Latest news with #September30
Auto Blog
07-07-2025
- Automotive
- Auto Blog
Last Chance: Buy Your EV Before Federal Tax Credits Expire
The clock is ticking on federal EV tax incentives President Trump's 'big, beautiful bill' has been signed into law, posing significant regulatory changes for those considering buying a new or used electric vehicle (EV). One of, if not the biggest, change is the bill's elimination of federal tax credits for new and used EV purchases. The federal tax credit for a new EV registration was worth up to $7,500, while a used EV purchase could get you a $4,000 federal tax write-off, or 30% of the purchase price, whichever was lower. A new EV must contain a battery capacity of at least 7 kilowatt-hours (kWh), weigh under 14,000 lbs, undergo final assembly in North America, and meet other requirements in areas like critical mineral sourcing and price caps. Qualifying for a used EV tax credit is more straightforward, but the total sale cost needs to be $25,000 or less, limiting options for buyers. Pre-owned EVs also had to meet the same weight and battery requirements as new electric car purchases, be a 2023 model year or older, be transferred after August 16, 2022, and be bought from a licensed dealer. However, Trump's bill doesn't end federal EV tax incentives until after September 30, so shoppers still have some time to capitalize. Rivian R1S models for sale — Source: Getty What EV buyers can expect after federal tax credits disappear Elaine Buckberg, a former General Motors (GM) economist now at Harvard University's Salata Institute for Climate and Sustainability, predicts that with federal EV credits out the window, around 37% of cars bought through 2030 will be electric, down from 48% if incentives stayed, Bloomberg reports. While Congress's elimination of federal EV tax credits will dissuade some from buying an electric car, the increasing number of affordable models will help support sales. When the Inflation Reduction Act was signed into law by President Biden in 2022, it extended federal EV tax incentives, and 11 electric models were priced below $47,500. Now, there are 19 models below this cost, displaying how manufacturers are making strides in affordability. For example, Nissan's fully redesigned 2026 Leaf is expected to start at around $35,000. According to the automaker's Q1 investor call, Tesla is scheduled to announce the launch of a more affordable model any day now, and GM has multiple lower-priced EVs in the works, one of which is the next-gen Chevy Bolt. Bloomberg NEF anticipates that U.S. EVs will become as cheap or cheaper than their gas-powered counterparts by around 2028, but many EVs are expected to become more expensive after September 30. Slate Auto, the Jeff Bezos-backed electric auto manufacturer, removed its under $20,000 expected price tag for the company's upcoming electric pickup, with the automaker noting it initially anticipated its model as qualifying for federal EV tax credits. Tesla showroom, San Diego, California — Source: Getty Final thoughts EVs will keep getting less expensive in the coming years as automakers learn how to spend less on manufacturing, but many models' immediate costs are likely to increase with Congress's elimination of federal tax credits. Dealers and automakers may start offering their own incentives, but these are unlikely to replace the benefits of federal incentives. As the EV market evolves, future Congresses could revisit the issue, considering Biden's Inflation Reduction Act was only signed a few years ago. About the Author Cody Carlson View Profile
Washington Post
05-07-2025
- General
- Washington Post
D.C. banned ‘redshirting' years ago. Here's why people are talking about it.
When it was time for Avra Siegel's oldest son to start kindergarten, she didn't think he was ready. She had him repeat preschool, and he began kindergarten a year later, at age 6. There was 'no problem, no questions asked,' she said about his school, Lafayette Elementary. So she did the same thing with her second son, whose birthday is Sept. 30.
Reuters
04-07-2025
- Automotive
- Reuters
US electric vehicle tax breaks will expire on Sept. 30
July 3 (Reuters) - It is the end of the line for U.S. electric vehicle tax credits. Sweeping tax and budget legislation approved by Congress on Thursday means $7,500 tax credits for buying or leasing new electric vehicles will end on September 30, as well as a $4,000 used EV credit, that have helped juice green vehicle sales in recent years. The Electrification Coalition, an EV advocacy group, said on Thursday "as EVs secure a growing share of the global automotive market, it is obvious that the future of transportation is electric; this bill forfeits America's role in that future to China." Congress first approved a $7,500 EV tax credit in 2008 that it phased out after manufacturers hit 200,000 vehicles. The credit was expanded in 2022 to cover leased vehicles and the per manufacturer cap was lifted. Separately, U.S. automakers stand to receive significant benefits from the final bill that eliminates penalties for failing to meet Corporate Average Fuel Economy shortfalls. The measure makes it easier for automakers to build gas-powered vehicles. Barclays auto analyst Dan Levy said the tax credit phase-out in less than three months means EV sales will significantly jump via a "pre-buy" since some consumers will move up purchases planned for later with sharp declines in the months to follow. "We believe the bill reiterates the slowdown ahead for EV penetration in the U.S., with both the 'carrot' (i.e. tax credits/incentives) and the 'stick' (i.e. emissions regulations) softened," Levy wrote in a research note. A Harvard University study released in March forecast that ending the EV tax credits would reduce EV penetration by 6% by 2030 and would save the government $169 billion in EV tax credits over a decade. Last year, Chrysler parent Stellantis ( opens new tab paid $190.7 million in civil penalties for failing to meet U.S. fuel economy requirements for 2019 and 2020 after paying nearly $400 million for penalties from 2016 through 2019. GM previously paid $128.2 million in penalties for 2016 and 2017. In the final bill, Congress dropped a planned $250 annual fee for EVs to pay for road repairs, as well as a requirement that the U.S. Postal Service sell off its EV delivery vehicles.
Washington Post
03-07-2025
- Automotive
- Washington Post
What to know about buying electric vehicles after the federal tax incentives end
The massive tax and spending cut bill that Congress passed Thursday ends federal tax incentives for electric vehicles. Buyers have until Sept. 30 to qualify for the federal tax credits on EVs before they are terminated. But experts say there are still strong financial reasons to consider buying the vehicles even without those incentives.
