Thinking About Buying an Electric Vehicle? Don’t Wait Too Long.

If you’ve been eyeing an electric vehicle—whether for personal use or to upgrade your business fleet—now’s the time to pay close attention.

On July 1, the U.S. Senate passed a new tax bill that could eliminate several major EV tax credits as early as September 30, 2025. That’s a big deal if you were counting on those incentives to offset the cost.

Here’s what’s on the chopping block:

• Commercial Clean Vehicles Credit (Section 45W)Up to $7,500 for light electric vehicles and as much as $40,000 for heavy-duty commercial EVs.

• New Clean Vehicle Credit (Section 30D)Up to $7,500 for new EVs that meet specific requirements around U.S.-sourced batteries and minerals.

• Previously Owned Clean Vehicle Credit (Section 25E)Up to $4,000, or 30% of the purchase price, for qualifying used EVs.

Originally, the House had proposed a December 31, 2025 cutoff—but the Senate bill moves that deadline up by three months. The House is expected to vote on this new version soon, possibly even before July 4.

And even if this version doesn’t pass right away, similar proposals could come up again in future legislation. So if you’ve been planning to take advantage of these EV credits, it may be wise to act sooner rather than later.

We provide these articles as general information and not individualized tax advice.  They do not constitute a client relationship with you, and any information provided here should be applied at your own risk.