Electric vehicles have many advantages, but one thing that keeps some car buyers away is their high price compared to gasoline-powered cars. However, in many cases, the expense is mitigated by the federal electric vehicle tax credit, which provides up to $7,500 back for qualifying models. Check out the top three electric cars that still qualify for the $7,500 federal electric vehicle tax credit.
Which electric cars are still eligible for the $7,500 federal electric vehicle tax credit?
The federal electric vehicle tax credit was declared in 2010 as an incentive for people to buy electric cars. However, there are limits for each car manufacturer for the electric vehicle tax credit, depending on the number of electric vehicles they have sold.
Initially, an automaker can offer the full $7,500 electric vehicle tax credit on the first sale of electric vehicles. As detailed by Cars.com, after selling 200,000 electric vehicles, an automaker can only offer a credit of $3,750, and then eventually the credit ends until they no longer qualify. For example, Tesla and GM have already reached their electric vehicle limit, so none of their electric vehicles are eligible for the electric vehicle tax credit. Additionally, the EV tax credit applies to both fully electric (EV) and plug-in hybrid (PHEV) cars.
Here are the new electric cars that still qualify for the $7,500 federal electric vehicle tax credit. Note: This list is subject to change as more EVs are released and others lose eligibility:
- Audi: e-tron (EV), e-tron Sportback (EV), e-tron GT (EV), Q4 50 e-tron Quattro (EV) A7 TFSI e Quattro (PHEV) and Q5 TFSI e Quattro (PHEV)
- Bentley: Bentayga Hybrid (PHEV)
- BMW: i3 (EV), i4 (EV), iX (EV), X5 xDrive45e (PHEV), 330e (PHEV) and 530e (PHEV)
- Chrysler: Pacifica Hybrid (PHEV)
- Ford: Mustang Mach-E (EV), F-150 Lightning (EV), E-Transit (EV) and Escape PHEV
- Honda: Clarity plug-in hybrid (PHEV)
- Hyundai: Ioniq PHEV, Ioniq 5 EV, Kona EV, Santa Fe PHEV, Sonata PHEV and Tucson PHEV
- Jaguar: I-Pace (EV)
- Jeep: Wrangler 4xe (PHEV) and Grand Cherokee 4xe (PHEV)
- Kia: Niro EV (EV), EV6 (EV), Sorento PHEV and Niro PHEV
- Land Rover: Range Rover PHEV and Range Rover Sport PHEV
- Lexus: NX (PHEV)
- Lincoln: Aviator Grand Touring (PHEV), Corsair Reserve Grand Touring PHEV and Corsair Grand Touring PHEV
- Lucid: Air (EV)
- Mazda: MX-30 (EV)
- McLaren: Artura (PHEV)
- Mercedes-Benz: EQS (VE)
- Mini: Cooper SE Hardtop (EV) and Cooper SE Countryman ALL4
- Mitsubishi: Outlander PHEV
- Nissan: Leaf (EV)
- Polestar: 1 (PHEV) and 2 (EV)
- Porsche: Cayenne (PHEV), Panamera (PHEV) and Taycan (EV)
- Rivian: R1T (EV) and R1S (EV)
- Toyota: RAV4 Prime (PHEV) and Prius Prime (PHEV)
- Volkswagen: ID.4 (VE)
- Volvo: Recharge S60 (PHEV), Recharge S90 (PHEV), Recharge V60 (PHEV), Recharge XC40 (EV), Recharge XC60 (PHEV) and Recharge XC90 (PHEV)
As you can see, many electric cars still qualify for the $7,500 federal electric vehicle tax credit. However, we think the best ones still available are the Ford Mustang Mach-E, Rivian R1T and Hyundai Ioniq 5.
The Ford Mustang Mach-E is a great electric car that still qualifies for the $7,500 federal electric vehicle tax credit
One of the best electric cars still eligible for the $7,500 federal electric vehicle tax credit is the Ford Mustang Mach-E. The Mustang Mach-E (starting price $43,895) combines styling cues from the Mustang Mach-E with powerful electric motors and SUV utility. It boasts a 0-60mph acceleration time as low as 3.5 seconds and a respectable 315 miles of range. Plus, the Mustang Mach-E offers plenty of useful technology, like a 15.5-inch portrait touchscreen and Ford’s Pro Pilot suite of driver assistance technologies.
Get the Rivian R1T with the Federal EV Tax Credit
The Rivian R1T (starting price $67,500) is another wonderful electric vehicle that still qualifies for the $7,500 federal electric vehicle tax credit. The Rivian R1T has received rave reviews, including the coveted MotorTrend Truck of the Year award. With its four-motor system, the R1T generates an incredible 835 horsepower and a 0-60 mph time of 3.0 seconds. The range of the R1T is 314 miles. Plus, the R1T has the agility of a sports sedan for on-road driving, and shines even more off-road.
Hyundai Ioniq 5 is a reasonably priced electric car that still qualifies for the $7,500 electric vehicle tax credit
The third vehicle on our list of best electric cars still eligible for the $7,500 federal electric vehicle tax credit is the Hyundai Ioniq 5. With a starting price of $39,950, the Ioniq 5 is reasonably priced , while offering more features than the cheapest electric. vehicles currently available. The Ioniq 5 delivers respectable performance too, with a 0-60mph time of 5.2 seconds and a range of 300 miles.
Whether it’s the Ford Mustang Mach-E, the Rivian R1T, or the Hyundai Ioniq 5, there are still great electric cars that still qualify for the $7,500 federal vehicle tax credit. electrical. However, as automakers sell more electric vehicles, the eligibility of those vehicles might not last much longer, especially for Ford and Hyundai. With that in mind, if you want to be sure to save money with the tax credit, you may need to buy one of these vehicles soon.
RELATED: The cheapest electric crossover SUVs available to buy in 2022