Form 8936 - Qualified Plug-In Electric Drive Motor Vehicle Credit - Non-Refundable Credit
The Qualified Plug-in Electric Drive Motor Vehicle Credit is a non-refundable credit. A non-refundable credit can reduce your tax liability to 0 (zero); however, it cannot result in a refund. So, if you qualify for a $350 credit and your tax liability is $200, you will only receive a $200 credit on your return. If your tax liability is zero you will not receive the credit at all, even though you are otherwise eligible for it.