • Tax years after 2008: $5,225

Annual limits must be reduced for personal use.

File your personal and small business taxes (Schedule C)