Thanks for the reply. Very helpful. To be specific, the cars in question are both Toyota RAV4 Primes. The original was an SE and I'm upgrading to the XSE.
In May, Pre-IRA 2022, the Prime SE I purchased qualified for the full federal credit. The new purchase would be in October or November of 2022, Post-IRA 2022, not qualifying based on the assembly provision.
I wasn't worried about trying to double up on the credit, but I wouldn't want to do the upgrade if it jeopardized the original credit from May, as it is the only one that I would be eligible for.
Based on the information you provided it seems that trading in the car won't have any effect on the tax credit. So upgrading won't be an issue.
