First, if you’re married and earn more than $300,000, you’re not eligible.
But that’s just the beginning. Other criteria reported by John Rosevear at CNBC:
- Vehicle price caps. Cars priced above $55,000, and trucks, vans and SUVs priced over $80,000, aren’t eligible for the tax credit.
- Made in North America. Only EVs that “undergo final assembly” in the U.S., Canada, or Mexico are eligible for the credit.
- Critical minerals. To be eligible for the credit in 2023, at least 40% of the critical minerals by value—including lithium, nickel, manganese, graphite and cobalt—in the vehicle’s batteries must have been extracted, processed or recycled in the U.S. or in a country with which the U.S. has a free trade agreement. . . .
- Battery components. To be eligible for the credit in 2023, at least 50% of the value of the components in an EV’s battery must be manufactured or assembled in North America.
And how must companies figure out such things as “40 percent” of value of critical minerals? There are rules for that, too.
Image by Stan Petersen for Pixabay.