The Inflation Reduction Act tweaked an existing law offering rebates worth up to $7,500 to individuals who buy new “clean” vehicles like electric cars, plug-in hybrids, and hydrogen fuel cell vehicles.
The credit will be available through 2032 but comes with strict income requirements, reports The Sun.
Married couples don’t qualify for the new-vehicle credit if their modified adjusted gross income on a joint tax return exceeds $300,000. The limit is $150,000 for single tax filers.
Individuals don’t qualify for the tax break if their van, sport utility vehicle or pickup truck costs more than $80,000. There’s a $55,000 price limit for other vehicles.