The list of electric vehicles that qualify for the full federal tax credit under the updated, stricter rules may be counted on one hand, according to the US government. The departing Chevrolet Bolt, as well as select variations of the Ford F-150 Lightning and Tesla’s Model 3, Model Y, and Model X, are currently the only EVs eligible for the $7,500 refund.
Aside from that, select Rivian R1S and R1T models, as well as a few plug-in hybrids, qualify for $3,750. Chrysler’s Pacifica plug-in hybrid was able to retain its full credit. Otherwise, that’s all there is to it.
Until Monday, the new rules left many people scratching their brains as to what exactly would qualify. Even Tesla conceded, in its own way, that it wasn’t certain.
The list is so short because politicians are attempting to drive the EV supply chain to move—or at least diversify—away from China and toward North America in the long term. In the short term, this implies that automakers that rely significantly on Chinese suppliers, particularly for battery materials and components, will no longer be eligible. This is in addition to a few other built-in constraints, such as the fact that the cars must be manufactured in North America and retail for less than $55,000 or $80,000, depending on vehicle type.
While finding a car that qualifies for the federal EV tax credit may be more difficult, the credit itself is substantially better for customers in two respects. First, the credit is now applied at the time of purchase, so you won’t have to wait to claim it on your tax returns.
Second, purchasers no longer need to have a tax burden equal to or larger than the credit amount—a requirement that previously prevented many buyers from getting the credit in the first place. However, purchasers must still have a specific adjusted gross income to qualify. (The IRS has a list of frequently asked questions.)
Some automakers, including GM, have said that they are attempting to replace components that exclude their EVs from the credit, so the list may expand as the year progresses. A number of automakers and suppliers are scrambling to develop new plants in North America to alleviate the pressure in the coming years. But, in the meantime, here is the whole list of what is eligible:
The entire $7,500 tax credit
Chevrolet Bolt Electric Vehicle
Chevrolet Bolt EV
Chevrolet Bolt EUV
Chrysler Pacifica PHEV
Ford F-150 Lightning Extended Range
Ford F-150 Lightning Standard Range
Tesla Model 3 Performance
Tesla Model Y All-Wheel Drive
Tesla Model Y Performance
Tesla Model Y Rear-Wheel Drive
Tesla Model X Long Range
Tax credit of $3,750
Jeep Grand Cherokee PHEV 4xe
Jeep Wrangler PHEV 4x
Lincoln Corsair Grand Touring PHEV
Rivian R1S Dual-Motor Large Pack
Rivian R1S Quad-Motor Large Pack
Rivian R1T Dual-Motor Large Pack
Rivian R1T Dual-Motor Max Pack
Rivian R1T Quad-Motor Large Pack
