ev tax credit

January 1, 2023, kicked off a fresh start of new tax credits for vehicles, both new and used. Since then, much of the dust has settled on the Capitol as it continues to implement qualifying terms for tax credits, continuously shifting what used EVs do and do not qualify. Here’s the latest list.

China’s Ministry of Industry and Information Technology announced a revision to its long-running “dual-credit policy,” in which local automakers earn certain calculated credits for each EV they build. The Ministry is reducing said credit by 40%, putting certain automakers in jeopardy of non-compliance and risk of losing their ability to sell to the public.

China’s Ministry of Finance has confirmed that tax exemptions for New Energy Vehicles (NEVs) scheduled to expire at the end of this year have been extended through 2027. Consumers in China will now be able to take advantage of EV tax breaks amounting to over $4,000 per vehicle to start, which will dwindle down over the next four years.

Canadians gather! If you’re looking to go electric, there is an expansive program at your disposal offering varying levels of incentives for EV purchases and leases in Canada. We’ve compiled everything you need to know below, alongside an ever-growing list of vehicles that qualify.

Colorado is trailblazing with a new law that ramps up impressive EV state tax credits for both purchases and leases.

Vietnamese EV automaker Vinfast just relayed that its new VF 8 electric SUV has been added to the list of eligible vehicles under the Clean Vehicle Rebate Project (CVRP) created by the California Air Resources Board (CARB). New and existing VinFast customers can now qualify for up to $7,500 in tax rebates in California, which can extend to other participating states. Learn how to apply below.

General Motors shared Monday that it now leads the industry in the number of EV models that qualify for the full $7,500 tax credit. GM expects its entire lineup of electric vehicles under the MSRP cap to be eligible for the full EV tax credit in 2023.

In short, Joe Manchin opposes EV adoption. Straight up. In his latest obstruction against electric vehicles and limiting carbon emissions, the Democratic Senator representing the nation’s second-largest supplier of coal has introduced a new bill that immediately calls for strict enforcement of revised terms for EV tax credits laid out in last year’s Inflation Reduction Act – many of which Manchin wrote himself. We won’t disagree that the government needs guidance to enable these credits, but the senator’s bill is as promising as a future in which we continue relying on fossil fuels.

Senator Joe Manchin, who has a swing vote in the US Senate, said that the Democrats have given up on the $4,500 electric car tax credit bonus for union-made EVs as part of the Build Back Better Act.

It is still unclear what reform the EV tax credit will see in the spending bill, if any.

West Virginia Senator Joe Manchin – whose state’s banner industry, coal mining, has been largely unionized and been central to the US labor movement since soon after its inception – today called the proposed $4,500 union-made EV tax credit “wrong” and “not American.”

The $4,500 union-made EV credit is a portion of the proposed $12,500 federal EV tax credit, part of the pending Build Back Better act, which updates and expands on the current $7,500 federal EV tax credit available to EV purchasers.

Earlier this month, the U.S. Senate passed its version of the Republican tax bill, which didn’t include the proposed language that would have removed the federal tax credit for electric vehicles.

Now the bill is being reconciled with the House bill, which reportedly still included the removal of the EV credit, but some Republicans are reportedly leaking that they will side with the Senate bill on the issue, along with keeping the incentive for wind power.
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Tesla announced a new Build Plan for the Model 3 this week. According to Tesla CEO Elon Musk, it could result in the company manufacturing as many as 100,000 to 200,000 Model 3 vehicles during the second half of 2017, and around 500,000 cars in 2018 (Model 3, S and X). It’s a direct response to the storm of Model 3 reservations, now over 400,000, that Tesla received since unveiling the vehicle just over a month ago.

The ambitious plan would not only result in reservation holders getting the car sooner, but also in more (a lot more) American reservation holders having access to the $7,500 federal tax credit for electric vehicles.
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