Why some EV buyers are getting their tax returns rejected this year

Mustang Mach-E electric vehicles sit in a long row at a dealership on Jan. 21, 2024. Some customers who bought electric vehicles in 2024 are not able to access an EV tax credit now, because their dealers did not report the sale to the IRS using a new system.

The federal EV tax credit, worth up to $7,500, saw big changes in 2024. For buyers, the credit typically became easier to get. But if their dealers skipped a step, it was a different story.

(Image credit: David Zalubowski)



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