Tesla electric vehicles are no longer eligible for electric vehicle tax credits in America. The federal electric vehicle tax incentive was never meant to be permanent for automakers. It is gradually phasing out over time based on sales numbers. Learn from Tesla and buy a Ford Mustang Mach-E while you can take advantage of the full incentive.
Tesla electric vehicles don’t qualify for EV federal tax credits
What is the federal electric vehicle tax incentive? The American government created this incentive to help American consumers afford electric vehicles. The Biden administration has expressed an interest in the development of American EVs.
The current EV tax credit stands at $7,500. Automakers can offer this credit to consumers who purchase eligible vehicles. This will effectively reduce the cost of the EV by $7,500 after the credit is redeemed. Tax credits help automakers sell vehicles, and American drivers buy them, but this deal is too sweet to last forever.
Teslas are some of the most popular electric vehicles in the world. Tesla is a pioneer in electric vehicle technology. The American automaker has produced several successful electric vehicle nameplates like the Tesla Model 3 sedan and Tesla Model Y SUV.
These popular vehicles were much more affordable when they were eligible for tax incentives. According to Fueleconomy.gov, models produced after 2019 are no longer eligible. Some local incentives may apply, but they surely don’t equate to the same amount of savings.
The Ford Mustang Mach-E could be experiencing its golden era
The Ford Mustang Mach-E electric SUV dominated the competition in 2021. The American electric SUV won multiple awards and was highly favored by respected automotive publications. The Mach-E did something that many Americans never believed was possible. It made EVs cool.
The electric SUV channels the spirit of the American Mustang muscle car and mixes practicality with engaging driving dynamics. The Mach-E electric SUV starts at $43,895. The full tax incentive brings the base model’s price closer to $36,395.
Thanks to the tax credit, Americans can buy the Mach-E Select electric SUV for under $37,000. It makes 266 horsepower. The electric SUV has a 224-mile driving range. Ford buyers can enjoy huge savings on the popular electric SUV now, but those savings won’t last forever.
The tax credit will decrease as Ford Mach-E sales increase until the incentive is completely phased out. This means that thousands of Americans are passing up on a chance to save $7,500 on a Mach-E.
The Ford Mustang Mach-E is a steal for under $37K
The federal electric vehicle tax incentive makes the Mustang Mach-E an absolute steal. It competes with the Tesla Model Y, Volkswagen ID.4, and Hyundai Ioniq 5. Many would argue that the Mach-E is the most exciting of the aforementioned electric SUVs.
Learn from Tesla and commit to buying a Mach-E if you already plan on getting one in the future. Waiting just a few years could increase the EV’s price by $7,500.
Learn about some of the popular electric SUVs that are helping fight range anxiety in the next article below.