Instant Federal Tax Credit for EVs to Kick Off in 2024

Over 7,000 U.S. Dealerships Sign Up to Offer Instant Rebates, Amid Glut of Unsold EV Inventory

Starting January 1, 2024, eligible buyers of new and used electric vehicles (EVs) in the U.S. will be able to instantly claim a federal tax credit of up to $7,500 and $4,000 respectively, at the point of purchase.
Over 7,000 U.S. dealerships, accounting for nearly half of all new car dealerships in the country, have signed up to offer the instant federal tax credit.
The instant tax credit is expected to lower the monthly payments for consumers who finance their new electric vehicle through participating dealerships.
Despite federal and state tax credits, consumer demand for EVs has not kept up with the pace of production, leading to a glut of unsold inventory and price cuts.
New restrictions on electric vehicles and battery sourcing will take effect from January 1, 2024, potentially reducing the number of vehicles that qualify for the full rebate.