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Chevy Silverado EV will qualify for the $7,500 federal tax credit (ish)

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The Chevy Silverado EV made its official debut in January of 2022, and now General Motors says it will qualify for the full $7,500 federal tax credit under the new Inflation Reduction Act (IRA). That’s good news since this new electric truck will likely be pricey.

What is the IRA?

The IRA, though passed in 2022, takes effect on April 18, 2023, with new rules for plug-in electric and fuel cell vehicles. In addition to electrification, this new law also takes into consideration vehicle price, household income and final assembly – which has to happen in North America – as well as mineral and battery sourcing.

Though we’re still trying to understand a lot of the requirements, according to the IRS website, the 10-cent summary of requirements to qualify are as follows:

  • For a person to qualify for the credit, the modified adjusted gross income may not exceed $300k for married couples filing jointly, $225k for heads of households, or $150k for all other filers.
  • The vehicle must be new.
  • Vehicles must have a battery capacity of at least 7 kilowatt hours.
  • Gross vehicle weight rating must be less than 14,000 pounds.
  • The vehicle must undergo final assembly in North America.
  • Critical mineral and battery component requirements have to be met (and they change every year).
  • The manufacturer’s suggested retail price can’t exceed $80k for vans, SUVs and pickup trucks or $55k for all other vehicles.

For more details, as well as links to the IRS forms to claim the credits, be sure to visit the IRS website and its credits & deductions section.

Why does the Chevy Silverado EV qualify?

In its brief 225-word press release, General Motors doesn’t go into detail about how the Chevy Silverado EV will qualify for the tax credit. But it does state that because of its investments in the U.S. and efforts to build more secure and resilient supply chains, it leads the industry in the number of models qualifying for the full credit.

Furthermore, the press release states:

“Over the next ten years GM will offer a broad selection of qualifying vehicles across numerous segments and price points, which will bolster our EV transformation as well as the U.S. production and adoption that these incentives were designed to support.”

In addition to the Silverado EV, other GM vehicles that qualify include the Bolt EV and Bolt EUV (both of which previously had been booted from the credit list), Equinox, Blazer and Cadillac Lyriq. One GM vehicle that won’t qualify: The GMC Hummer EV.

You can see a full list of vehicles that qualify for the credit on www.fueleconomy.gov.

Which Chevy Silverado EVs will qualify?

Because Chevrolet hasn’t released full, official pricing yet, we don’t know exactly which models will qualify. But we do know Chevy has said the base WT will start at $41,595, and we discovered the 3WT and 4WT trims will start at $74,800 and $79,800, respectively. So, it appears only the WT (or Work Truck) trims will likely qualify for the credit. Insert sad trombone.

So, if you have your heart set on one of the upper trims, like the RST, with more features, qualifying for the federal tax credit is not in your future.

The bottom line

Trucks are expensive. Electric trucks are even more expensive. While it would be nice if you could off-set the price with a tax credit, only a select few trims for the Chevy Silverado EV will qualify.

The nut of the story: Get used to disappointment.

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Jill Ciminillo

Jill Ciminillo is the Managing Editor for Pickup Truck + SUV Talk as well as a Chicago-based automotive writer, YouTube personality and podcast host, with her articles and videos appearing in outlets throughout the U.S. Additionally, she co-hosts a weekly radio show on car stuff for a local Chicago station. Previously, Jill has been the automotive editor for both newspaper and broadcast media conglomerates. She is also a past president for the Midwest Automotive Media Association and has the distinction of being the first female president for that organization. Jill is also currently a juror for the North American Car, Utility and Truck of the Year (NACTOY).

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