US Treasury Says Commercial EV Tax Credit Applies To Consumer Lease

Government officials are still ironing out all the details of the new credit that comes as part of the Inflation Reduction Act.

Consumer leases of new EVs beginning January 1, 2023, may qualify for up to $7,500 in "commercial" tax credits, according to the US Treasury Department. 

This reportedly makes EVs made outside of North America eligible. 

To be clear, the original advise about the assembling requirements has not changed at all.

The new US federal EV tax credit was first a little unclear, as usual. 

Though it appears that government authorities will continue to make modifications, 

some of which will be temporary and some of which will be permanent, we laboured to iron out all the nuances. 

Furthermore, the US Treasury anticipates finishing up with the details regarding battery requirements in March, 

so we won't have all the official information until then.

According to Automotive News, some firms that intended to provide customers access to the commercial electric vehicle tax credit would benefit from the new information on EV leasing. 

This will give US consumers more alternatives.

 Since many individuals currently lease new automobiles rather than finance them, lowering lease rates is a significant advancement.

Even with a tax benefit, hefty interest rates make monthly auto payments difficult to afford.