Cars that qualify for the EV (electric vehicle) tax credit are those that meet certain criteria set forth by the federal government. Specifically, to qualify for the credit, the vehicle must be:
- An electric vehicle (EV) that runs solely on batteries
- Manufactured by a company that is subject to the credit’s phase out rule.
- Intended for use on public streets, roads, and highways.
Examples of vehicles that have qualified for the EV tax credit in the past include the Tesla Model S, Chevrolet Bolt, Nissan Leaf, and Ford Fusion Energi. However, as the credit begins to phase out for a manufacturer’s vehicles when at least 200,000 qualifying plug-in electric drive motor vehicles have been sold for use in the United States, it is best to check with the manufacturer or with the IRS to confirm if a specific vehicle is eligible for the credit at the time of your purchase.