When I totaled my Toyota Prime and bought another one for a total of $15,000 of tax credits I had to be darn sure I paid 15K in taxes that year, I sold off some mutual funds that had lots of capital gains on them just to make sure as the EV credits did not carry forward, it was use them or lose the amount above what was owed in taxes.
These days almost everyone has a IRA, if they need to pay more taxes to cover a credit, they can always do a conversion to Roth IRA.
These days almost everyone has a IRA, if they need to pay more taxes to cover a credit, they can always do a conversion to Roth IRA.