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In the US, this is accurate for other clean energy incentives, but EVs get a $7500 tax credit rather than a tax deduction so the benefit doesn’t depend on tax r
by lh7777 3y ago
In the US, this is accurate for other clean energy incentives, but EVs get a $7500 tax credit rather than a tax deduction so the benefit doesn’t depend on tax rate.
The credit is not available for incomes over $150k (single) or $300k (married filing jointly), but the credit is also non-refundable, which means it can only reduce your tax to zero. If your total tax is < $7500, you don’t get the rest back as a refund. This means that, for example, married couples earning less than ~$95k don’t get the full credit.