"Understanding the 2024 Shift in Electric Vehicle Tax Credit Eligibility for Tesla and Other Automakers"
Tesla has updated its website to reflect the electric vehicle (EV) models eligible for the Inflation Reduction Act's (IRA) tax credits in 2024. The eligible models include the Model X Dual Motor AWD, Model 3 Performance, and various Model Y configurations, with the base Model 3 and Long Range variant no longer qualifying. To receive the $7,500 tax credit, customers must meet specific IRS requirements, including income limits and the stipulation that the EV must be for personal use and primarily used in the U.S. The IRA also excludes EVs with components from foreign entities of concern, such as China and Russia.