Here are some of the major criteria for cars and consumers to qualify for the credit:The car's model year must be at least 2 years old.Buyers are ineligible for a credit if their annual income exceeds certain thresholds: $75,000 for singles, $112,500 for heads of household and $150,000 for married couples filing a joint tax return. Buyers assess income for the year in which they acquired the car or the prior year, whichever is less.
Both the new and used credits are nonrefundable, meaning car buyers need to have a tax liability to get any value from the tax breaks. Starting in 2024, however, a new mechanism will kick in for new and used cars whereby buyers can transfer their tax credits to dealers — perhaps allowing dealers to turn the tax break into a point-of-sale discount for consumers instead of a benefit that can only be claimed when filing an annual tax return, experts said. The IRS plans to issue additional guidance about this transfer provision.
I rest my case
Amazing we’re trying to bait rich people into buying electric cars with taxpayer money. If these cars are so great why do we need to subsidize them? Do we offer subsidies for iPhones?
This is a scam dealers are raising the price of the EV vehicles the credit never goes to the consumers.