A simple Answer TO yOUr Question
What happens to the EV tax credit if I return the lease early?
The tax credit is between the leasing company and the IRS, not you. If you return the lease early, the credit stays with the leasing company and has no direct impact on your taxes. Your obligation is to settle any early termination fees per your lease agreement. The credit itself does not need to be repaid by you when the lease ends.
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The Smart Buyer's Guide to Leasing vs. Buying in 2026
Discover:
✓ When to lease vs. buy
✓ Hidden fees to watch for
✓ Tax benefits for business owners
✓ Current manufacturer incentives
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