Americans can claim an amount between $4,000 to $7,500 after the U.S. Congress changed the rules under the Inflation Reduction Act.
$7,500 Rebate
New rebates between $4,000 to $7,5000 will be released on Jan.1 after Congress changes the rules under the Inflation Reduction Act. Federal rebates for Electric Vehicles (EVs) were very straightforward before the act was passed.
According to a published article in The U.S. Sun, buyers could claim an amount of $7500 rebate if they bought one of the first $200,000 Electric Vehicles the manufacturer built. The credit would be phased out for the rest of the year if all 200,000 units are already sold.
New Rules Under the Inflation Reduction Act
There are some changes under the Inflation Reduction Act to claim rebates between $4,000 to $7,500. Only individuals reporting adjusted gross incomes of $150,000 or less will qualify for the rebate of as much as $7,500. This limit increased to $225,000 for head-of-household filers and $300,000 for joint filers.
However, people do not qualify for such a rebate if they own van, sport utility vehicle, or pickup truck that costs more than $80,000. The price list limit for other vehicles is $55,000. This means that there are models from General Motors and TESLA that are not eligible because of their higher prices.
Moreover, it is also important to note that limits apply as to where the EVs were manufactured that includes the sourcing of battery and other vehicle components. For example, the final assembly of eligible cars must take place in the U.S. and not in China.
