The Internal Revenue Service (IRS) offers a tax credit of up to $7,500 for clean vehicles under Internal Revenue Code Section 30D. If you’re considering purchasing an Electric Vehicle (EV) or Fuel Cell Vehicle in 2023, you have the opportunity to take advantage of the IRS EV Tax Credit 2023. However, it’s important to meet all the qualifying criteria in order to be eligible for this credit. For a comprehensive understanding of the requirements and more detailed information, please continue reading until the conclusion of this text.
IRS EV Tax Credit 2023, Who Can Qualify Qualified Vehicles
By 2030, electric vehicles are projected to dominate the roads not only in the USA but also in numerous countries worldwide. This shift is crucial for the preservation of our environment, as it aims to minimize the use of vehicles dependent on fossil fuels. Consequently, the government of the USA is offering substantial tax credits for individuals purchasing electric vehicles. If someone is considering buying a new EV in the USA, it is imperative for them to meet all the qualifying criteria in order to avail themselves of these benefits.
IRS EV Tax Credit 2023
|Credit||Tax Credit on buying EVs & FCHs|
|Section||Internal Revenue Code 30D|
|Credit Amount||Upto $7500|
|check Status||IRS Refund Status|
The Government of the USA is set to offer tax credits of up to $75,000 to buyers of both Electric Vehicles (EVs) and Fuel Cell Vehicles (FCVs). It’s important to note that as per the Internal Revenue Code Section 30D of the IRS, any electronic vehicle sold in 2023 or later is eligible for a tax credit of up to $7,500. This means that even if you purchase an EV or FCV after 2023, you can still take advantage of the tax credit. This official rule will be implemented in all states of the USA starting from January 1, 2023.
IRS EV Tax Credit Eligibility
The eligibility criteria for the IRS EV Tax Credit have changed due to The Inflation Reduction Act of 2022. To qualify for the tax credit, an individual or business must purchase the vehicle for personal use and not for resale. Additionally, the vehicle must be primarily used in the United States of America.
In addition to the above requirements, an individual’s modified adjusted gross income must not exceed $300,000 for married couples, $225,000 for heads of households, or $150,000 for others.
IRS EV Tax Credit Qualified Vehicles
Before exploring the list of qualified vehicles, it’s important to understand the eligibility criteria for a $7,500 tax credit. Please review the following criteria for detailed information:
- The EV must have a minimum battery capacity of 7 kilowatts per hour.
- The weight of the EV must be below 14,000 pounds (6350.293 kilograms).
- The cost of the electric vehicle should not exceed $55,000.
- Electric trucks and SUVs should not exceed a cost of $85,000.
The qualified manufacturer list includes:
- American Honda Motor Co., Inc.
- Audi of America, LLC
- BMW of North America, LLC
- Ford Motor Company (including Ford and Lincoln brands)
- General Motors LLC (including GMC, Chevrolet, Buick, and Cadillac brands)
- Hyundai Motor America
- Jaguar Land Rover Ltd
- Kia America Inc.
- Mazda Motor of America Inc.
- Mercedes-Benz USA, LLC
- Mitsubishi Motors North America, Inc.
- Nissan North America
- Polestar Automotive USA Inc.
- Porsche Cars North America, Inc. (Porsche AG)
- Proterra Operating Company Inc.
- Rivian Automotive, LLC
- Stellantis N.V. (including Chrysler and Jeep brands)
- Subaru of America Inc.
- Tesla Inc.
- Toyota Motor Sales, U.S.A., Inc
- Volkswagen Group of America
- Volvo Car North America, LLC
Please note that not all electric vehicles manufactured by the mentioned manufacturers qualify for the tax credit. Refer to the list below for potentially eligible vehicles:
- Audi Q5 TFSI e Quattro (PHEV)
- BMW 330e
- BMW X5 xDrive45e
- Ford Escape Plug-In Hybrid
- Ford E-Transit
- Ford F-150 Lightning
- Ford Mustang Mach-E
- Lincoln Aviator Grand Touring
- Lincoln Corsair Grand Touring
- Chevrolet Bolt
- Chevrolet Bolt EUV
- Cadillac Lyriq
- Nissan Leaf S, S Plus, SL Plus, SV & SV Plus
- Rivian R1S
- Rivian R1T
- Chrysler Pacifica PHEV
- Jeep Wrangler 4xe
- Jeep Grand Cherokee 4xe
- Tesla Model 3 Rear Wheel Drive & Long Range
- Tesla Model Y All-Wheel Drive, Long Range & Performance
- Volkswagen ID & ID.4 Pro, Pro S, S, AWD Pro and AWD Pro S
- Volvo S60 (PHEV), Extended Range & T8 Recharge
Please note that some of the vehicles listed above may be removed from the eligible electric vehicle list before or on March 2023. If you wish to purchase an EV and qualify for up to $7,500 in tax credit, it is advisable to act promptly.
- Major NSFAS Appointment to Enhance Communication Ahead of 2024
- How Much Pay NSFAS Allowances Will Be For December 2023
- How Does NSFAS Support Part-time Studies?
- NSFAS To Introduce New Funding Model For Students
- The NSFAS Denies A Crisis After Thousands Of Students Aren’t Paid
- NSFAS Spin Doctor Set to Become Spokesperson
- Is NSFAS On The Brink Of A Collapse? Unveiling the Challenges and Reforms
- NSFAS Applications For 2024 Will Open in 2024
- Executive Shakeup at NSFAS Sparks Controversy: Nongogo Axed Over FNB Tender Dispute
- NSFAS Revolutionizes Data Exchange Processes for Enhanced Student Financial Support
- NSFAS Addresses Concerns Raised by the South African Union of Students
- NSFAS 2024 Applications Set to Open Next Week: New Features and Guidelines
sassa1 week ago
Post Office Blocked Sassa Card After Suspected Fraud
blog3 weeks ago
NSFAS Application Status and Meaning 2023-2024
sassa1 week ago
You Can Now Apply for a Basic Income Grant of R999
NSFAS News1 hour ago
Nsfas Appeals For 2023 Now Open
sassa2 weeks ago
Here Some Changes In Old Age Pension Grant Payment Date for October 2023
sassa1 week ago
Here Some Changes In Old Age Pension Grant Payment Date for November 2023
sassa1 week ago
Finally New Grant of R999 for Basic Income Introduced
sassa2 months ago
Here Some Changes In Old Age Pension Grant Payment Date for September 2023