Final EV Tax Credit Rules Don’t Change Much for Consumers

Treasury and IRS have finalized regulations for the up to $7,500 electric vehicle tax credit.

image of the word treasury on the US Treasury Department building
(Image credit: Getty Images)

The U.S. Department of the Treasury and the IRS unveiled the final rules for the federal electric vehicle tax credit, a key step in the Biden administration’s plan to accelerate the adoption of electric vehicles (EVs). The regulations, released May 3, are seen by some as a balance between incentivizing EV adoption and safeguarding against perceived threats from Chinese imports. 

Treasury Secretary Janet Yellen highlighted the administration's commitment to fostering domestic manufacturing and energy security in a statement regarding the final rules. Since President Biden's election, over $173 billion in private-sector investment has been announced across the U.S. clean vehicle and battery supply chain. Yellen says this reflects the positive impact of the Inflation Reduction Act (IRA), massive climate and energy legislation passed a couple of years ago.

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Kelley R. Taylor
Senior Tax Editor,

As the senior tax editor at, Kelley R. Taylor simplifies federal and state tax information, news, and developments to help empower readers. Kelley has over two decades of experience advising on and covering education, law, finance, and tax as a corporate attorney and business journalist.