Ford Maverick Tax Credit Eligibility
As the 2023 Ford Maverick is only a hybrid, it won’t be eligible for the federal tax credit for electric vehicle owners.
Written by Brittni Brinn
Reviewed by Hillary Kobayashi
Although Ford has been teasing a plug-in hybrid or even a fully-electric Ford Maverick, the current model is only a hybrid—which means it won’t be eligible for the federal tax credit.
With a hybrid 2.5-liter four-cylinder assisted by an electric motor, the 2023 Ford Maverick puts out a combined power of 191 hp. Even though the hybrid powertrain will
save you money at the gas pump
, it won’t qualify you for the federal tax incentive for electric vehicle (EV) drivers.However, there still may be incentives out there to buy a brand-new Maverick. Let’s take a look at the Ford Maverick and the new rules for the federal
tax credit for electric vehicles
. We’ll even give you some alternatives to the Maverick. Compare insurance quotes from 50+ insurance companies with Jerry in under 45 seconds
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4.7/5 rating on the App Store | Trusted by 5+ million customers and 7 million cars4.7/5 app rating | Trusted by 5M+ driversIs the Ford Maverick eligible for federal tax credit?
The Ford Maverick is currently not eligible for the federal tax credit for EVs and plug-in hybrids.
What is the federal tax credit, anyway? Since 2010, an EV tax credit of up to $7,500 for new electric vehicle purchases has been active for buyers in the United States. However, this tax credit was capped for automakers who sold over 200,000 electric vehicles.
General Motors
and Tesla
have already exceeded this amount, meaning their vehicles are no longer eligible.The Inflation Reduction Act of 2022 has changed the parameters of the tax credit. To qualify, electric and plug-in hybrid vehicles must have their final assembly performed in North America.
What you should know about the new federal EV tax credit requirements
In addition to the condition that qualifying EVs have to be assembled in North America, there are a few new eligibility requirements for the remaining federal tax credits:
- Income requirements. Maximum $150,000 a year for single buyers, $300,000 for buyers who file taxes jointly with a spouse or partner.
- Price of the vehicle. Sedans under $55,000; trucks, vans, and SUVs under $80,000; used vehicles under $25,000, regardless of model.
- Battery construction. Qualifying EVs must have batteries with a set amount of materials from North America or a U.S. free-trade partner. Batteries must also be manufactured and assembled in North America.
Considering that no EVs currently meet the battery requirements, it’s going to be a challenge getting a federal tax credit in 2023.
Even with all of these new requirements, Ford buyers may soon find the whole tax credit moot—
Ford
is expected to hit its 200,000 unit cap by early 2023. Other electric vehicle incentives
Even if your Ford Maverick doesn’t qualify for the federal tax credit, there are incentives for hybrid owners, depending on where you live. States and utility companies may offer rebates for more eco-friendly vehicles.
If you’re thinking about upgrading to an EV, there are more opportunities to apply for tax credits and rebates.
California’s electric vehicle incentives
offer rebates up to $7,000, while Florida’s electric vehicle incentives
offer rebates and tax credits through the Kissimmee Utility Authority and Jacksonville Electric Authority. Is the Ford Maverick still worth buying?
So, should you still buy a Maverick, even if it doesn’t qualify for the tax credit?
According to Car and Driver, the 2023 Ford Maverick is a 10/10 compact pickup that has a surprising towing capacity of 4,000 pounds. If you’re looking for something with pickup capabilities that won’t take up two spaces in the grocery store parking lot, the Maverick is a great pick.
Plus, with a starting MSRP of $23,670, you may find it one of the most affordable hybrid options even without a tax credit! And don’t forget about the gas money you’ll save with a hybrid powertrain!
What to buy instead of a Ford Maverick
There are so many factors to think about, including the vehicle’s assembly location and sales cap (if you’re going for the federal tax credit). Remember that Tesla and Chevrolet’s vehicles have hit their limit, and Ford is close behind them.
Whether you’re looking for a truck that will
still qualify for federal tax credits
or you want something similar to the Maverick that has a plug-in option, here are some comparable picks!If you really want the federal tax credit: 2022 Ford F-150 Lightning
Starting price: $41,769
Possible tax credit: $7,500
With power and prowess on par with a gas-powered pickup, the Ford F-150 Lightning is one of the only electric trucks currently available. Car and Driver gives it 8.5/10 and an Editors’ Choice award for its impressive driving experience, roomy front trunk, and more affordable price tag when compared to competitors.
Even though the Lightning’s range is between 230 miles and 320 miles, adding a trailer or other towed load behind it will drastically cut down on how far it can go on a single charge.
If you just want a great PHEV: 2022 Toyota RAV4 Prime Plug-In Hybrid
Starting price: $30,910
It’s not a truck, but considering there are no plug-in hybrid trucks yet on the market, a compact SUV PHEV is your next best option! And the
Toyota RAV4 Prime
has a lot going for it. With an 8.5/10 rating and an Editors’ Choice accolade from Car and Driver, this plug-in hybrid may be worth switching to an SUV for! Spacious and tech-savvy, the RAV4 Prime PHEV gets a combined rating of 94 MPGe. Its 18.1-kWh battery pack gives it an electric-only driving range of 42 miles. It’s also speedier than the non-hybrid variant and has a five-star safety rating.
As Toyota has exceeded its production cap, this model is not eligible for the federal tax credit.
If you’re ready to go all-electric: 2022 Rivian R1T
Starting price: $69,300
Possible tax credit: $7,500
Maximum range: 314 miles
A futuristic design and impressive power make the Rivian R1T a contender if you want to go all-electric. With a 10/10 rating and an Editors’ Choice award from Car and Driver, the Rivian R1T took the electric truck market by storm, setting high standards for design and driving range.
The major drawback to this model is obviously the price, which is considerably higher than the other models listed. But, it looks like the 2022 Rivian R1T is on the list of eligible vehicles for the federal tax credit, meaning you could have up to $7,500 of your purchase reimbursed.
MORE: How to choose an eco-friendly car
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