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Schedule VP
Vanpool Credit 2020
Name Federal Identification number
Eligible costs. Briefly describe purchased or leased qualifying shuttle vans. Include Costs
make, model and registration number. Additional details must be available upon request. a. b.
Use additional sheet if necessary. Do not combine purchased and leased Costs. Pur- Purchased Leased
chased and leased Costs should be reported separately.
1
2 Totals. Add all costs for each column. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
3 Total costs. Add line 2, col’s. a and b. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
4 Vanpool Credit allowable from current year. Enter amount on appropriate line of Credit Manager Schedule. . . . . . . . . . . . . 4
General Information
What Is the Vanpool Credit? Are All Costs Eligible for the Credit?
The Vanpool Credit is a tax credit equal to 30% of the total purchase No. Only the costs of purchasing or leasing shuttle vans are eligi-
or lease costs for shuttle vans used in an employer- sponsored ble. The credit does not apply to the cost of insurance, mainte-
ridesharing program. The credit is available for tax years ending nance, fuel, drivers’ salaries or other operating expenses.
on or after December 31, 1988.
Is Depreciation Allowed on Shuttle Vans?
Who Is Eligible to Take the Vanpool Credit? Yes. A depreciation deduction may be taken on any qualifying vehi-
Any business corporation which purchases or leases shuttle vans cle. However, the basis upon which the depreciation is taken must
as part of an employer-sponsored ridesharing program in Mass- be reduced by the amount of the allowable credit.
achusetts is eligible for the Vanpool Credit. The credit does not
apply to the purchase or lease costs of vehicles which would be re- When Must a Corporation Take the Vanpool
quired even if an employer-sponsored ridesharing program did not Credit?
exist. Qualifying shuttle vans must be used for transporting em- For purchased vehicles, the Vanpool Credit may only be taken in
ployees or students from their homes or public transportation facil- the taxable year in which the qualifying vehicles were acquired and
ities to a place of employment or to a campus in the Common- placed in service. For qualifying leased vehicles, the credit may be
wealth. To qualify, a shuttle van must be used by the corporation taken in those taxable years in which a lease or contract payment
in Massachusetts and situated in the Commonwealth on the last is incurred.
day of the corporation’s taxable year.
Line Instructions
Who Is an Employee? Line 1
For purposes of the Vanpool Credit, an employee is an individual Enter in line 1 the make, model and registration number of the
who: qualifying shuttle van(s). For purchased vans, enter in col. a the
total purchase cost. For leased vans, enter in col. b the taxable
• Works more than eight paid hours per week for an employer; or
year’s lease or contract payment costs.
• Is a full-time student at a college, university or other post-
Line 2
secondary educational institution and who commutes between
home and campus on a regular basis. Total all taxable year qualifying costs for each column.
What Is a Shuttle Van? Line 3
A shuttle van is a highway vehicle which meets all of the following Total all qualifying costs for the taxable year.
requirements:
• It has a seatingat leastcapacity of seven adults, including the
driver;
• At least 80% of its mileage can be reasonably expected to be
from the transportation of students and employees; and
• At least half of its adult seating capacity is occupied on average.