IRS issues new EV tax credit guidance -- new rules effective April 18, 2023

[Old Spice]

https://home.treasury.gov/news/press-releases/jy1379

https://electrek.co/2023/03/31/everything-you-need-to-know-about-irs-new-ev-tax-credit-guidance/

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[SparkChaser]

So does Tesla meet the 2nd, 4th and 5th steps?

 

[Crissa]

So does Tesla meet the 2nd, 4th and 5th steps?

Depends on the vehicle and the battery pack.

It sounds like Model S/X (if they were under the price limit) would survive with their Japanese battery cells...
...But the LFP Model 3 with its Chinese battery will not retain the full value.

The 3/Y/Cybertruck should be fine, hopefully they don't miss the processed raw material percentage.

-Crissa

 

[NJturtlePower]

https://driveteslacanada.ca/news/to...us-announced-to-come-into-effect-on-april-18/

 

[cvalue13]

leave it to electrek to create an yes/no infographic, implying it will simplify and explain to a layperson how to determine whether they’ll will receive tax credit, but being pregnant with two steps that are essentially unknowable to a layperson

HOW TO KNOW IF YOU’VE MADE A SANDWICH:

1. Does it have two pieces of bread? Yes/No

2. Was the bread baked in North America using dough containing at least 50% of grains harvested in Kansas? Yes/No

3. Did the oven that baked the bread maintain a consistent 200° heat for at least 30% of the bake time? Yes/No

4. Is there meat or cheese between the pieces of bread? Yes/No

If you answered yes to all four, you have a sandwich! If you answered “no” to 2 or 3 you have half a sandwich!

 

[NJturtlePower]

This incentive is so often confused! Its not about "owing" its about liability, as in taxes paid on income throughout the year by payroll deductions for most.

Best video I found that explains it correctly.

Nothing has changed in the terms of the Federal $7500 since I claimed it back in 2018 besides the new income caps and designated vehicles that are eligible or not.

 

[Crissa]

Well, in 2024 you'll be able to claim it at purchase.

-Crissa

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