I just found out about the used car credit and am thinking about using it by the end of this year or early next year. It’s been available for a few years, but with a full Republican majority, I wonder if this credit could get cut. Anyone have thoughts on whether it’ll last through 2025?
Inauguration is Jan 20, and tax laws don’t change overnight. He could try an executive order, but EVs aren’t his top priority. This credit should be safe for the first few months of next year.
sorphia said:
Inauguration is Jan 20, and tax laws don’t change overnight. He could try an executive order, but EVs aren’t his top priority. This credit should be safe for the first few months of next year.
If they control all branches, changing tax codes will be a lot easier, so it may go faster than you think.
> He has said he will end EV subsidies on day one.
He also said he’d build a wall on day one. Lots of promises—many didn’t happen.
@jeff
> He has said he’ll end EV subsidies on day one.
He’s said that about a thousand things! If he really does, he’ll need a 20,000-hour day to do everything he’s promised.
@jeff
His list of promises is endless. Not sure why anyone believes he’ll get to most of them.
His main focus is usually on getting back at anyone who went against him.
Looks like Musk is close to him and isn’t a fan of the subsidy, so we might see a change.
Kenneth said:
Looks like Musk is close to him and isn’t a fan of the subsidy, so we might see a change.
Why wouldn’t he like it? The credit helps sell more Teslas.
Kenneth said:
Looks like Musk is close to him and isn’t a fan of the subsidy, so we might see a change.
It’s Musk’s stance because he knows the subsidy helps his competitors too. His goal for sustainable cars seems to have faded with his recent shift.
There’s a bill aiming to cut all EV tax credits, but it isn’t widely supported by Republican senators from car-manufacturing states.
For sure.
Losing a $4k credit might be the least of our worries.
It’s very possible, given the GOP’s stance on green tech and the IRA.
Dealers benefit a lot from the credit, and they’ve got a powerful lobby. But Elon’s influence might counter that, so maybe it’ll last a while longer but not forever.
martin said:
Dealers benefit a lot from the credit, and they’ve got a powerful lobby. But Elon’s influence might counter that, so maybe it’ll last a while longer but not forever.
Musk has said he’s against EV credits. Since Tesla’s profits are strong without them, he sees them as helping the competition more than him.
Watch which party takes the House soon. If it’s Republicans, it’s better to use it before year’s end.
New tax code changes usually start the following year, so any cut would probably be effective in 2026.
Since it’s a tax credit, it’s not guaranteed next year. I’d lock it in now if you can.
Expect cuts in most IRA programs if the GOP goes through with a tax bill update. That would mean EV credits too.
Best bet: It’ll get axed.