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menu-item-4783"><a href="https://electrificationcoalition.org/work/state-ev-policy/virginia-ev-policy/" class="elementor-sub-item">Virginia</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-15170"><a href="https://electrificationcoalition.org/work/state-ev-policy/elementor-14886/" class="elementor-sub-item">Wisconsin</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-12440"><a href="https://electrificationcoalition.org/work/state-ev-policy/freedom-to-buy/" class="elementor-sub-item">Freedom to Buy</a></li> </ul> </li> <li class="menu-item menu-item-type-custom menu-item-object-custom menu-item-has-children menu-item-4786"><a class="elementor-sub-item">EV Deployment Programs</a> <ul class="sub-menu elementor-nav-menu--dropdown"> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-24238"><a href="https://electrificationcoalition.org/charging-infrastructure-webinar-series/" 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href="https://electrificationcoalition.org/work/ev-accelerator-communities/" class="elementor-sub-item">EV Accelerator Communities</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-17834"><a href="https://electrificationcoalition.org/work/smart-city-exchange/" class="elementor-sub-item">Smart City Exchange</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-19260"><a href="https://electrificationcoalition.org/epa-ghg-emission-standards-for-heavy-duty-vehicles-phase-3/" class="elementor-sub-item">EPA Heavy-Duty Standards Campaign</a></li> </ul> </li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4993"><a href="https://electrificationcoalition.org/work/electrification-coalition-business-council/" class="elementor-sub-item">Business Council</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-has-children menu-item-12830"><a href="https://electrificationcoalition.org/work/electric-freight-consortium/" class="elementor-sub-item">Freight Electrification</a> <ul class="sub-menu elementor-nav-menu--dropdown"> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-11706"><a href="https://electrificationcoalition.org/work/electric-freight-consortium/" class="elementor-sub-item">Electric Freight Consortium</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-20945"><a href="https://electrificationcoalition.org/port-electrification-network/" class="elementor-sub-item">Port Electrification Network</a></li> <li class="menu-item menu-item-type-custom menu-item-object-custom menu-item-20940"><a href="https://electrificationcoalition.org/resource/electric-freight-dashboard/" class="elementor-sub-item">Electric Freight Dashboard</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4431"><a 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menu-item-4782"><a href="https://electrificationcoalition.org/work/state-ev-policy/michigan-ev-policy/" class="elementor-sub-item" tabindex="-1">Michigan</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4781"><a href="https://electrificationcoalition.org/work/state-ev-policy/nevada-ev-policy/" class="elementor-sub-item" tabindex="-1">Nevada</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4784"><a href="https://electrificationcoalition.org/work/state-ev-policy/north-carolina-ev-policy/" class="elementor-sub-item" tabindex="-1">North Carolina</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4785"><a href="https://electrificationcoalition.org/work/state-ev-policy/pennsylvania-ev-policy/" class="elementor-sub-item" tabindex="-1">Pennsylvania</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4783"><a href="https://electrificationcoalition.org/work/state-ev-policy/virginia-ev-policy/" class="elementor-sub-item" tabindex="-1">Virginia</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-15170"><a href="https://electrificationcoalition.org/work/state-ev-policy/elementor-14886/" class="elementor-sub-item" tabindex="-1">Wisconsin</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-12440"><a href="https://electrificationcoalition.org/work/state-ev-policy/freedom-to-buy/" class="elementor-sub-item" tabindex="-1">Freedom to Buy</a></li> </ul> </li> <li class="menu-item menu-item-type-custom menu-item-object-custom menu-item-has-children menu-item-4786"><a class="elementor-sub-item" tabindex="-1">EV Deployment Programs</a> <ul class="sub-menu elementor-nav-menu--dropdown"> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-24238"><a href="https://electrificationcoalition.org/charging-infrastructure-webinar-series/" class="elementor-sub-item" tabindex="-1">Charging Infrastructure Webinar Series</a></li> <li class="menu-item menu-item-type-custom menu-item-object-custom menu-item-20899"><a href="https://electrificationcoalition.org/resource/drve/" class="elementor-sub-item" tabindex="-1">DRVE Tool</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-9523"><a href="https://electrificationcoalition.org/schoolbus/" class="elementor-sub-item" tabindex="-1">Electric School Buses</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-23248"><a href="https://electrificationcoalition.org/eval/" class="elementor-sub-item" tabindex="-1">EVAL</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-17291"><a href="https://electrificationcoalition.org/work/ev-fleets/" class="elementor-sub-item" tabindex="-1">EV Fleets</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-20773"><a href="https://electrificationcoalition.org/state-fleet-electrification-cohort/" class="elementor-sub-item" tabindex="-1">State Fleet Electrification Cohort</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-16853"><a href="https://electrificationcoalition.org/roadmaps/" class="elementor-sub-item" tabindex="-1">Transportation Electrification Roadmaps</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-9212"><a href="https://electrificationcoalition.org/veterans-for-evs/" class="elementor-sub-item" tabindex="-1">Veterans for EVs</a></li> </ul> </li> <li class="menu-item menu-item-type-custom menu-item-object-custom menu-item-has-children menu-item-17833"><a href="https://electrificationcoalition.org/work/ev-accelerator-communities/" class="elementor-sub-item" tabindex="-1">Past Programs</a> <ul class="sub-menu elementor-nav-menu--dropdown"> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4438"><a href="https://electrificationcoalition.org/work/ev-accelerator-communities/" class="elementor-sub-item" tabindex="-1">EV Accelerator Communities</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-17834"><a href="https://electrificationcoalition.org/work/smart-city-exchange/" class="elementor-sub-item" tabindex="-1">Smart City Exchange</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-19260"><a href="https://electrificationcoalition.org/epa-ghg-emission-standards-for-heavy-duty-vehicles-phase-3/" class="elementor-sub-item" tabindex="-1">EPA Heavy-Duty Standards Campaign</a></li> </ul> </li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4993"><a href="https://electrificationcoalition.org/work/electrification-coalition-business-council/" class="elementor-sub-item" 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tabindex="-1">Contact</a></li> <li class="menu-item menu-item-type-post_type menu-item-object-page menu-item-4794"><a href="https://electrificationcoalition.org/donate/" class="elementor-item" tabindex="-1">Donate</a></li> </ul> </nav> </div> </div> </div> </div> </div> </section> </div> <div data-elementor-type="wp-page" data-elementor-id="10982" class="elementor elementor-10982" data-elementor-post-type="page"> <section class="elementor-section elementor-top-section elementor-element elementor-element-2ab4c39 animated-slow elementor-section-height-min-height elementor-section-boxed elementor-section-height-default elementor-section-items-middle elementor-invisible" data-id="2ab4c39" data-element_type="section" data-settings="{"background_background":"classic","shape_divider_bottom":"curve","animation":"fadeIn"}"> <div class="elementor-background-overlay"></div> <div class="elementor-shape elementor-shape-bottom" data-negative="false"> <svg xmlns="http://www.w3.org/2000/svg" viewBox="0 0 1000 100" preserveAspectRatio="none"> <path class="elementor-shape-fill" d="M1000,4.3V0H0v4.3C0.9,23.1,126.7,99.2,500,100S1000,22.7,1000,4.3z"/> </svg> </div> <div class="elementor-container elementor-column-gap-default"> <div class="elementor-column elementor-col-50 elementor-top-column elementor-element elementor-element-645b7ca" data-id="645b7ca" data-element_type="column"> <div class="elementor-widget-wrap"> </div> </div> <div class="elementor-column elementor-col-50 elementor-top-column elementor-element elementor-element-8da4198" data-id="8da4198" data-element_type="column"> <div class="elementor-widget-wrap elementor-element-populated"> <div class="elementor-element elementor-element-c30bf25 elementor-widget elementor-widget-heading" data-id="c30bf25" data-element_type="widget" data-settings="{"motion_fx_motion_fx_scrolling":"yes","motion_fx_translateX_effect":"yes","motion_fx_translateX_speed":{"unit":"px","size":1,"sizes":[]},"motion_fx_devices":["desktop","tablet"],"motion_fx_translateX_affectedRange":{"unit":"%","size":"","sizes":{"start":0,"end":100}}}" data-widget_type="heading.default"> <div class="elementor-widget-container"> <span class="elementor-heading-title elementor-size-default"><br>Federal Policy </span> </div> </div> </div> </div> </div> </section> <section class="elementor-section elementor-top-section elementor-element elementor-element-e6c4880 elementor-section-boxed elementor-section-height-default elementor-section-height-default" data-id="e6c4880" data-element_type="section"> <div class="elementor-container elementor-column-gap-default"> <div class="elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-2a028da" data-id="2a028da" data-element_type="column"> <div class="elementor-widget-wrap elementor-element-populated"> <div class="elementor-element elementor-element-381233e elementor-widget elementor-widget-breadcrumbs" data-id="381233e" data-element_type="widget" data-widget_type="breadcrumbs.default"> <div class="elementor-widget-container"> <p id="breadcrumbs"><span><span><a href="https://electrificationcoalition.org/">Home</a></span> > <span><a href="https://electrificationcoalition.org/work/">Our Work</a></span> > <span><a href="https://electrificationcoalition.org/work/federal-ev-policy/">Federal EV Policy</a></span> > <span class="breadcrumb_last" aria-current="page">Inflation Reduction Act Impacts on Electric Vehicles</span></span></p> </div> </div> <div class="elementor-element elementor-element-ed65d4f elementor-widget elementor-widget-heading" data-id="ed65d4f" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h1 class="elementor-heading-title elementor-size-default">Inflation Reduction Act & EVS</h1> </div> </div> <section class="elementor-section elementor-inner-section elementor-element elementor-element-92415f1 elementor-section-boxed elementor-section-height-default elementor-section-height-default" data-id="92415f1" data-element_type="section"> <div class="elementor-container elementor-column-gap-default"> <div class="elementor-column elementor-col-100 elementor-inner-column elementor-element elementor-element-5a421f4" data-id="5a421f4" data-element_type="column"> <div class="elementor-widget-wrap elementor-element-populated"> <div class="elementor-element elementor-element-29efb60 elementor-widget elementor-widget-text-editor" data-id="29efb60" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p>The Inflation Reduction Act of 2022 is perhaps the most significant legislation to accelerate transportation electrification in U.S. history. The Electrification Coalition (EC) has been advocating for many of the key measures included in the law for over a decade. Altogether, this is a major win for consumers and businesses, but there are challenges on the road ahead.</p> </div> </div> <div class="elementor-element elementor-element-c8235a7 elementor-widget elementor-widget-text-editor" data-id="c8235a7" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><em>For an overview of the Inflation Reduction Act, check out these EC resources:</em></p><ul><li><em><a href="https://electrificationcoalition.org/resource/inflation-reduction-act-at-one-year/" target="_blank" rel="noopener"><b>The Inflation Reduction Act at One Year</b></a></em></li><li><em>Press Release: <a href="https://electrificationcoalition.org/after-one-year-the-inflation-reduction-act-is-spurring-private-investments-in-the-electric-vehicle-industry/" target="_blank" rel="noopener"><b>After One Year, the Inflation Reduction Act is Spurring Private Investments in the Electric Vehicle Industry</b></a></em></li><li><em>Webinar: <a href="https://www.youtube.com/watch?v=BCvMM3Iz4u4" target="_blank" rel="noopener"><b>Understanding the Energy and Transportation Transition</b></a></em></li></ul> </div> </div> <div class="elementor-element elementor-element-5807498 elementor-widget elementor-widget-spacer" data-id="5807498" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> </div> </div> </div> </section> <div class="elementor-element elementor-element-c67c7c0 elementor-toc--minimized-on-tablet elementor-widget elementor-widget-table-of-contents" data-id="c67c7c0" data-element_type="widget" data-settings="{"exclude_headings_by_selector":[],"marker_view":"bullets","headings_by_tags":["h2","h3","h4","h5","h6"],"icon":{"value":"fas fa-circle","library":"fa-solid"},"no_headings_message":"No headings were found on this page.","minimize_box":"yes","minimized_on":"tablet","hierarchical_view":"yes","min_height":{"unit":"px","size":"","sizes":[]},"min_height_tablet":{"unit":"px","size":"","sizes":[]},"min_height_mobile":{"unit":"px","size":"","sizes":[]}}" data-widget_type="table-of-contents.default"> <div class="elementor-widget-container"> <div class="elementor-toc__header"> <h4 class="elementor-toc__header-title"> Table of Contents </h4> <div class="elementor-toc__toggle-button elementor-toc__toggle-button--expand" role="button" tabindex="0" aria-controls="elementor-toc__c67c7c0" aria-expanded="true" aria-label="Open table of contents"><i aria-hidden="true" class="fas fa-chevron-down"></i></div> <div class="elementor-toc__toggle-button elementor-toc__toggle-button--collapse" role="button" tabindex="0" aria-controls="elementor-toc__c67c7c0" aria-expanded="true" aria-label="Close table of contents"><i aria-hidden="true" class="fas fa-chevron-up"></i></div> </div> <div id="elementor-toc__c67c7c0" class="elementor-toc__body"> <div class="elementor-toc__spinner-container"> <i class="elementor-toc__spinner eicon-animation-spin eicon-loading" aria-hidden="true"></i> </div> </div> </div> </div> <div class="elementor-element elementor-element-59b4d2f elementor-widget elementor-widget-spacer" data-id="59b4d2f" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-69b2324 elementor-widget elementor-widget-heading" data-id="69b2324" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h2 class="elementor-heading-title elementor-size-default">Key Provisions of the IRA</h2> </div> </div> <div class="elementor-element elementor-element-8a95f1f elementor-widget elementor-widget-spacer" data-id="8a95f1f" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-d54bde2 elementor-widget elementor-widget-heading" data-id="d54bde2" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">New Clean Vehicle Tax Credit (Section 30D)</h3> </div> </div> <div class="elementor-element elementor-element-f28b79b elementor-widget elementor-widget-text-editor" data-id="f28b79b" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><img decoding="async" class="alignright wp-image-10995" src="https://electrificationcoalition.org/wp-content/uploads/2022/08/2023-Nissan-LEAF-35-1200x800-1.jpg" alt="" width="450" height="269" srcset="https://electrificationcoalition.org/wp-content/uploads/2022/08/2023-Nissan-LEAF-35-1200x800-1.jpg 644w, https://electrificationcoalition.org/wp-content/uploads/2022/08/2023-Nissan-LEAF-35-1200x800-1-300x179.jpg 300w" sizes="(max-width: 450px) 100vw, 450px" /></p><p><span data-contrast="auto">The IRA extended the New Clean Vehicle </span><span data-contrast="auto">Tax Credit</span><span data-contrast="auto"> for individuals and </span><span data-contrast="auto">businesses</span><span data-contrast="auto">. The tax credit allows up to $7,500 per vehicle through 2032; however, several modifications were added, including an MSRP cap, income cap, assembly/sourcing requirements, and options to transfer the credit to a dealer at the point of sale.</span><span data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p><p><span data-contrast="auto">For a full breakdown of the changes to the </span><span data-contrast="auto">New Clean Vehicle Tax Credit</span><span data-contrast="auto">, </span><a href="https://electrificationcoalition.org/wp-content/uploads/2022/08/SAFE_1-sheet_Webinar.pdf" target="_blank" rel="noopener"><b><span data-contrast="none">view a factsheet created by the EC and SAFE</span></b></a><span data-contrast="auto">.</span><span data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p> </div> </div> <div class="elementor-element elementor-element-c0d1d81 elementor-widget elementor-widget-spacer" data-id="c0d1d81" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-a6205fa elementor-widget elementor-widget-heading" data-id="a6205fa" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">Used Clean Vehicle Tax Credit (Section 25E)</h3> </div> </div> <div class="elementor-element elementor-element-2be6c19 elementor-widget elementor-widget-text-editor" data-id="2be6c19" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><span class="TextRun SCXW127649614 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW127649614 BCX8">For the first time, the IRA enacted a federal tax credit for used EVs. Eligible vehicles qualify for up to $4,000 or 30% of the sales price, whichever is lower. The sales price must be less than $25,000 and the vehicle must be at least two years old. Income caps also apply. </span></span><a class="Hyperlink SCXW127649614 BCX8" href="https://electrificationcoalition.org/wp-content/uploads/2022/08/SAFE_1-sheet_Webinar.pdf" target="_blank" rel="noreferrer noopener"><span class="TextRun SCXW127649614 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="none"><span class="NormalTextRun SCXW127649614 BCX8"><b>View our factsheet</b></span></span></a><span class="TextRun SCXW127649614 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW127649614 BCX8"> for more information.</span></span><span class="EOP SCXW127649614 BCX8" data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p> </div> </div> <div class="elementor-element elementor-element-0843168 elementor-widget elementor-widget-spacer" data-id="0843168" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-da4740c elementor-widget elementor-widget-heading" data-id="da4740c" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">Commercial Clean Vehicle Tax Credit (Section 45W)</h3> </div> </div> <div class="elementor-element elementor-element-1d6bc7c elementor-widget elementor-widget-text-editor" data-id="1d6bc7c" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><img decoding="async" class="wp-image-19261 size-medium alignleft" src="https://electrificationcoalition.org/wp-content/uploads/2023/10/iStock-1406501364-300x200.jpg" alt="" width="300" height="200" srcset="https://electrificationcoalition.org/wp-content/uploads/2023/10/iStock-1406501364-300x200.jpg 300w, https://electrificationcoalition.org/wp-content/uploads/2023/10/iStock-1406501364-1024x683.jpg 1024w, https://electrificationcoalition.org/wp-content/uploads/2023/10/iStock-1406501364-768x512.jpg 768w, https://electrificationcoalition.org/wp-content/uploads/2023/10/iStock-1406501364-391x260.jpg 391w, https://electrificationcoalition.org/wp-content/uploads/2023/10/iStock-1406501364-1536x1024.jpg 1536w, https://electrificationcoalition.org/wp-content/uploads/2023/10/iStock-1406501364-2048x1366.jpg 2048w" sizes="(max-width: 300px) 100vw, 300px" /></p><p><span class="TextRun SCXW177531199 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW177531199 BCX8">Commercial EVs can receive credit for up to 30% of the sales price, up to $7,500 for vehicles under </span><span class="NormalTextRun AdvancedProofingIssueV2Themed SCXW177531199 BCX8">14,000 pounds</span><span class="NormalTextRun SCXW177531199 BCX8"> and up to $40,000 for all other vehicles. Only certain vehicles are eligible for the credit, as the new law stipulates certain manufacturing and final assembly requirements. </span></span><span class="EOP SCXW177531199 BCX8" data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p> </div> </div> <div class="elementor-element elementor-element-55656f5 elementor-widget elementor-widget-spacer" data-id="55656f5" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-7594ddf elementor-widget elementor-widget-heading" data-id="7594ddf" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">Clean Heavy-Duty Vehicles</h3> </div> </div> <div class="elementor-element elementor-element-e8edbec elementor-widget elementor-widget-text-editor" data-id="e8edbec" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><span class="TextRun SCXW4518148 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW4518148 BCX8">The law </span><span class="NormalTextRun SCXW4518148 BCX8">allocates</span> <span class="NormalTextRun AdvancedProofingIssueV2Themed SCXW4518148 BCX8">$1 billion</span><span class="NormalTextRun SCXW4518148 BCX8"> to </span><span class="NormalTextRun SCXW4518148 BCX8">states</span><span class="NormalTextRun SCXW4518148 BCX8">, municipalities, Indian tribes, or non-profit school transportation associations to replace class 6 and 7 heavy-duty vehicles</span></span><span class="TrackedChange SCXW4518148 BCX8"><span class="TextRun SCXW4518148 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW4518148 BCX8"> and school buses</span></span></span><span class="TextRun SCXW4518148 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW4518148 BCX8"> with clean EVs. </span></span> <span class="TrackedChange SCXW4518148 BCX8"><span class="TextRun SCXW4518148 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW4518148 BCX8">View</span></span></span><span class="TrackedChange SCXW4518148 BCX8"><span class="TextRun SCXW4518148 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW4518148 BCX8"> our <a href="https://electrificationcoalition.org/resource/clean-heavy-duty-vehicles-grant-program-top-10-takeaways/" target="_blank" rel="noopener"><b>top ten takeaways</b></a> of this new opportunity</span></span></span><span class="TrackedChange SCXW4518148 BCX8"><span class="TextRun SCXW4518148 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW4518148 BCX8">.</span></span></span><span class="EOP SCXW4518148 BCX8" data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p> </div> </div> <div class="elementor-element elementor-element-6814e2c elementor-widget elementor-widget-spacer" data-id="6814e2c" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-c25daf2 elementor-widget elementor-widget-heading" data-id="c25daf2" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">Alternative Fuel Vehicle Refueling Property Tax Credit (Section 30C)</h3> </div> </div> <div class="elementor-element elementor-element-2310a52 elementor-widget elementor-widget-text-editor" data-id="2310a52" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><span class="TextRun SCXW237526467 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW237526467 BCX8">The federal tax credit for charging equipment has been extended through 2032. For individual/residential uses, the tax credit </span><span class="NormalTextRun SCXW237526467 BCX8">remains</span><span class="NormalTextRun SCXW237526467 BCX8"> unchanged at 30%, up to $1,000. For commercial uses, the tax credit is 6% with a maximum credit of $100,000 per unit (up from $30,000 per property).</span></span><span class="EOP TrackedChange SCXW237526467 BCX8" data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p> </div> </div> <div class="elementor-element elementor-element-f6bb3cd elementor-widget elementor-widget-spacer" data-id="f6bb3cd" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-0b33651 elementor-widget elementor-widget-heading" data-id="0b33651" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">Elective Pay</h3> </div> </div> <div class="elementor-element elementor-element-c5cb3f5 elementor-widget elementor-widget-text-editor" data-id="c5cb3f5" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><span class="TextRun SCXW199865894 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW199865894 BCX8">The IRA </span><span class="NormalTextRun SCXW199865894 BCX8">established</span><span class="NormalTextRun SCXW199865894 BCX8"> elective pay (sometimes referred to as direct pay): a program that allows tax-exempt entities like state governments, cities, and non-profits to </span><span class="NormalTextRun SCXW199865894 BCX8">benefit</span><span class="NormalTextRun SCXW199865894 BCX8"> from the IRA’s tax credits. For more information about </span></span><span class="TrackedChange SCXW199865894 BCX8"><span class="TextRun SCXW199865894 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW199865894 BCX8">elective </span></span></span><span class="TextRun SCXW199865894 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW199865894 BCX8">pay and for help applying, visit the EC’s </span></span><a class="Hyperlink SCXW199865894 BCX8" href="https://electrificationcoalition.org/resource/direct-elective-pay-under-the-ira/" target="_blank" rel="noreferrer noopener"><span class="TextRun Underlined SCXW199865894 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="none"><span class="NormalTextRun SCXW199865894 BCX8"><b>elective pay page</b></span></span></a><span class="TextRun SCXW199865894 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW199865894 BCX8">.</span></span><span class="EOP SCXW199865894 BCX8" data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p> </div> </div> <div class="elementor-element elementor-element-292362a elementor-widget elementor-widget-spacer" data-id="292362a" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-a033a2c elementor-widget elementor-widget-heading" data-id="a033a2c" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">Electrifying the USPS Fleet</h3> </div> </div> <div class="elementor-element elementor-element-8fed7d0 elementor-widget elementor-widget-text-editor" data-id="8fed7d0" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><span class="TextRun SCXW266491631 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW266491631 BCX8">The law </span><span class="NormalTextRun SCXW266491631 BCX8">allocates</span> <span class="NormalTextRun AdvancedProofingIssueV2Themed SCXW266491631 BCX8">$3 billion</span><span class="NormalTextRun SCXW266491631 BCX8"> for electrifying the United States Postal Service fleet, including </span><span class="NormalTextRun SCXW266491631 BCX8">vehicles</span><span class="NormalTextRun SCXW266491631 BCX8"> and charging infrastructure,</span></span><span class="TrackedChange SCXW266491631 BCX8"><span class="TextRun SCXW266491631 BCX8" lang="EN-US" xml:lang="EN-US" data-contrast="auto"><span class="NormalTextRun SCXW266491631 BCX8"> advocated for by the EC.</span></span></span> <span class="EOP SCXW266491631 BCX8" data-ccp-props="{"134233118":true,"201341983":0,"335557856":16777215,"335559739":160,"335559740":240}"> </span></p> </div> </div> <div class="elementor-element elementor-element-30b3dde elementor-widget elementor-widget-spacer" data-id="30b3dde" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-b4a39ea elementor-widget elementor-widget-heading" data-id="b4a39ea" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h3 class="elementor-heading-title elementor-size-default">Other Key Provisions</h3> </div> </div> <div class="elementor-element elementor-element-5081be3 elementor-widget elementor-widget-text-editor" data-id="5081be3" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><img loading="lazy" decoding="async" class="alignright wp-image-10998" src="https://electrificationcoalition.org/wp-content/uploads/2022/08/DSC01551.png" alt="" width="450" height="300" srcset="https://electrificationcoalition.org/wp-content/uploads/2022/08/DSC01551.png 1200w, https://electrificationcoalition.org/wp-content/uploads/2022/08/DSC01551-300x200.png 300w, https://electrificationcoalition.org/wp-content/uploads/2022/08/DSC01551-1024x683.png 1024w, https://electrificationcoalition.org/wp-content/uploads/2022/08/DSC01551-768x512.png 768w" sizes="(max-width: 450px) 100vw, 450px" />Several other key measures in the law, including support for EV manufacturing and supply chains, include:</p><ul><li data-leveltext="" data-font="Symbol" data-listid="4" data-list-defn-props="{"335552541":1,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"multilevel"}" aria-setsize="-1" data-aria-posinset="1" data-aria-level="1"><span data-contrast="auto">$60 million for the </span><strong><a href="https://www.epa.gov/dera" target="_blank" rel="noopener">Diesel Emission Reduction Act program</a></strong><span data-contrast="auto">,</span><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></li><li data-leveltext="" data-font="Symbol" data-listid="4" data-list-defn-props="{"335552541":1,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"multilevel"}" aria-setsize="-1" data-aria-posinset="2" data-aria-level="1"><span data-contrast="auto">$2 billion for the </span><strong><a href="https://www.energy.gov/mesc/domestic-manufacturing-conversion-grants" target="_blank" rel="noopener">Domestic Manufacturing Conversion Grant program</a></strong><span data-contrast="auto">,</span><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></li><li data-leveltext="" data-font="Symbol" data-listid="4" data-list-defn-props="{"335552541":1,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"multilevel"}" aria-setsize="-1" data-aria-posinset="3" data-aria-level="1"><span data-contrast="auto">$3 billion for the </span><strong><a href="https://www.energy.gov/lpo/advanced-technology-vehicles-manufacturing-loan-program-0" target="_blank" rel="noopener">Advanced Technology Vehicle Manufacturing Loan program</a></strong><span data-contrast="auto">,</span><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></li><li data-leveltext="" data-font="Symbol" data-listid="4" data-list-defn-props="{"335552541":1,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"multilevel"}" aria-setsize="-1" data-aria-posinset="4" data-aria-level="1"><span data-contrast="auto">A long-term extension of the </span><strong><a href="https://www.federalregister.gov/documents/2023/12/15/2023-27498/section-45x-advanced-manufacturing-production-credit" target="_blank" rel="noopener">Advanced Manufacturing Production Credit</a></strong><span data-contrast="auto">,</span><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></li><li data-leveltext="" data-font="Symbol" data-listid="4" data-list-defn-props="{"335552541":1,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"multilevel"}" aria-setsize="-1" data-aria-posinset="5" data-aria-level="1"><span data-contrast="auto">$</span><span data-contrast="none"><span data-ccp-charstyle="Hyperlink">3 billion for the </span></span><strong><a href="https://www.epa.gov/ports-initiative/cleanports" target="_blank" rel="noopener">Clean Ports Program</a> </strong></li><li data-leveltext="" data-font="Symbol" data-listid="4" data-list-defn-props="{"335552541":1,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"multilevel"}" aria-setsize="-1" data-aria-posinset="6" data-aria-level="1"><span data-contrast="auto">$3 bill</span><span data-contrast="auto">ion for </span><span data-contrast="auto">Environmental and Climate Justice </span><span data-contrast="auto">P</span><span data-contrast="auto">rogram,</span><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></li><li data-leveltext="" data-font="Symbol" data-listid="4" data-list-defn-props="{"335552541":1,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"multilevel"}" aria-setsize="-1" data-aria-posinset="7" data-aria-level="1"><span data-contrast="auto">$27 billion for the</span><span data-contrast="auto"> Greenhouse Gas Reduction Fund.</span><span data-ccp-props="{"201341983":0,"335559739":160,"335559740":240}"> </span></li></ul> </div> </div> <div class="elementor-element elementor-element-a09c381 elementor-widget elementor-widget-spacer" data-id="a09c381" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-29c9930 elementor-widget elementor-widget-heading" data-id="29c9930" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h2 class="elementor-heading-title elementor-size-default">Frequently Asked Questions</h2> </div> </div> <div class="elementor-element elementor-element-a1cf14c elementor-widget elementor-widget-spacer" data-id="a1cf14c" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-a5956a0 elementor-widget elementor-widget-text-editor" data-id="a5956a0" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <h5><em>Does this legislation kill the federal EV tax credit?</em></h5><p>No. The tax credit as it previously existed had already ended for some of the most popular EV models and would soon end for models from a few other automakers. While some of the requirements in the new tax credit will lead to challenges in the coming years, extending the tax credit for another decade, through 2032, will ensure the long-term growth of the EV market in the U.S. Additionally, the incentives included in the law for manufacturing and supply chains will help automakers meet the new requirements.</p><h5><i>How do I know if my vehicle is eligible for the federal tax credit?<br /></i></h5><p>Visit <strong><a href="https://www.fueleconomy.gov/feg/tax2023.shtml" target="_blank" rel="noopener">www.fueleconomy.gov</a></strong> for the most up-to-date information on which vehicles are eligible for the tax credits. </p><h5><em>Beginning in 2024, taxpayers can transfer their credit to a dealer to receive it at the point of sale. What about vehicles bought directly from a manufacturer?</em></h5><p>The text does not say that the seller must be a <em>franchised</em> dealer, it only says that the seller must be licensed to sell vehicles in a state, (though not necessarily the state where the sale takes place). The taxpayer should be able to transfer the credit to the automaker selling the vehicle, even if it is not a franchised dealer, though the IRS guidance on this section will provide further clarity. Alternatively, the taxpayer can simply take the credit on their taxes and not transfer the credit.</p> </div> </div> <div class="elementor-element elementor-element-dd0c87c elementor-widget elementor-widget-text-editor" data-id="dd0c87c" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><em>This information is provided as guidance, based on our interpretation of the Inflation Reduction Act, but we recommend that you consult your tax advisor for specific questions regarding your situation.</em></p> </div> </div> <div class="elementor-element elementor-element-fc39b47 elementor-widget elementor-widget-spacer" data-id="fc39b47" data-element_type="widget" data-widget_type="spacer.default"> <div class="elementor-widget-container"> <div class="elementor-spacer"> <div class="elementor-spacer-inner"></div> </div> </div> </div> <div class="elementor-element elementor-element-038b7cc elementor-widget elementor-widget-heading" data-id="038b7cc" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h2 class="elementor-heading-title elementor-size-default">Additional Resources</h2> </div> </div> <div class="elementor-element elementor-element-c45dffb elementor-widget elementor-widget-text-editor" data-id="c45dffb" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p>We invite you to check out these additional resources: </p><ul style="font-size: 16px; background-color: #ffffff;"><li style="font-size: 16px;" data-leveltext="" data-font="Symbol" data-listid="2" data-list-defn-props="{"335552541":1,"335559684":-2,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"hybridMultilevel"}" aria-setsize="-1" data-aria-posinset="1" data-aria-level="1"><b><a href="https://www.irs.gov/credits-deductions/manufacturers-and-models-for-new-qualified-clean-vehicles-purchased-in-2023-or-after" target="_blank" rel="noopener">Manufacturers and Models for New Qualified Clean Vehicles Purchased in 2023 or After | Internal Revenue Service (irs.gov)</a><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></b></li><li style="font-size: 16px;" data-leveltext="" data-font="Symbol" data-listid="2" data-list-defn-props="{"335552541":1,"335559684":-2,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"hybridMultilevel"}" aria-setsize="-1" data-aria-posinset="2" data-aria-level="1"><b><a href="https://www.irs.gov/credits-deductions/commercial-clean-vehicle-credit#:~:text=Businesses%20and%20tax%2Dexempt%20organizations,powered%20by%20gas%20or%20diesel)" target="_blank" rel="noopener">Commercial Clean Vehicle Credit | Internal Revenue Service (irs.gov)</a><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></b></li><li style="font-size: 16px;" data-leveltext="" data-font="Symbol" data-listid="2" data-list-defn-props="{"335552541":1,"335559684":-2,"335559685":720,"335559991":360,"469769226":"Symbol","469769242":[8226],"469777803":"left","469777804":"","469777815":"hybridMultilevel"}" aria-setsize="-1" data-aria-posinset="3" data-aria-level="1"><b><a href="https://home.treasury.gov/system/files/136/EV-Tax-Credit-FAQs.pdf" target="_blank" rel="noopener">Frequently Asked Questions on the Inflation Reduction Act’s Initial Changes to the Electric Vehicle Tax Credit (treasury.gov)</a><span data-ccp-props="{"201341983":0,"335559739":0,"335559740":240}"> </span></b></li></ul> </div> </div> </div> </div> </div> </section> </div> <div data-elementor-type="footer" data-elementor-id="3845" class="elementor elementor-3845 elementor-location-footer" data-elementor-post-type="elementor_library"> <section class="elementor-section 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d="M0.18,9.22l19.25-9.26L6.55,11.98L0.18,9.22z M19.43-0.05L10.65,19.2l-3.13-6.26L19.43-0.05z"></path></svg> <span class="elementor-screen-only">Submit</span> </span> </span> </button> </div> </div> </form> </div> </div> </div> </div> </div> </section> </div> <div data-elementor-type="popup" data-elementor-id="9284" class="elementor elementor-9284 elementor-location-popup" data-elementor-settings="{"entrance_animation":"fadeIn","exit_animation":"fadeIn","entrance_animation_duration":{"unit":"px","size":1.2,"sizes":[]},"a11y_navigation":"yes","triggers":[],"timing":[]}" data-elementor-post-type="elementor_library"> <section class="elementor-section elementor-top-section elementor-element elementor-element-6bc50500 elementor-section-boxed elementor-section-height-default elementor-section-height-default" data-id="6bc50500" data-element_type="section"> <div class="elementor-container elementor-column-gap-default"> <div class="elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-31eca4ea" data-id="31eca4ea" data-element_type="column"> <div class="elementor-widget-wrap elementor-element-populated"> <div class="elementor-element elementor-element-15a78295 elementor-widget elementor-widget-heading" data-id="15a78295" data-element_type="widget" data-widget_type="heading.default"> <div class="elementor-widget-container"> <h2 class="elementor-heading-title elementor-size-default">Amy Malaki</h2> </div> </div> <div class="elementor-element elementor-element-235d5505 elementor-widget elementor-widget-text-editor" data-id="235d5505" data-element_type="widget" data-widget_type="text-editor.default"> <div class="elementor-widget-container"> <p><span class="markf1ddfbcot" data-markjs="true" data-ogac="" data-ogab="" data-ogsc="" data-ogsb="">Amy</span> Malaki is the head of policy and sustainability at SkyNRG and SkyNRG Americas, pioneering global leaders in sustainable aviation fuel production and supply. Prior to SkyNRG, <span class="markf1ddfbcot" data-markjs="true" data-ogac="" data-ogab="" data-ogsc="" data-ogsb="">Amy</span> was the associate director for the transportation portfolio at the ClimateWorks Foundation where she developed philanthropic investment strategies to advance a sustainable, equitable and low-carbon mobility system. She also pioneered the organization’s international aviation decarbonization strategy. Prior to that she focused on Asia business development at Better Place, a Silicon Valley electric vehicle network startup. She has a B.A. in Chinese and China studies from the University of Washington and an M.A. in international policy studies (energy and environment) from Stanford University.</p> </div> </div> </div> </div> </div> </section> </div> <script type='text/javascript'> const lazyloadRunObserver = () => { const lazyloadBackgrounds = document.querySelectorAll( `.e-con.e-parent:not(.e-lazyloaded)` ); const lazyloadBackgroundObserver = new IntersectionObserver( ( entries ) => { entries.forEach( ( entry ) => { if ( entry.isIntersecting ) { let lazyloadBackground = entry.target; if( lazyloadBackground ) { lazyloadBackground.classList.add( 'e-lazyloaded' ); } lazyloadBackgroundObserver.unobserve( entry.target ); } }); }, { rootMargin: '200px 0px 200px 0px' } ); lazyloadBackgrounds.forEach( ( lazyloadBackground ) => { lazyloadBackgroundObserver.observe( lazyloadBackground ); } ); }; const events = [ 'DOMContentLoaded', 'elementor/lazyload/observe', ]; events.forEach( ( event ) => { document.addEventListener( event, lazyloadRunObserver ); 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