Automotive

EV Tax Credit Guidance Issued

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EV Tax Credit Guidance Issued

👩‍⚖️🗺️⛏️The US Treasury has, at long last, issued guidance for applying battery component and mineral sourcing requirements under the Inflation Reduction Act.  

💵💸💰The $7,500 tax credit will be available in two parts. One $3,750 chunk is for vehicles assembled in North America, and the other half is available based on battery component building/sourcing. 

🗓️📈🌎The battery sourcing requirements will increase yearly, causing automakers to bring more production to North America or US Free Trade Countries as time passes.

🚗🛻🤵‍♂️Only cars under $50K, SUVs/Trucks under $80K are eligible. Single taxpayers earning more than $150K, heads-of-household earning more than $225K, and jointly filing married people earning more than $300K will not be eligible either. 

⏰🔍👍The changes go into effect on April 17th. Some automakers have provided lists of models still covered by the tax credits once the changes are in place.

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