Another manufacturer has sold enough qualified electric vehicles[1] to begin phasing out the tax credit for purchasing the manufacturer’s vehicles. In Notice 2019-22 the IRS announced that the credit for qualified plug-in electric vehicles sold by General Motors would be phased down beginning April 1, 2019.

Before April 1, 2019, the credit for the affected vehicles was $7,500. From April 1, 2019 through September 30, 2019, buyers of the qualifying General Motors vehicles will receive 50% of the otherwise allowable credit ($3,750). For the period from October 1, 2019 through March 31, 2020, buyer will receive 25% of the otherwise allowable credit ($1,875). No credit will be allowed for purchases of vehicles after April 1, 2020.

The qualifying vehicles affected by this notice are:

2011-2019 Chevrolet Volt
2014-2016 Chevrolet Spark EV
2017-2019 Chevrolet Bolt
2014, 2016 Cadillac ELR
2017-2018 Cadillac CT6 Plug-In

[1] Over 200,000 vehicles sold in the quarter ended December 31, 2018.