January 1 Tax Credits Updates

January 1 is fast approaching, and with it, new tax credit rules take effect. Among the changes that have not been pushed back are new rules.

• The US Treasury Department said EV commercial leases (even those assembled outside North America) will be eligible.
• Van delivery companies like FedEx and Amazon will qualify for the $7,500 per van tax incentive.
• Companies buying larger electric vehicles can grab up to $40K each.

Why now? More than one-third of US greenhouse gasses are produced by the transportation industry. The tax credit will make a difference for early adopters who are already interested in EVs. With a price gap remaining and some still deciding about the new technology, the January 1 incentives may not have the desired effect.