What is the Used Clean Vehicle Tax Credit?
The Used Clean Vehicle Tax Credit is part of the Inflation Reduction Act and offers up to $4,000 or 30% of the sale price (whichever is less) for qualifying used EVs and hybrids. This tax credit applies to vehicles purchased from a dealer and is available for vehicles at least two years old, making it a great option for budget-conscious buyers looking to reduce their carbon footprint.
Who Qualifies?
To qualify for the Used Clean Vehicle Tax Credit, there are some key criteria:- The car must be purchased from a dealer.
- The sale price must be $25,000 or less.
- The vehicle must be at least two years old.
- Your income must be below certain limits, which vary based on filing status (e.g., $75,000 for single filers, $150,000 for joint filers).
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