Sept. 30 End for $7,500 Federal EV Credit

The federal Clean Vehicle Tax Credit — up to $7,500 for new plug‑in or hydrogen vehicles and up to $4,000 for qualifying used EVs — is set to expire on Sept. 30 after passage of a GOP budget measure, and the IRS says buyers must meet ordering, down‑payment or delivery rules and have sufficient tax liability to claim it. The looming deadline has sparked a nationwide rush that lifted EV sales to record levels: Cox Automotive reported a 26.4% jump in July, a 9.9% market share in August, and an expected ~410,000 sales in September, tightening inventories and prompting dealers to contact shoppers to close deals. EV transaction prices remain well above ICE cars (about $57,245 vs. $48,179), and some automakers have begun scaling back production as the incentive ends. California has declined to replace the federal rebate, though some state programs (for example New York’s $500–$2,000 incentive) remain in effect. Analysts say the credit helped lower battery and production costs and expect sales to fall after the cutoff before recovering more slowly over time.