The Internal Revenue Service (IRS) announced Friday that it would propose rules that would make it more difficult for a number of new electric vehicles (EVs) to qualify for tax breaks, according to a news release.
Starting April 18, the IRS will enforce a domestic sourcing requirement for minerals and components used in EV batteries, the agency said. Analysts say that a number of new EVs won’t qualify for a clean vehicle tax credit of $7,500 that was implemented under the Inflation Reduction Act that was passed last year.
