KochuK
Employee Tax Expert

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Hi a76marine1, thanks for the event questions.

 

Inflation Reduction Act of 2022 (IRA 2022) signed into law on 8/16/2022. Hence terms used here are “Pre-IRA 2022” and “Post-IRA 2022.”

 

You mentioned that you signed a purchase agreement before 8/16/2022 and took delivery during September 2022.

 

If you have a Written Binding Contract, i.e. you paid a nonrefundable deposit/downpayment of 5% or more, your vehicle does not need to be assembled in North America. If not, your vehicle needs to be assembled in North America.

 

Depending on the above, if qualify, your credit follows the "Pre-IRA 2022" rules, which has no MSRP vehicle price limit. The MSRP limit does not apply for vehicles that were delivered in 2022.

 

Please look at page 2 of below link, under the column of "Pre-IRA 2022" under the label of "Plug-in EV credit": the highlights are -

*Max amount could be $7,500 non-refundable credit;

*Phaseout after 200,000 plug-in EVs manufactured and sole

 

Clean Vehicle Tax Credits in the Inflation Reduction Act of 2022

https://crsreports.congress.gov/product/pdf/IN/IN11996

 

Please see below for Index for Manufacturers published by the IRS

https://www.irs.gov/businesses/irc-30d-new-qualified-plug-in-electric-drive-motor-vehicle-credit

 

Hope the above helps.

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