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Consumer Reports urges Congress to extend and reform the federal tax credit program for electric vehicles

Washington, DC. — Consumer Reports, the nonprofit consumer advocacy organization, is strongly urging Congress to extend and expand the federal tax credit for plug-in electric vehicles (EVs) and hydrogen fuel cell vehicles (FCVs) as part of The Driving America Forward Act. If passed, the bill would enhance consumer choice, reduce air pollution caused by transportation, and support American innovation.

Some industry-leading automakers have reached a cap on their eligibility for the tax credit, creating barriers to entry for many consumers. In a May 30 letter to Congressional leaders, Consumer Reports wrote: “By extending the EV tax credit for early-moving automakers that have already passed the cap, the Driving America Forward Act restores consumers’ choice to apply their tax credit to all brands of electric vehicles.”

Consumer Reports is also proposing some common-sense reforms to The Driving America Forward Act, such as putting a limit on the vehicle price that these rebates can be applied toward, so that automakers “either expand the number of lower cost EVs and FCVs that are purchased, or lower the cost of the program by ensuring funds are not used up through luxury vehicle purchases.”

In addition to improving the affordability of cost-competitive electric vehicles, the tax credit helps encourage investment in automotive technology and manufacturing, leading to lower fuel and maintenance costs for consumers.

CR’s full letter to Congress is attached as a PDF.

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Media contact: Adam Winer, adam.winer@consumer.org

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