Trump is set to end the EV tax credit. Here are 7 electric cars to buy before it goes away
Tesla’s (TSLA) Model Y SUV, Model X crossover SUV, and Model 3 compact all qualify for the full tax credit, while the company’s Cybertruck pickup and Model S luxury car do not.
According to the Energy Department, whether each specific model is eligible for the full tax credit depends on its model year. For example, the 2024 Model Y equipped with rear-wheel drive is eligible, as is the 2023-2025 Model Y Performance.
The only version of the Model X eligible for the tax credit is the 2023-2025 model year equipped with an all-wheel drive. As for the Model 3, the Energy Department notes that the eligibility of the 2025 Model 3 Long Range equipped with all-wheel drive may vary.
On the whole, Tesla is among the automakers expected to be least affected by a plan to axe the Inflation Reducation Act, given its dominance in the market. CEO Elon Musk has said that in the long term, it “probably actually helps Tesla,” and he wants all tax credits for both electric vehicles and gas-powered cars to be removed.
