Montana Alternative Fuel Credit
Montana Alternative Fuel Credit
Alternative Fuel Credit
You can claim a credit against your income tax liability for the cost of converting your motor vehicle to operate on an alternative fuel. Your credit is equal to 50% of the cost to convert your motor vehicle for a maximum credit of up to $1,000.
In order to qualify for this credit, your motor vehicle has to be licensed in Montana and the conversion has to be from gasoline to an alternative fuel, such as natural gas, liquefied petroleum gas, liquefied natural gas, hydrogen, electricity, or other combinations.
For further instructions on the alternative fuel credit and to calculate this credit, see Montana Form AFCR. When you claim this credit, you will have to include a copy of Form AFCR with your tax return.
** The Alternative Fuel Credit was repealed and will no longer be available after tax year 2021.**