Changes to Tesla's battery supply chain has brought the electric automaker's Model 3 within the guidelines qualifying it for federal tax credits.
Tesla has made changes to its battery supply chain that bring some of its vehicles within the guidelines qualifying them for federal U.S. credits.now qualify which could lower its price to less than that of a Toyota Camry.
The Biden administration on Tuesday confirmed that all Tesla Model 3 vehicles now qualify for $7,500 electric vehicle consumer tax credits after two of the three versions were eligible for half the credits. New battery rules went into effect in April that lowered the credit of the Model 3 Standard Range Rear-Wheel Drive and Long Range All-Wheel Drive to $3,750.The government confirmed the change on its fueleconomy.gov website.
A Model 3 starts at $40,240 and the price may fall to $25,240 when the $7,500 federal tax credit and another $7,500 from the California tax rebate kick in, depending on income and other requirements.
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