The Inflation Reduction Act was signed into law on August 16th and there is plenty of controversy surrounding the changes to the tax rebate eligibility requirements at both the vehicle and consumer level.
To get our heads around these changes, we spent hours sifting through the tax credit requirements and put together a timeline of events of the new law as it will have a pretty big effect on electric vehicle new car sales.
We also put together a list of 2022 and 2023 models still eligible for the tax credit this year.
20
'22 Eligible Electric Models
Tax Credit Requirement Timeline
BEFORE AUGUST 16
Vehicle
Requirements
- Models with less than 200k units sold
Consumer Requirements
- None
THRU DECEMBER 31
Vehicle
Requirements
- Models with less than 200k units sold
- SUVs, vans, pickups less than $80k MSRP
- Passenger vehicles less than $55k MSRP
- Vehicle must be assembled in North America
Consumer Requirements
- Individual tax filers make $150k or less
- Head of Household tax filers make $225k or less
- Joint tax filers make $300k or less
AFTER JANUARY 1
Vehicle
Requirements
- SUVs, vans, pickups less than $80k MSRP
- Passenger vehicles less than $55k MSRP
- Vehicle must be assembled in North America
Consumer Requirements
- Individual tax filers make $150k or less
- Head of Household tax filers make $225k or less
- Joint tax filers make $300k or less
2024 & BEYOND
Vehicle
Requirements
- SUVs, vans, pickups less than $80k MSRP
- Passenger vehicles less than $55k MSRP
- Vehicle must be assembled in North America
- Battery materials sourced from countries with U.S. free trade agreement
- Battery assembled in North America
Consumer Requirements
- Individual tax filers make $150k or less
- Head of Household tax filers make $225k or less
- Joint tax filers make $300k or less