EV tax credits are ending soon: What you need to know

PHILADELPHIA (WPVI) -- If you're thinking about getting an electric vehicle, do not procrastinate: tax credits are coming to an end very soon.

The clean vehicle tax credits were set to expire by the end of 2032, but that date has been dramatically moved up to the end of next month due to the passage of President Trump's "One Big Beautiful Bill."

"These tax credits end on September 30th," said Ingrid Malmgren with Plug In America.

The clean vehicle tax credits are huge.

"It's up to $7,500 for a new EV, up to $4,000 for a used EV," said Malmgren. "And that also includes plug-in hybrid electric vehicles."

The tax credits do not include hybrids.

And there are eligibility requirements for the full credit, including that the vehicle must be manufactured in North America.

Fifty percent of a vehicle's battery components must be produced or assembled in North America.

And according to Consumer Reports, that means 40% of the critical minerals used in the battery must be extracted or processed in the U.S. or in a country that's a U.S. free trade agreement partner, or they must have been made from materials recycled in North America.

Finally, the vehicle must have an MSRP below $80,000 for an SUV and $55,000 for a sedan, wagon, or hatchback.

"Part of the legislation that put these into place was about creating a domestic supply chain and US jobs," said Malmgren, "which the tax credits were very successful at doing."

If a vehicle doesn't qualify, you may be able to get the tax credit by leasing an EV instead of buying it. Talk to your dealer.

And whether you're buying or leasing, you must act quickly.

To get the credit, you must physically have the new or used EV by the end of next month.

"So it doesn't mean you can order it and have it come in later; they have to have it in their possession," she said.

Here's another tax credit currently in place that won't be around forever: you can get up to $1,000 or up to 30% of the cost of the project, whichever is less, toward a home charger.

"And that includes the installation, panel upgrades, and even batteries to support the charger," she said.

That credit is expiring June 30 of next year.

To get the credit, Malmgren said buyers must also meet certain income guidelines.

For instance, if you're buying a new EV, a household's modified adjusted gross income must be $300,000 or less.

If you're single or married but filing separately, it must be $150,000 or less.

But again, this provision might not apply if you lease the vehicle, and the income limits are different if you're buying a used EV.

According to Consumer Reports, the EVs that currently are eligible for the tax credit expiring on September 30 include:

• Acura ZDX EV (2024-2025 model years; MSRP $80,000 or below)
• Cadillac Lyriq (2024-2025 model years; MSRP $80,000 or below)
• Cadillac Optiq (2025 model year; MSRP $80,000 or below)
• Cadillac Vistiq (2026 model year; MSRP $80,000 or below)
• Chevrolet Blazer EV (2024-2026 model years; MSRP $80,000 or below)
• Chevrolet Equinox EV (2024-2026 model years; MSRP $80,000 or below)
• Chevrolet Silverado EV (2025-2026 model years; MSRP $80,000 or below)
• Chrysler Pacifica Hybrid PHEV (2024-2025 model years; MSRP $80,000 or below)
• Ford F-150 Lightning (2024-2025 model years for Flash trim, 2023-2025 model years for Lariat and XLT trims; MSRP $80,000 or below)
• Genesis Electrified GV70 (2026 model year; MSRP $80,000 or below)
• Honda Prologue (2024-2025 model years; MSRP $80,000 or below)
• Hyundai Ioniq 5 (2025 model year; MSRP $80,000 or below)
• Hyundai Ioniq 9 (2026 model year; MSRP $80,000 or below)
• Jeep Wagoneer S (2025 model year; MSRP $80,000 or below)
• Kia EV6 (2026 model year; MSRP $80,000 or below)
• Kia EV9 (2026 model year; MSRP $80,000 or below)
• Tesla Cybertruck (2025 model year for Dual Motor, Long Range, and Single Motor trims; MSRP $80,000 or below)
• Tesla Model 3 (2025 model year for Long Range AWD, Long Range RWD, and Performance trims; MSRP $55,000 or below)
• Tesla Model X (2025 model year for AWD trim; MSRP $80,000 or below)
• Tesla Model Y (2025-2026 model years for Long Range AWD and Long Range RWD trims; 2025 model year for Performance trims; MSRP $80,000 or below)

**More vehicles may be added to or removed from this list as manufacturers continue to submit information on whether their vehicles are eligible.**