'Don't wait': EV buyers have one last weekend to get the $7,500 tax credit

Core Insights - The federal electric vehicle (EV) tax credit of $7,500 is set to expire on September 30, prompting a final push from automakers to encourage buyers to make purchases before the deadline [1][2] - A significant portion of American consumers lack a clear understanding of how the tax credits function, despite awareness of their existence [3][4] Summary by Sections Tax Credit Deadline - Buyers have until September 30 to claim the federal EV tax credit, with the IRS allowing a "written binding contract" to qualify for the credit even if the vehicle is not delivered by that date [1] Automaker Promotions - Major automakers such as GM, Ford, Tesla, and Rivian are actively promoting their electric vehicles this weekend, with Tesla implementing a countdown on its website to encourage orders by the deadline [2] Consumer Awareness - A study from Cars.com indicates that while most shoppers are aware of the tax credit, only about one-third fully understand its mechanics [4] - Nearly 80% of car shoppers considering EVs state that the tax credit influences their decision, and almost half are inclined to expedite their purchase plans before the deadline [4] Eligibility Criteria - To qualify for the tax credit, EVs must be assembled in North America and have battery materials sourced from non-FEOC countries, including China, Russia, and North Korea [5] - Price limits for the tax credit are set at $55,000 for coupes and sedans, and $80,000 for trucks and SUVs [6] - Income restrictions apply, with a maximum adjusted gross income of $300,000 for joint filers and $150,000 for individual filers [6] Leasing Exemption - Leasing EVs falls under the commercial EV credit, which does not require North American assembly or income restrictions, allowing foreign automakers to qualify [7][8] Payment Confusion - There is ongoing confusion regarding how the tax credit is disbursed to consumers and automakers [9]