Cybertruck Among 10 Brands To Qualify For $7,500 In Tax Credits Under New IRA Rules

Despite the ugly PR start to the year for Tesla’s Cybertruck, there is some good news: the vehicle “qualifies for up to $7,500 in US tax credits for the first time this year”, according to Bloomberg.

At least for now, the number of EVs and plug-in hybrids eligible for credits has dropped to 18 from 22, due to stricter domestic sourcing rules for batteries under President Biden’s Inflation Reduction Act.

The Bloomberg article stated that demand for battery-electric vehicles has waned as President-elect Donald Trump prepares to potentially end federal EV subsidies. Currently, 10 brands, including Tesla’s Cybertruck, Hyundai’s Ioniq models, and Kia’s EV6 and EV9, still qualify.

Eligibility for the subsidy depends on income and vehicle price, limiting access for some buyers. Volkswagen’s ID.4 crossover lost its full $7,500 tax credit, while select models from Ford, Nissan, Rivian, Stellantis, and VW no longer qualify for partial credits, Bloomberg noted.

Cybertruck has recently been in the news due to a tragic incident in Las Vegas, where on New Year’s Day, a Cybertruck exploded outside the Trump International Hotel, resulting in the death of the driver and injuries to seven bystanders.

The driver, identified as 37-year-old Matthew Livelsberger, a U.S. Army Special Forces sergeant, reportedly shot himself before the explosion. The vehicle was loaded with gas canisters and fireworks, leading authorities to investigate the incident as a potential act of terrorism.

Elon Musk, Tesla’s CEO, highlighted the Cybertruck’s durability, suggesting that its robust design helped contain the blast and minimize further damage. Las Vegas police have acknowledged Tesla’s cooperation in providing information and footage to assist in the investigation.