TROY – Michelle Krebs, Executive Analyst with Cox Automotive, known for the AutoTrader, Kelly Blue Book, and Manheim Auto Auctions, provides details about the new EV tax credit that came out from the IRS on March 31 as authorized by the Inflation Reduction Act.
The law has a long, complicated list of criteria to obtain the full tax credit, starting with vehicle’s price with different caps for cars versus SUVs and trucks, the vehicle being assembled in the U.S. and the battery being made in North America.
Beyond that, the law will phase in requirements from where the minerals for the battery come from – only places with trade agreements with the U.S. are eligible. Automakers and dealers are scrambling to develop guidance to assist consumers. Some are developing technology, like apps, to calculate the answer.
