The Electric Vehicle Tax Credit
July 1, 2022
The electric vehicle (EV) tax credit begins to phase out when 200,000 of a manufacturer’s qualifying vehicles have been sold. But automakers are telling Congress, not so fast! In a letter, GM, Ford, Chrysler and Toyota asked Congressional leaders to give all electric car and light truck buyers a tax credit of up to $7,500. The group says that lifting the limit would give buyers more choices, encourage greater EV adoption and provide stability to autoworkers. Already, GM and Tesla have run out of credits and Toyota is close. As the carmakers stated, they believe “a sunset date set for a time when the EV market is more mature” makes good economic and environmental sense.