The Biden administration is moving to clarify how homeowners and businesses can receive lucrative tax credits for installing electric vehicle chargers.

A new rule proposed Wednesday by the Treasury Department could mean tax credits of up to $1,000 for individuals and $100,000 for businesses if they install electric vehicle chargers.

The Biden administration released a new proposal to expand the number of electric vehicle chargers eligible for tax credits across the country. It comes as the administration has sought to increase incentives for people to choose EVs over gas and diesel-powered vehicles in an attempt to lower carbon emissions.

US Department of the Treasury has clarified EV charger tax credit eligibility for individuals and businesses – here's what you need to know.