EV Tax Credit Calculator
New EV Credit (30D)
Federal clean vehicle credit for new EVs up to $7,500
Used EV Credit (25E)
Up to $4,000 credit for qualifying used EVs
Formula
New EV Credit = $3,750 (critical minerals) + $3,750 (battery components) if MSRP ≤ limit and AGI ≤ income limit; Used EV Credit = min($4,000, 30% × Purchase Price) if price ≤ $25,000 and AGI ≤ limit
Frequently Asked Questions
How does the federal EV tax credit work in 2024+?
The Inflation Reduction Act provides up to $7,500 for new EVs and $4,000 for used EVs. The new vehicle credit has two $3,750 components based on battery mineral sourcing and manufacturing. Starting in 2024, buyers can transfer the credit to the dealer for an instant discount at point of sale.
What are the income limits for the EV tax credit?
For new EVs: $150,000 (single), $225,000 (head of household), $300,000 (married filing jointly). For used EVs: $75,000 (single), $112,500 (HOH), $150,000 (MFJ). These are based on modified adjusted gross income from the current or prior year.
Can I get the EV tax credit if I don't owe enough taxes?
The credit is non-refundable, meaning it can only reduce your tax liability to zero but won't generate a refund. However, starting in 2024, you can transfer the credit to the dealer at purchase, effectively getting the discount regardless of your tax situation.
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