With the Inflation Reduction Act becoming law, does that mean I can get a tax credit for buying a Tesla again?

Excellent question. Short answer, maybe.

With the passing of the Inflation Reduction Act, there is now an EV tax credit available again (no more 200,000 car cap, which Tesla blew through years ago), for vehicles delivered starting January 1, 2023. However, there are some other restrictions. The list price of the vehicle has to be less than $80,000 for trucks and $55,000 for anything else, and the buyer’s income has to be less than $150,000 annual for single or $300,000 annual for a household. That means the Model S and Model X are out, but at least some versions of the Model 3 and Y (and potentially Cybertruck) are in with a $7500 tax credit.

There are further restrictions, however, related to where the car is manufactured (no problem for Tesla) and where their parts and minerals and whatnot come from (entire supply chain, from mining to processing), which could be a problem for every EV manufacturer given how much battery materials and/or components come from China which is not a free trade partner with the US. At least, starting in 2024. So this tax credit may no longer be applicable then.

But for 2023, things look promising. There is no way to know if this will cause Tesla to adjust their prices due to this.

More information can be found here; there are many sites purporting to have more information from a quick Google search, which you can do if necessary. Also note that this FAQ does not pretend to offer any tax advice; any specifics need to be answered by a tax professional.

To see the official IRS list, click here.

What are some useful other websites for good reference material?

There is a wide range of information out there on the Internet regarding Tesla products, beyond the Tesla website, forums, and Engage platform. TeslaFi’s firmware tracker has already been mentioned. It also links to the NotATeslaApp website which is a great place to look at release notes and upcoming features.

There are several Reddit channels specific to Tesla, including /r/teslamotors.

There are even other FAQs out there managed by other groups, including http://www.teslamodel3wiki.com.

There are dozens of YouTubers that provide good information on Tesla or other EV vehicles. Examples in no particular order or recommendation are Bjorn Nyland, Car Confections, DaxM, Dirty Tesla, Don’t Waste Your Time (local member), DǼrik, Frugal Tesla Guy, i1Tesla, model3man, Mother Frunker, Tesla Joy, Tesla Raj, Alex Venz, Andy Slye, Because Tesla, Jeremy Judkins, Pure Tesla, Tesla DIY, and Tesla Owners Online.

 

What kind of rebates can I get for owning a Tesla? How about a home charger?

The website https://marylandev.org/incentives/ has a good summary of this information, as does this FAQ from EV Power Solutions.

The Inflation Reduction Act (see this FAQ) makes it possible to get a Federal tax rebate on Model 3 and Model Y cars with several caveats, mentioned in the FAQ linked above. It also gives you what amounts to a bank to draw from for related expenses, such as home charger installation. Take a look at RewiringAmerica’s IRA calculator to get a sense of what that might mean for you.

For Maryland, you may get some money back for a charger install. It must be done by a certified electrician with proper permitting, and it has to be obviously for EV charging. A NEMA 14-50 outlet by itself is not enough; a NEMA 14-50 outlet with, say, a Tesla mobile charger is.

There may be some benefits offered by your power company as well. Check with them, but one common warning noted in the group is you may need to give them access to your Tesla account which raises some questions.