US loosens some electric vehicle battery rules, potentially making more EVs eligible for tax credits
Source: AP
Updated 3:28 PM EDT, May 3, 2024
DETROIT (AP) — The U.S. government on Friday loosened some rules governing electric vehicle tax credits, potentially making more EVs eligible for credits of up to $7,500 but leading critics to accuse the Biden administration of helping China.
The Treasury Department announced final regulations for the credits under the 2022 Inflation Reduction Act, giving automakers more time to comply with some provisions about where battery minerals can come from. The credits range from $3,750 to $7,500 for new EVs. There’s also a $4,000 credit for used ones.
They’re aimed at juicing demand for EVs in an effort to reach a Biden administration goal that half of all new vehicle sales be electric by 2030. This year the credits are available at the time a vehicle is purchased from an authorized dealer rather than waiting for an income tax refund.
Qualifying for the credits depends on a person’s income, the price of the vehicles and requirements related to battery makeup and minerals that get tougher each year. To get the credits, EVs must be assembled in North America. Some plug-in hybrids also can qualify.
Read more: https://apnews.com/article/electric-vehicle-tax-credit-treasury-government-bcbbc0fd7eac8b970d419260c8ed577b
U.S. Department of Treasury PRESS RELEASE - U.S. Department of the Treasury Releases Final Rules to Lower Consumer Costs, Continue U.S. Manufacturing Boom in Batteries and Clean Vehicles, Strengthen Energy Security
