The Department of the Treasury and the Internal Revenue Service have published information detailing specific provisions in the Inflation Reduction Act to guide individuals and businesses that are eligible for clean vehicle tax benefits.
This information was released by the agency on Thursday and includes frequently asked questions and notices regarding the incremental cost and proposed regulations for eligible vehicles.
As noted on the FAQ page, manufacturers have listed clean vehicles that they said meet the requirements for the tax credit. The agencies recommend that consumers should regularly check the list, which will be updated throughout the coming days and weeks.
The tax credit for commercial clean vehicles has a maximum of $7,500 for vehicles weighing below 14,000 pounds, while all other commercial clean vehicles can qualify for up to $40,000 in credit. It may still vary depending on whether the vehicle is gas or diesel-powered.
Regulations on the tax credit for new clean vehicles will also be introduced, including definitions to educate consumers about the changes.
The act will take effect January 1.