
If you’re thinking about buying an electric car or a plug-in hybrid, you should be aware that the Trump administration is considering eliminating a federal EV tax credit of up to $7,500. It’s a change that could make new and used EVs and PHEVs more expensive for consumers. Although recent executive orders have targeted federal spending on EVs, nothing has changed so far from a consumer standpoint.
“It will likely take some time for policymakers to repeal or limit these incentives,” says Alexandra Grose, senior policy counsel at Consumer Reports. “But if you’re looking to buy an EV and save thousands of dollars by using tax credits, it’s better to buy sooner rather than later.”