MS HB1658

Allows a one-time income tax credit for investments in qualified clean-burning motor vehicle fuel property (hydrogen fuel cells, compressed/liquefied natural gas, liquefied petroleum gas) and qualified electric motor vehicle property.

Credit amounts vary by property type: 50% of cost for vehicle modifications and electric vehicles (capped at $1,500 for pre-equipped vehicles if basis cannot be determined), 75% for commercial fueling infrastructure, and up to $2,500 for residential compressed natural gas systems.

Unused credits may be carried forward and applied against income tax liability for up to five succeeding tax years.

Married couples filing separately may each claim only half the credit that would be allowed on a joint return.

Takes effect July 1, 2012, and does not affect tax assessments or claims under prior income tax law.