New vehicle credit (up to $7,500)
The credit breaks into two $3,750 components: critical minerals sourcing and battery components assembled in North America. Many vehicles qualify for one half but not both.
Income limits
Single filers with AGI over $150,000 don't qualify. MFJ over $300,000. HoH over $225,000. Either current-year or prior-year AGI below the cap works.
Used vehicle credit (up to $4,000)
30% of the sale price up to $4,000, for vehicles 2+ years old sold for $25,000 or less by a licensed dealer. Income limits are $75,000 single / $150,000 MFJ.
Common questions
- Can I transfer the credit to the dealer?
- Yes. Starting 2024, buyers can transfer the credit to the dealer at sale for a price reduction, regardless of their tax liability.
Related
Personal Income Tax Preparation
Federal and state 1040 preparation with year-round planning. Serving individuals in Florida and all 50 states.
Tax Planning
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Home Energy Efficiency Tax Credits
Up to 30% back on insulation, windows, doors, heat pumps, and a $150 home energy audit credit.