$2 Billion In EV Tax Credits Have Been Claimed Since January

One component of the Inflation Reduction Act (IRA) of 2022 was a new EV tax credit for select plug-in hybrid and all-electric vehicles, which provided customers with either a partial credit of $3,750 or a full $7,500 depending on the model. At first, pretty much every electrified Ford vehicle was eligible for this new EV tax credit, though at the beginning of the year, sourcing requirements for battery raw materials changed, which caused some to fall off that list. Regardless, it seems as if more than a few Americans have taken advantage of the EV tax credit since January.

According to the U.S. Department of the Treasury and the IRS, $2 billion in EV tax credits have been claimed since January on more than 300,000 vehicle purchases. “These savings are giving consumers new choices and helping automakers and dealers to attract new customers and grow their businesses,” said Secretary of the Treasury Janet L. Yellen. “Consumers will save an average of $21,000 on fuel and maintenance over the lifetime of their vehicles and be protected from the volatility of gasoline prices.”

After the first of the year, three Blue Oval models lost their eligibility for the EV tax credit – the Ford E-Transit, Ford Mustang Mach-E, and Lincoln Aviator Grand Touring (which has since been discontinued, at least for now). The Lincoln Aviator Grand Touring is eligible for the full credit, while the Ford Escape PHEV and Lincoln Corsair Grand Touring get half of that sum. Commercial buyers are eligible for commercial tax incentives of as much as $7,500 on all these vehicles, too.

The Ford F-150 Lightning is still eligible for the EV tax credit incentive as well, which is also true of the C-Max Energi, Fusion Energi, and Focus Electric. Soon, the Mustang Mach-E will rejoin this list, at least for certain models, after The Blue Oval and LG Energy Solutions move NCM battery production from Poland to Holland, Michigan.