The IRS will start winding down a tax credit for Tesla plug-in electric vehicles beginning Jan. 1.
The Internal Revenue Service said Tesla sold over 200,000 vehicles eligible for the plug-in electric drive motor vehicle credit during the third quarter, which triggered a phase out of the tax credit. Starting Jan. 1, Tesla plug-ins will be eligible for a $3,750 tax credit, the IRS announced Dec. 14.
Qualifying Tesla vehicles sold before Jan. 1 are still eligible for a $7,500 credit.
The next step in the phase down will be on Jan. 1, when the Tesla credit will be cut ...