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The federal tax credit for new plug-in electric vehicles is worth $2,500 plus $417 for each kilowatt-hour of battery capacity over 5 kWh, and the portion of the credit determined by battery capacity cannot exceed $5,000. Therefore, the total amount of the credit allowed for a new PEV is $7,500.
Many people don't realize this, but the federal incentives that allow consumers up to a $7500 tax credit on any plug-in vehicle begin to expire once a carmaker hits 200,000 units sold in the U.S. No manufacturer has hit that number yet, but Tesla should be the first. And when it will hit this cap has become a topic of much speculation.