The US federal tax credits for electric vehicle (EV) purchases will end on September 30, 2025, according to multiple sources. This includes both the $7,500 credit for new EVs and the $4,000 credit for used EVs. This change is a result of the “One Big Beautiful Bill” signed into law.
Here’s a more detailed breakdown:
- “Big Beautiful Bill”:
This bill, signed into law on July 4, 2025, by President Trump, includes the termination of the EV tax credits.
- End Date:
The credits will expire on September 30, 2025, for both new and used EVs.
- Impact:
This means that after September 30, 2025, there will be no federal tax credits available for the purchase of new or used electric vehicles.
- Previous Credits:
The EV tax credit was originally established in 2008 and expanded under the 2022 Inflation Reduction Act.
- Used Vehicle Credit:
The $4,000 credit for used EVs was a relatively new addition and will also expire on the same date.
- Buying Decision:
Auto industry analysts suggest that if you’re considering an EV and want to take advantage of the tax credit, you should aim to finalize your purchase before the end of September
If you need help claiming the EV Tax credit or if you have other Tax questions then call James @ 410-457-7331