A fresh InflationReduction Act has been signed into law, and new electric vehicle tax credit rules attended with it. Initially, it had been feared that no vehicle would be eligible for the tax credit, given the stringent manufacturing requirements. Fortunately, the Department of Energy has assuaged some of these fears and contains released a listing of new EVs that qualify in 2022, in addition to a few vehicles that may qualify next year.
The list isn’t lengthy with only 18 vehicles qualifying for the credit in 2022. The Department of Energy also notes that the tax credit only pertains to vehicles with final assembly in THE UNITED STATES. There exists a VIN decoder provided to see which vehicle qualifies as much vehicles have multiple assembly locations. Because with regards to federal law, words like “simple” and “clear to see” usually do not always apply.
Included one of many new 2022 vehicles that be eligible for the EV tax credit are theAudi Q5, the BMW 3-Series Plug-in, and the BMW X5 EV. The Chrysler Pacifica PHEV and Ford’sF-150 Lightning,Mustang Mach-E, and Transit Van meet the criteria. For Jeep, both Grand Cherokee PHEV andWrangler 4xe PHEV are certain to get buyers the $7500 tax credit. The Lincoln Aviator PHEV and Corsair Plug-in and also the Lucid Air and Nissan Leaf were named as eligible vehicles.The Rivian R1S,R1T, and EDV qualify. The Volvo S60 rounds out the set of eligible 2022 vehicles.
For 2023, BMW’s 3-Series Plug-in, the EQS from Mercedes-Benz, and the ubiquitous Nissan Leaf make the cut.
Think about Tesla?
Tesla, General Motors, and Chevrolet are conspicuously absent from that list. Those manufacturers have previously met the sales cap of 200,000 set by the Department of Energy because of this year, but numerous vehicles will undoubtedly be qualified to receive the tax credit in 2023.
Both current and then model year’s ChevroletBolt will need to wait until 2023 to obtain the credit. The GMC Hummer Pickup and SUV versions will never be eligible this season. Tesla’s entire lineup, the Model 3, Y, S, and X aren’t eligible either. Lastly, Cadillac’s first all-electric vehicle, theLyriq won’t qualify until January of 2023.
In the event that you were seeking to get much on the Tesla or Chevy Bolt this season, you might want to wait until next year before pulling the trigger. A $7,500 tax credit isn’t anything to sneeze at. Hopefully, those incentives will encourage more folks to get EVs in the coming years. Although vehicles just like the Ford F-150 Lightning are a thrilling consider the possible future of EVs, there still aren’t a huge amount of choices for those attempting to buy an inexpensive EV.