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Here's How the EV Tax Credit Works in 2024

There are plenty of changes you need to know about

EV Tax Credits Explained
  • The EV tax credit offers up to $7,500 back if you purchase a new EV in 2024.
  • But not that many vehicles qualify anymore.
  • Not only that, but a host of other changes took place. Watch the video to learn all about it.

The EV tax credit is a way of trying to incentivize Americans to choose an EV over a gas car by offering up to $7,500 back come tax time. Put that way, it sounds relatively simple, right? Sadly, it isn't. There are a number of requirements that change the way the tax credit works in 2024.

Several of these changes make it easier to get the credit applied to your taxes (and you can even turn it into a sort of discount right there at the dealership now). The only problem is some other changes that went into effect severely limit the number of cars that are eligible right now. There's a work-around by way of leasing, though, but there's no guarantee you'll get that money. If this sounds confusing, don't worry — we had to do plenty of research to wrap our brains around it, too.

Luckily for you, we distill the whole thing down right here in a quick video. Check it out if you want all the details. Want to read even more in-depth on it? Check out our full breakdown here.

Edmunds says

Be sure to click the links in the video description to get regularly updated information, too!