The Chevy Bolt is not the sexiest EV you can buy, or the most family-friendly. But even with its recent price bump, it is the most affordable new electric car you can buy at $26,300. And it offers a robust 259 miles of range, making it an incredible value play.
But for the first couple of months in 2023, that deal could get a lot sweeter.
The Inflation Reduction Act changed the rules on the federal tax credit for EVs. One of the biggest changes was removing the cap on the number of vehicles per manufacturer that could receive the $7,500 credit, making GM and Tesla vehicles eligible again starting January 1st, 2023.
As Electrek notes, the Bolt would likely be eligible for half the credit ($3,750) under the new rules. To receive the full credit, a vehicle must meet the price thresholds, be assembled in America, have the battery assembled in America and have the battery materials sourced from America or a free trade partner.
However, the U.S. Department of Treasury announced they are not issuing guidance on the battery requirement of the bill until March. So the Bolt EV is currently eligible for the full $7,500 federal tax credit. That could bring the price down to just $19,000 — less than a combustion Bolt equivalent like a Honda Civic or Toyota Corolla would cost.
On top of that, many states have incentives that could drive that cost down still further and rival the cheapest new cars on sale. And if you’re worried about installing a Level 2 EV charger? Don’t. A current Chevy incentive on 2023 Bolt EV and Bolt EUVs covers the cost of a home charger installation.
We should note that the tax credit for EVs is non-refundable, which means you have to owe $7,500 on your taxes to receive the full credit back. The IRA will allow buyers to transfer the credit to dealers to receive it at the point of sale. But that provision does not go into effect until 2024.
