Yes, the federal EV tax credit, including the up to $ 7 , 500 $ 7 , 5 0 0 credit for new EVs and $ 4 , 000 $ 4 , 0 0 0 for used EVs, officially expires for most vehicles purchased after September 30, 2025. The One Big Beautiful Bill Act significantly accelerated the end of these incentives to this date,, www.hondanorth.com notes.
The One Big Beautiful Bill Act (OBBBA) made several updates to tax benefits related to car buyers. The Electric Vehicle Credit expires on September 30, 2025, meaning purchases made before this date may still qualify for up to $7,500 for new EVs, $4,000 for used EVs, and $40,000 for commercial EVs.
The deadline to file federal income tax returns this year — to report income earned in 2025 — is April 15, 2026. If you file an extension, you have until Oct. 15 to file your federal tax return.
The credit will not be allowed for any property placed in service after June 30, 2026. The credit will not be allowed for any vehicle acquired after September 30, 2025. The credit will not be allowed for any qualified new energy efficient home acquired after June 30, 2026.
The new tax bill will end the $7500 tax credit on new EVs and the $4000 tax credit on used EVs.
Important 2026 update: the federal EV purchase tax credits for new and used EVs ended for vehicles acquired after September 30, 2025. California, local, and utility incentives (plus the federal charger credit—see below) are now the main savings opportunities.
Under the updated Section 25D(h), the law now states: “The credit allowed under this section shall not apply with respect to any expenditures made after December 31, 2025.” In plain English: To claim the 30% credit, you must have “made the expenditure” before the ball drops on New Year's Eve, 2025.
As of September 30, 2025, the federal EV credits have expired. No new credits will be paid out at the time of sale. If you have purchased a qualifying EV but are not in possession of it yet, you may still be eligible. Qualifying sales require a signed agreement and a down payment prior to September 30, 2025.
For the 2025 tax year (filing in 2026), significant changes from the "One Big Beautiful Bill Act" (OBBBA) make many Tax Cuts and Jobs Act (TCJA) provisions permanent, increase the Standard Deduction, expand the Child Tax Credit to $2,200, boost the SALT cap to $40k (for most), and introduce new deductions for tips, overtime, and auto loan interest, alongside changes to business deductions like 100% bonus depreciation.
If you need more time to file your taxes, request an extension by the April tax filing due date. This gives you until October 15 to file without penalties. Make sure you pay any tax you owe by the April filing date. The extension is only for filing your return.
Yes, the Trump Administration ended the IRS Direct File program, so it is not available for the 2026 tax season (filing 2025 taxes), with the administration citing costs and low usage while shifting focus to other free options like IRS Free File and VITA/TCE programs, though critics argue this favors private companies and increases taxpayer costs.
The $7,500 tax credit for new EVs and the $4,000 credit for used EVs will vanish after September 30, 2025 – a full three months earlier than the House originally planned. And it gets more aggressive: leased EVs from non-U.S. automakers lose their credits immediately. The EV charger tax credit also ends in June 2026.
Here are a few tax provisions that ended or are ending in 2025.
For vehicles acquired on or before Sept. 30, 2025, if you buy a qualified used electric vehicle (EV) or fuel cell vehicle (FCV) from a licensed dealer for $25,000 or less, you may be eligible for a used clean vehicle tax credit. The credit equals 30% of the sale price up to a maximum credit of $4,000.
In the March 2025 Federal Budget, two new income tax cuts were announced to commence from 1 July 2026 and 1 July 2027. These cuts have now been legislated. The changes announced are: From 1 July 2026, the 16% tax rate, which applies to taxable income between $18,201 and $45,000, would be reduced to 15%
To avoid the 22% tax bracket (or any higher bracket), focus on reducing your taxable income through strategies like maxing out 401(k)s and HSAs, deferring bonuses, tax-loss harvesting, smart charitable giving, and strategic asset location, understanding that higher rates only apply to income within that bracket, not your entire income.
The federal electric vehicle tax credit (worth up to $7,500 for new EVs and $4,000 for used EVs), is officially ending on September 30, 2025. For more than a decade, these incentives have played a central role in artificially propping up EV sales, coaxing buyers toward electric cars with taxpayer-funded subsidies.
Yes, EVs tend to depreciate more quickly than ICE vehicles, but this gap is closing, and is set to match their depreciation level over time. There are several factors which contribute to this depreciation which will be outlined throughout this guide.
Federal EV tax credits are finished, thanks to Donald Trump and Tom Barrett. Lansing, Mich. – Despite their success driving the growth of America's electric vehicle manufacturing, including a 60% increase after the 2023 credits, today marks the end of federal tax credits for the purchase of new and used EVs.