The EV tax credit: all the cars, rules, and updates – The Verge

So much for Ford and GM’s scheme to extend the EV tax credit

2025-10-10T12:34:18-04:00

Ford and GM are both backing off their effort to continue offering the $7,500 electric vehicle tax credit to customers through the end of the year, Reuters is reporting.

Last week, it was revealed that the automakers were working with their respective dealer networks on short-term programs that would allow customers to continue to receive the tax credit on leased EVs through the rest of the year. With the tax credit expiring on September 30th, Ford and GM were hoping to keep offering the discount to customers for a short while in order to buoy EV sales.

Ford and GM took a different approach

While automakers including Hyundai and Stellan …

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Ford and GM are buying their own EVs to keep the $7500 tax credit alive

2025-10-01T13:25:03-04:00

Ford and GM have apparently worked up an interesting scheme to keep the expiring $7,500 federal EV tax credit from driving down sales. According to Reuters, the automakers are working with dealers on short-term programs that would allow customers to continue to receive the tax credit on leased EVs through the rest of the year.

The programs will operate under each automaker's financing arm, according to documents viewed by Reuters and interviews with dealers briefed on the plan. It basically works like this: Ford and GM will buy EVs from its own dealers by having their finance divisions put down payments on all the electric models in their …

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The EV tax credit is dead — here’s what happens next

2025-09-29T16:27:47-04:00

For EVs, it's Zero Hour. When the clock strikes midnight on Oct. 1, the $7,500 federal tax credit on EVs will expire, potentially turning affordable electric carriages into showroom pumpkins.

Sales of electric cars are certain to dip. Real-world prices will rise. The only question is how much, and for how long, as President Donald Trump and his administration continue to go scorched-earth over climate change and kneecap support for electric cars and renewable energy.

With one eye on the clock, consumers bought more new EVs in August 2025 than in any other month in US history: Sales reached 146,332 cars, up nearly 18 percent year over year, …

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So long, EV tax credits

2025-05-22T15:35:01-04:00

Once Donald Trump won office for a second time, the writing was on the wall.

Trump ran on many messages, most of them confusing and contradictory, but one of his loudest and clearest messages was to end President Joe Biden's "EV mandate." It made no difference there never was a mandate, just a series of policies designed to encourage car companies to make more zero-emission vehicles and consumers to buy them - Trump was gunning for EVs.

As soon as he took office, he started signing a flurry of executive orders laying out exactly how he would start dismantling Biden's legacy. And chief among them was an order to eliminate all of his prede …

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Senate Republicans introduce bills to make EVs more expensive

2025-02-14T14:31:59-05:00

Two bills were introduced in the Senate that, if enacted, would dramatically increase the price for most electric vehicles. The first bill, sponsored by Sen. John Barrasso (R-Wyo.), would eliminate the $7,500 EV tax credit, while a second one from Sen. Deb Fischer (R-Neb.) would impose a $1,000 tax on the purchase of any new EV.

None of this is exactly surprising, except perhaps the timing. After taking office, Donald Trump signed executive orders signaling his intent to eliminate the Biden administration's electric vehicle policies, which he has falsely labeled a "mandate." But an executive order was never going to be enough; it was going …

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Hyundai and Kia now qualify for the federal EV tax credit

2025-01-02T18:29:23-05:00

Five electric vehicles from Hyundai, Kia, and Genesis now qualify for the US's $7,500 EV tax credit, Electrek reports. The new models include popular vehicles like the Hyundai Ioniq 5 crossover SUV and Kia EV9 three-row family hauler. Now, 25 EVs and plug-in hybrids across 10 brands qualify for the credit.

The Biden Administration's EV tax credit rules mandate building vehicles in North America for eligibility and include additional requirements for sourcing battery components. In 2022, Hyundai and Kia threatened to take legal action against Biden's Inflation Reduction Act after it expanded the available credits but left the EVs they were b …

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Carvana will apply a clean vehicle tax credit at checkout for used EVs

2024-07-10T05:00:00-04:00

There are some good EVs and hybrids that are eligible for the incentive. | Screenshot: Umar Shakir / The Verge

Carvana is now offering discounts of up to $4,000 at checkout for eligible used EVs and plug-in hybrids. The discount is essentially an advancement of the federal tax incentive for previously owned vehicles, but it lets customers reap the benefit immediately rather than waiting for tax refunds the following year.

You will still need to file your taxes correctly using IRS Form 8936, and you have to agree to transfer the credit to Carvana once you do file. So, while it's not making tax season any easier, Carvana is offering a lower cost of entry to buy an electric vehicle, which could help push customers interested in EVs to take the leap. Ca …

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Republicans won’t stop trying to kill Biden’s EV tax credit

2024-07-09T13:33:51-04:00

House Republicans advanced an effort to void the Biden administration's EV tax credits, even as electric vehicle sales in the US continued to grow year over year.

The House Ways and Means Committee voted in favor of a bill that would undo the federal EV tax credits, arguing that the rules would result in US taxpayer dollars flowing to Chinese companies. The tax credits were "pushed by radical environmentalists and some EV producers" and should therefore be struck down, according to a House Republican fact sheet.

"The Biden administration is sacrificing our economic independence in order to force more Americans to drive an electric vehicle, …

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Hyundai’s first US-built EV will be the tax credit-ready Ioniq 5

2024-06-02T14:47:44-04:00

The Hyundai Ioniq 5 will reportedly be the first car rolling out of the company's new Georgia factory this fall. Moreover, company CEO Jose Muñoz tells Automotive News he expects the US-made version will net buyers the full $7,500 federal EV tax credit, which the South Korea-made vehicle isn't otherwise eligible for (outside of a leasing loophole).

Hyundai will start producing the Ioniq 5 at the Georgia plant in October, but the company won't be making batteries there for "about a year," Automotive News writes. For now, the article says the company will source its batteries from a Hungarian factory operated by Hyundai's partner for its Geor …

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Biden grants automakers some flexibility on battery minerals in final EV tax credit rules

2024-05-03T10:50:07-04:00

The Biden administration is giving automakers a little leeway around some of the strict rules regarding eligibility for the government's $7,500 tax credit.

The final guidance, which was released today, gives car companies a two-year exemption from provisions in the Inflation Reduction Act (IRA) intended to disqualify EVs with battery minerals from countries like China, Russia, Iran, and North Korea - so-called "foreign entities of concern" (FEOC).

The exemption only applies to "impracticable-to-trace" battery minerals, like graphite, which frequently comes from China. Those materials are exempt from the rules until 2027, the Treasury Depar …

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