Internal Revenue Service is giving clean vehicle tax credit up to $7500 under Internal Revenue Code Section 30D, if you are planning to buy an Electronic Vehicle or Fuel Cell Vehicle in 2023 then you can avail the benefits of the IRS EV Tax Credit 2023. To get it, it is mandatory to qualify in all terms, in order to get detailed information subject to which stay tuned till the very end of this writing.
IRS EV Tax Credit 2023
It is estimated that by 2030 only electric vehicles will be seen on the roads not only in the USA but in various countries around the world, and it should be so because it will protect our environment. To save our earth, it is very important to avoid vehicles running on fossil fuels. That is why the government of the USA is giving huge tax credits on the purchase of electric vehicles. An individual who is planning to buy a brand new EV in the USA can he/she qualify for it in all terms.
|Credit||Tax Credit on buying EVs & FCHs|
|Section||Internal Revenue Code 30D|
|Credit Amount||Upto $7500|
The Government of USA is going to provide up to $75,000 tax credit to the buyers for not only Electric Vehicle but also Fuel Cell Vehicle, you must know that according to the Internal Revenue Code Section 30D of the IRS, any electronic vehicle sold in 2023 or after, the buyer can receive a tax credit of up to $7,500, that’s mean even buy an EV or FCV after 2023 you can avail the benefits of tax credit, this rule has been implemented as an official from 1 January 2023 in all State of USA.
IRS EV Tax Credit Eligibility
Because of The Inflation Reduction Act of 2022 rules for getting tax credit on EVs has been changed, an individual or business can get IRS EV Tax Credit only if the vehicle is going to be bought for personal use, not for reselling, an individual also have to use it primarily in the United States of America.
Other than the above mentioned term, an individual’s modified adjusted gross income must not be above $300,000, $225,000 or $150,000 for married couples, heads of households, or others, respectively.
IRS EV Tax Credit Qualified Vehicles
Before knowing the names of qualified vehicles, you must know all the eligibility terms of an EV to get a $7500 tax credit. Checkout the list and get details.
- An EV must have a battery, which holds a capacity of a minimum of 7 kilowatts per hour.
- The weight of an EV must be below 14,000 pounds i.e. 6350.293 kilograms.
- Electric vehicles whose cost does not exceed $55,000.
- Electric trucks and SUVs whose cost does not exceed $85,000.
The vehicle must be made by a qualified manufacturer, whose list is available below.
- 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
You must know that not every single Electric Vehicles manufactured by above mentioned manufacturers qualify for the tax certificate, know the names of potentially eligible vehicles, from the below.
- 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
As per our reliable sources some of the vehicles may be removed on or before March 2023 from the above available eligible electric vehicles list, if you want to purchase any EV and get upto $7500 then you must hurry.