The landscape of electric vehicle (EV) ownership in North America has been significantly shaped by the Inflation Reduction Act of 2022. This legislation brought about crucial changes to the Clean Vehicle Credit, formerly known as the Qualified Plug-in Electric Drive Motor Vehicle Credit. A key update, effective August 17, 2022, mandates that for a vehicle to qualify for this credit, its final assembly must be in North America. This requirement impacts new electric, fuel cell electric, and plug-in hybrid electric vehicles acquired and placed in service after this date. Navigating these changes can be complex, but understanding how to verify your vehicle’s eligibility is essential. This is where a Credit Car Search Tool, like a VIN decoder, becomes invaluable.
Understanding Clean Vehicle Credit Eligibility Post-2022
For vehicles placed in service after December 31, 2022, the Clean Vehicle Credit is governed by updated guidelines from the IRS and the U.S. Department of the Treasury. To stay informed on the most current eligibility criteria, it’s recommended to consult the official IRS resources. Furthermore, FuelEconomy.gov offers a vehicle-specific breakdown of federal tax credits. For a general overview of the credit, you can refer to our Electric Vehicle (EV) and Fuel Cell Electric Vehicle (FCEV) Tax Credit summary.
A significant change starting January 1, 2024, based on proposed IRS regulations, allows buyers to transfer their Clean Vehicle Credit to participating dealers, effectively reducing the vehicle’s purchase price upfront. Previously, the credit was only accessible after filing a tax return. Dealers are now required to use IRS Energy Credits Online to confirm vehicle eligibility and credit amount at the point of sale. This system acts as a crucial credit car search tool for dealerships. Without this IRS submission and approval, buyers cannot claim the credit or transfer it to the dealer. Dealers must provide buyers with proof of IRS approval. For the latest details on point-of-sale credit transfers, refer to the IRS Clean Vehicle Tax Credit page.
Vehicles Purchased Between August and December 2022: Assembly Location Matters
The North American final assembly requirement specifically applies to vehicles purchased and delivered between August 17 and December 31, 2022. The list provided below includes Model Year 2022 and 2023 vehicles, compiled from Fuel Economy labeling and Part 583 data submitted by manufacturers to the EPA and NHTSA, respectively, as of December 31, 2022. For vehicles purchased from January 1, 2023 onwards, the VIN decoder, your credit car search tool, is the recommended method for verifying final assembly. More information is available in our Electric Vehicle (EV) and Fuel Cell Electric Vehicle (FCEV) Tax Credit guide and the IRS Qualified Plug-in Electric Drive Motor Vehicle Credit details.
It’s important to note that some manufacturers with North American assembly have reached the 200,000 EV credit cap for vehicles acquired before January 1, 2023. This cap might affect the full tax credit eligibility for those vehicles. However, this sales cap is no longer applicable for vehicles acquired after December 31, 2022.
Electric Vehicles Assembled in North America
Note: Additional eligibility conditions may apply based on purchase date.
| Model Year | Vehicle | Manufacturer Sales Cap (applies to vehicles placed in service before January 1, 2023) |
|---|---|---|
| 2022 | Audi Q5 | |
| 2022 | BMW 330e | |
| 2022 | BMW X5 xDrive45e (PHEV) | |
| 2022 | Chevrolet Bolt EUV | Manufacturer sales cap met |
| 2022 | Chevrolet Bolt EV | Manufacturer sales cap met |
| 2022 | Chrysler Pacifica PHEV | |
| 2022 | Ford E-Transit | |
| 2022 | Ford Escape PHEV | |
| 2022 | Ford F-150 Lightning | |
| 2022 | Ford Mustang MACH E | |
| 2022 | GMC Hummer EV Pickup | Manufacturer sales cap met |
| 2022 | GMC Hummer EV SUV | Manufacturer sales cap met |
| 2022 | Jeep Grand Cherokee 4xe | |
| 2022 | Jeep Wrangler 4xe | |
| 2022 | Lincoln Aviator PHEV | |
| 2022 | Lincoln Corsair PHEV | |
| 2022 | Lucid Air | |
| 2022 | Nissan Leaf | |
| 2022 | Rivian EDV | |
| 2022 | Rivian R1S | |
| 2022 | Rivian R1T | |
| 2022 | Tesla Model 3 | Manufacturer sales cap met |
| 2022 | Tesla Model S | Manufacturer sales cap met |
| 2022 | Tesla Model X | Manufacturer sales cap met |
| 2022 | Tesla Model Y | Manufacturer sales cap met |
| 2022 | Volvo S60 Recharge | |
| 2023 | BMW 330e | |
| 2023 | BMW X5 xDrive45e (PHEV) | |
| 2023 | Cadillac Lyriq | Manufacturer sales cap met |
| 2023 | Chevrolet Bolt EV | Manufacturer sales cap met |
| 2023 | Ford E-Transit | |
| 2023 | Jeep Grand Cherokee 4xe | |
| 2023 | Jeep Wrangler 4xe | |
| 2023 | Lincoln Aviator PHEV | |
| 2023 | Lucid Air | |
| 2023 | Mercedes EQS SUV | |
| 2023 | Nissan Leaf | |
| 2023 | Rivian R1S | |
| 2023 | Rivian R1T | |
| 2023 | Tesla Model 3 | Manufacturer sales cap met |
| 2023 | Tesla Model S | Manufacturer sales cap met |
| 2023 | Tesla Model X | Manufacturer sales cap met |
| 2023 | Tesla Model Y | Manufacturer sales cap met |
| 2023 | Volkswagen ID.4 |
This list will be regularly updated as manufacturers provide new data to government agencies. For corrections or updates, manufacturers can use the website contact form. Further details for manufacturers are available here.
Vehicles Purchased Before August 17, 2022: No North American Assembly Requirement
For EVs purchased before August 17, 2022, the North American final assembly rule does not apply for tax credit eligibility. Refer to Electric Vehicle (EV) and Fuel Cell Electric Vehicle (FCEV) Tax Credit and IRS Qualified Plug-in Electric Drive Motor Vehicle Credit for complete information.
Using a VIN Decoder as Your Credit Car Search Tool
To pinpoint the assembly location of a specific vehicle, the Vehicle Identification Number (VIN) is key. You can utilize a VIN decoder, effectively a credit car search tool, or check the information label on the vehicle itself. The NHTSA provides a VIN decoder that reveals the vehicle’s build plant and country of origin, alongside other vehicle specifications. To use this credit car search tool and check your vehicle’s assembly location, simply enter the VIN below:
[VIN Decoder Link: https://www.nhtsa.gov/vin-decoder]
Example of NHTSA VIN Decoder interface. Use this credit car search tool to verify North American final assembly for Clean Vehicle Credit eligibility.
Verifying North American final assembly is a preliminary step in determining Clean Vehicle Credit eligibility. Remember that further conditions might apply depending on your purchase date. For details on vehicles placed in service from January 1, 2023, onwards, consult IRS Credits for New Electric Vehicles Purchased in 2023 and After. For any eligibility inquiries, contact the vehicle manufacturer or refer to IRS information.
Keep in mind that for certain manufacturers, assembly locations can vary based on the specific vehicle model, trim level, or production date within the model year. Always use the VIN decoder or vehicle information label to confirm the assembly location for your particular vehicle. For VIN-related questions or other qualifying information, reach out to the manufacturer directly.
North America Final Assembly Definition: For Clean Vehicle Credit purposes, North America encompasses the United States (including Puerto Rico), Canada, and Mexico when determining final assembly location.
Disclaimer: The information provided here is for informational purposes only and should not be considered legal or official documentation. For complete details and the most up-to-date eligibility requirements, please visit IRS.gov/cleanvehicles.
