EV Tax Credit Savings Calculator (US)

Enter Calculation

Vehicle Price / MSRP ($)

Vehicle Type Car / Sedan (MSRP cap $55,000) SUV / Truck / Van (MSRP cap $80,000)

Filing Status (income cap) Single ($150,000) Head of Household ($225,000) Married Filing Jointly ($300,000)

Modified Adjusted Gross Income ($)

Maximum Credit Eligible ($) $7,500 (meets both battery rules) $3,750 (meets one battery rule) $0 (not a qualified model)

Results

Net Cost After EV Tax Credit

$42,500

vehicle price minus credit

Tax Credit Applied	$7,500
MSRP Cap	$55,000 — Within cap
Income (MAGI) Cap	$300,000 — Eligible

What This Calculator Does

This tool estimates the United States federal Clean Vehicle Tax Credit (Internal Revenue Code §30D, as amended by the Inflation Reduction Act) and shows your net vehicle cost after the credit. It applies to new electric vehicles purchased in the US. The maximum credit is $7,500, split into two $3,750 components for battery critical-mineral and component sourcing rules. Figures reflect rules effective for the 2023–2024 tax years and are an estimate only — confirm a specific model's eligibility on FuelEconomy.gov and with a tax professional.

The credit applies only if both the vehicle MSRP and your income (MAGI) fall under their caps.

How to Use It

Enter the vehicle's price (MSRP), choose whether it is a car/sedan (MSRP cap $55,000) or an SUV/truck/van (cap $80,000), pick your filing status, enter your modified adjusted gross income (MAGI), and select the maximum credit the model qualifies for ($7,500, $3,750, or $0). The calculator checks both caps. If either the MSRP exceeds its cap or your MAGI exceeds your income limit, the credit is $0.

The Formula Explained

Net Cost = Vehicle Price − Credit. The credit equals your selected maximum only when MSRP ≤ the vehicle-type cap and MAGI ≤ your filing-status limit ($150,000 single, $225,000 head of household, $300,000 married filing jointly). Both conditions must hold; otherwise the credit drops to zero.

$$\begin{gathered} \text{Net Cost} = \text{Price} - \text{Credit} \\[1.5em] \text{where}\quad \left\{ \begin{aligned} \text{Credit} &= \text{Max Credit} \;\text{ if } \text{Price} \le \text{MSRP Cap} \text{ and } \text{MAGI} \le \text{Income Cap} \\ \text{Credit} &= 0 \;\text{ otherwise} \\ \text{MSRP Cap} &= \$55{,}000\ (\text{car}) \text{ or } \$80{,}000\ (\text{SUV}) \\ \text{Income Cap} &= \text{Filing Status limit} \end{aligned} \right. \end{gathered}$$

Net cost equals the vehicle price minus the federal tax credit.

Worked Example

A $50,000 sedan, married filing jointly, MAGI $120,000, model qualifying for the full $7,500. MSRP $50,000 ≤ $55,000 ✓ and MAGI $120,000 ≤ $300,000 ✓, so the full $7,500 applies. Net cost =

$$\$50{,}000 - \$7{,}500 = \$42{,}500$$

$42,500.

FAQ

Why might I get $0? If your income exceeds your filing-status limit, or the vehicle's price is above its MSRP cap, the credit is disallowed entirely.

Is the credit refundable? No. The §30D new-vehicle credit is nonrefundable against income tax, though since 2024 it may be transferred to the dealer at point of sale. This tool shows the gross credit, not your tax liability.

Do used EVs qualify? Used EVs fall under a separate credit (§25E, up to $4,000) with different caps; this calculator models the new-vehicle credit.