A partial list of all the EVs that qualify for the new $7,500 tax credit

Starting January 1, 2023, a bunch of electric vehicles are newly eligible for a $7,500 tax credit that was passed into law as part of the $430 billion Inflation Reduction Act a year ago.

Some new models on the list had lost eligibility when their manufacturer reached the previous credit’s sales cap of 200,000 vehicles (Tesla models, Chevy Bolts). Others have recently moved their production to North America, meeting one of the main requirements (VW ID.4).

There’s still a lot up in the air at the moment – the Treasury has set a deadline in March to publish guidance on some of the more difficult battery material sourcing issues and other rules that could dramatically reduce the list of eligible if adopted – but for now it’s EVs that qualify.

Foreign automakers are pressuring the Biden administration to give them a piece of the action, while Sen. Joe Manchin (D-WV) has threatened to block implementation in an effort to prevent companies from exploiting loopholes. And CEO of Tesla Elon Musk whines about how it’s “confused” that some versions of the Tesla Model Y that exceed the $80,000 price point don’t qualify, while a bunch of hybrid SUVs do.

Bottom line: If you’re not sure if the new EV you’re looking at qualifies for a loan, talk to an accountant. Every state has at least a few CPAs who are familiar with the insanity of the EV tax credit and can help you navigate the murky waters ahead. They can also tell you what government incentives, if any, may be available.

This list is a good start, but don’t consider it the last word.