Federal tax credits are starting to waver under the current administration, but as of May 2025, you can still take advantage of up to $4,000 off the purchase of a used EV. If you’d rather not listed to me talk, you can skip right to all the BEVs and PHEVs that currently qualify by clicking here.

How the current tax credit works for used EVs

As part of revised terms in the Inflation Reduction Act signed by President Biden, federal tax credits have been extended (for now) and include revamped benefits for used EV purchases. That said, your used EV purchase must fit certain criteria to qualify for a credit up to $4,000. Per the IRS:

Beginning January 1, 2023, if you buy a qualified previously owned electric vehicle (EV) or fuel cell vehicle (FCV) from a licensed dealer for $25,000 or less, you may be eligible for a previously owned clean vehicle tax credit under Internal Revenue Code Section 25E.

Used EVs face terms that offer a credit equal to 30% of the sale price (up to $4,000). That should help consumers like yourselves get some change back in their pockets at the end of the fiscal year, as long as you stick to these terms as outlined by the IRS.

To qualify as a customer, you must:

• Be an individual who bought the vehicle for use and not for resale
• Must be an individual (no businesses)
• Not be the original owner
• Not be claimed as a dependent on another person’s tax return
• Not have claimed another used clean vehicle credit in the 3 years before the EV purchase date
• Modified adjusted gross income must not exceed $75k for individuals, $112,500 for heads of households, and $150k for joint returns

Additionally, in order for used EV to qualify for federal tax credits, it must:

• Have a sale price of $25,000 or less
• Have a model year at least 2 years earlier than the calendar year when you buy it
  • For example, a vehicle purchased in 2023 would need a model year of 2021 or older
• Not have already been transferred after August 16, 2022, to a qualified buyer
• Have a gross vehicle weight rating of less than 14,000 pounds
• Be an eligible FCV or plug-in EV with a battery capacity of least 7 kilowatt hours (kWh)
• Be for use primarily in the United States
• Purchased from a certified dealer:
  • For qualified used EVs, the dealer reports required information to you at the time of sale and to the IRS
• A used vehicle qualifies for tax credit only once in its lifetime

These used EVs qualify for credits as of May 2025

It’s important to note that this is not the end-all, be-all list of used EVs that qualify for tax credits in the US. As always, we recommend speaking with a tax professional and EV dealer directly to ensure what you and your new vehicle qualify for. Without further ado, here are the all-electric models that currently qualify:

Battery Electric Vehicles (BEVs)

Plug-In Hybrid Electric Vehicles (PHEVs)