Tesla issues warning

Tesla issues warning

EV giant Tesla Inc (NASDAQ:TSLA) now shows a disclaimer on its website warning of federal tax credit reductions on “certain vehicles.” The warning was previously limited to solely its cheapest vehicle or the Model 3.

What Happened: “$7,500 Federal Tax Credit for Certain Tesla Models. Reductions likely for certain vehicles in 2024,” the warning on the website reads, citing pending federal guidance.

The company also urged prospective buyers to take their deliveries before the end of the quarter to guarantee a full incentive of $7,500.

Previously, the disclaimer on the website noted a “strong likelihood” for Model 3 tax credit reductions to reduce to $3,750 after Dec. 31.

The Model 3 order page, meanwhile, continues to warn the customer of a potential halving in tax credit.

Why It Matters: It was only in June that the U.S. Department of Energy confirmed that all versions of the Model 3 would be eligible for a $7,500 tax credit. Prior to that, Model 3’s Rear-Wheel Drive (RWD) and Long Range versions qualified only for a tax credit of $3,750.

The following Tesla vehicles are presently eligible for a full tax credit of $7,500:

  • Model 3 Rear-Wheel Drive
  • Model 3 Long Range
  • Model 3 Performance
  • Model Y Rear-Wheel Drive
  • Model Y Long-Range
  • Model Y Performance
  • Model X Dual Motor All-Wheel Drive

Check out more of Benzinga’s Future Of Mobility coverage by following this link.

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