Alternative Vehicle Conversion Credits - Personal

June 08, 2004


Louisiana offers state income tax credits worth 20% of the cost of converting a conventional vehicle to run on an alternative fuel, 20% of the incremental cost of purchasing an Original Equipment Manufacturer (OEM) AFV, and 20% of the cost of constructing an alternative fuel refueling station. For the purchase of an OEM AFV, the tax credit cannot exceed the lesser of 2% of the total cost of the vehicle or $1,500. Only vehicles registered in Louisiana are eligible for the tax credit. If the tax credit exceeds the amount of income taxes due or if there are no state income taxes due on the income of the taxpayer, the amount of the credit not used may be carried forward as a credit against subsequent income tax liability for a period of three years. Eligible alternative fuels include methanol, denatured ethanol, and other alcohols; mixtures containing 85% or more by volume of methanol, denatured ethanol, and other alcohols with gasoline or other fuels; natural gas (compressed or liquefied); liquefied petroleum gas (propane); hydrogen; coal-derived liquid fuels; fuels (other than alcohol) derived from biological materials, including neat (100%) biodiesel and P-Series fuel; and electricity (including electricity from solar energy).

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Louisiana
Incentive Type: Personal Tax Credit
Web Site:
Administrator: LA Department of Revenue
Start Date:
Eligible Renewable/Other Technologies:
  • Renewable Fuel Vehicles
  • Refueling Stations
Incentive Amount: Varies
Maximum Incentive: None


Name: La. R.S. 47:38


Name: Public Information
Organization: LA Department of Revenue
Address: PO Box 201
Baton Rouge LA 70821-0201
Phone: (855) 307-3893

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.