In 2024, the IRS will now allow dealerships to apply the new or used EV tax credit at the time of purchase.
America's electric vehicle tax credits are changing yet again, and this time they're going to be more accessible than ever. If you've been waiting to buy an EV, now might be the moment you've been holding out for. Last year, the Inflation Reduction Act introduced a new set of modernized tax credits for new and used electric and plug-in hybrid cars.
With the new point-of-sale credit, that person can make off with a $7,500 reduction in the purchase price of their shiny new EV. In other words, consumers who score a credit for more than their tax burden won’t have to owe the IRS anything come tax season. That said, people making over the income cap by the end of the year they claim the credit will not be in a beneficial spot.
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