GM Ends EV Tax Credit Plan and Offers Its Own Incentive
Trump Administration Ends $7,500 EV Tax Credit
[Stay on top of transportation news: .]
General Motors Co. has decided not to offer federal tax credits on electric vehicles that were in transit to dealers or on their lots before last month’s expiration of the $7,500 incentive, opting instead to give about $6,000 of its own cash for lease support and to keep EV sales going.
GM’s move shows how automakers are coping with rapid reversals in policy under President Donald Trump. The administration ended Biden-era EV tax credits and has watered down penalties for selling vehicles with low fuel economy and high emissions, enticing automakers to sell more profitable gasoline-powered vehicles and make fewer EVs.
“GM worked on an extended offer for the benefit of our customers and dealers. After further consideration, we have decided not to claim the tax credit,” a company spokesman said in an email. “GM will fund the incentive lease terms through the end of October.”
GM and Ford Motor Co. said last week they were making the $7,500 discount available for leased vehicles that were already in transit or on dealer lots. Those vehicles were eligible for an equal lease incentive because they had already been sold to the automakers’ lending arms. The finance companies would then write a lease with a $7,500 discount built in and claim the money from the Internal Revenue Service.
Want more news? Listen to today's daily briefing belowor go here for more info:
