by Andrew Rohrlich
Understanding the used EV tax credit
When considering the purchase of an electric vehicle from a private party, one significant benefit that often goes overlooked is the potential financial advantage provided through the used EV tax credit. This incentive is a part of a broader initiative to increase the adoption of environmentally friendly vehicles by making them more affordable for prospective buyers. With the used EV tax credit, you could save up to $4,000 on your vehicle purchase. It's a piece of the puzzle that makes opting for a clean energy vehicle all the more alluring.
Private party vehicle purchases traditionally did not qualify for such benefits. However, with Caramel, a transaction once considered ineligible now opens the door to this substantial savings opportunity. Caramel's role as a licensed dealer transforms a standard private sale into a dealer transaction, which then qualifies for the used clean vehicle credit. Buyers have the option to transfer their tax credit to Caramel during the checkout process. Caramel then deducts the amount of the tax credit, up to $4,000, from the buyer's transaction price. This benefits both private party buyers and sellers, as sellers receive their full sale price and buyers can save up to $4,000 on their purchase.
How Caramel's process simplifies eligibility
When you find your perfect electric vehicle through a private seller, Caramel steps in to iron out all the intricate details. By functioning as an intermediary, the company purchases the vehicle from the seller and immediately turns around to sell it to you, the buyer. This pivot is more than just a formality; it's what allows your purchase to qualify for the used EV tax credit.
The beauty of Caramel's process is that it doesn't just stop with facilitating a loan. Every aspect of the transaction is handled with care and precision, ensuring that your experience is hassle-free. From managing the DMV paperwork to secure payment, title transfer, and registration – even vehicle protection products, inspection, financing, insurance, and transport – Caramel has it covered.
What's covered by the used EV tax credit?
The Used EV Tax Credit is quite straightforward – it offers 30% off the sale price of the vehicle, up to a cap of $4,000. This benefit is accessible to you either at the point of sale or as a credit when you file your end-of-year taxes, adding flexibility to how you might choose to reap the financial rewards.
If you're buying an eligible used electric vehicle, you can confidently expect a smoother transition to cleaner transportation, knowing that you're also securing solid savings. This tax credit can make a significant difference in the total cost of ownership, making the switch to an EV more economically feasible and attractive.
The list of eligible electric vehicles for the used EV tax credit
Here's a comprehensive list of eligible electric vehicle models that qualify for the used EV tax credit when you complete the transaction through Caramel. Also, be sure to reference the IRS site for the most up-to-date information.
- 2016 Audi A3 e-tron ultra
- 2016 Audi A3 e-tron
- 2017 Audi A3 e-tron
- 2018 Audi A3 e-tron
- 2021 Audi A7 TFSI e Quattro
- 2022 Audi A7 TFSI e Quattro
- 2021 Audi A8 L 60 TFSI e Quattro
- 2020 Audi A8L PHEV
- 2020 Audi e-tron Sportback
- 2021 Audi e-tron Sportback
- 2022 Audi e-tron Sportback
- 2019 Audi e-tron
- 2021 Audi e-tron
- 2022 Audi e-tron
- 2020 Audi Q5 PHEV
- 2021 Audi Q5 TFSI e Quattro
- 2022 Audi Q5 TFSI e Quattro
- 2020 Bentley Bentayga Hybrid SUV
- 2021 Bentley Bentayga Hybrid SUV
- 2021 BMW 330e xDrive
- 2016 BMW 330e
- 2017 BMW 330e
- 2018 BMW 330e
- 2021 BMW 330e
- 2018 BMW 530e xDrive
- 2019 BMW 530e xDrive
- 2020 BMW 530e xDrive
- 2021 BMW 530e xDrive
- 2018 BMW 530e
- 2019 BMW 530e
- 2020 BMW 530e
- 2021 BMW 530e
- 2018 BMW 740e xDrive
- 2019 BMW 740e xDrive
- 2017 BMW 740e
- 2020 BMW 745e xDrive
- 2021 BMW 745e xDrive
- 2017 BMW i3 (60 Ah) Sedan
- 2014 BMW i3 Sedan with Range Extender
- 2015 BMW i3 Sedan with Range Extender
- 2016 BMW i3 Sedan with Range Extender
- 2017 BMW i3 Sedan with Range Extender
- 2018 BMW i3 Sedan with Range Extender
- 2019 BMW i3 Sedan with Range Extender
- 2020 BMW i3 Sedan with Range Extender
- 2021 BMW i3 Sedan with Range Extender
- 2014 BMW i3 Sedan
- 2015 BMW i3 Sedan
- 2016 BMW i3 Sedan
- 2017 BMW i3 Sedan
- 2018 BMW i3 Sedan
- 2019 BMW i3 Sedan
- 2020 BMW i3 Sedan
- 2021 BMW i3 Sedan
- 2018 BMW i3s Sedan with Range Extender
- 2019 BMW i3s Sedan with Range Extender
- 2020 BMW i3s Sedan with Range Extender
- 2021 BMW i3s Sedan with Range Extender
- 2018 BMW i3s Sedan
- 2019 BMW i3s Sedan
- 2020 BMW i3s Sedan
- 2021 BMW i3s Sedan
- 2022 BMW i4 Gran Coupe
- 2019 BMW i8 Coupe
- 2020 BMW i8 Coupe
- 2019 BMW i8 Roadster
- 2020 BMW i8 Roadster
- 2014 BMW i8
- 2015 BMW i8
- 2016 BMW i8
- 2017 BMW i8
- 2020 BMW X3 xDrive30e
- 2021 BMW X3 xDrive30e
- 2016 BMW X5 xDrive40e
- 2017 BMW X5 xDrive40e
- 2018 BMW X5 xDrive40e
- 2021 BMW X5 xDrive45e
- 2014 Cadillac ELR
- 2015 Cadillac ELR
- 2016 Cadillac ELR
- 2022 Chevrolet Bolt EV EUV
- 2022 Chevrolet Bolt EV
- 2017 Chevrolet Bolt
- 2018 Chevrolet Bolt
- 2019 Chevrolet Bolt
- 2020 Chevrolet Bolt
- 2021 Chevrolet Bolt
- 2014 Chevrolet Spark EV
- 2015 Chevrolet Spark EV
- 2016 Chevrolet Spark EV
- 2011 Chevrolet Volt
- 2012 Chevrolet Volt
- 2013 Chevrolet Volt
- 2014 Chevrolet Volt
- 2015 Chevrolet Volt
- 2016 Chevrolet Volt
- 2017 Chevrolet Volt
- 2018 Chevrolet Volt
- 2019 Chevrolet Volt
- 2017 Chrysler Pacifica PHEV
- 2018 Chrysler Pacifica PHEV
- 2019 Chrysler Pacifica PHEV
- 2020 Chrysler Pacifica PHEV
- 2021 Chrysler Pacifica PHEV
- 2013 Fiat 500e
- 2014 Fiat 500e
- 2015 Fiat 500e
- 2016 Fiat 500e
- 2017 Fiat 500e
- 2018 Fiat 500e
- 2019 Fiat 500e
- 2013 Ford C-Max Energi
- 2014 Ford C-Max Energi
- 2015 Ford C-Max Energi
- 2016 Ford C-Max Energi
- 2017 Ford C-Max Energi
- 2020 Ford Escape Plug-in Hybrid
- 2021 Ford Escape Plug-in Hybrid
- 2012 Ford Focus Electric
- 2013 Ford Focus Electric
- 2014 Ford Focus Electric
- 2015 Ford Focus Electric
- 2016 Ford Focus Electric
- 2017 Ford Focus Electric
- 2018 Ford Focus Electric
- 2013 Ford Fusion Energi
- 2014 Ford Fusion Energi
- 2015 Ford Fusion Energi
- 2016 Ford Fusion Energi
- 2017 Ford Fusion Energi
- 2018 Ford Fusion Energi
- 2019 Ford Fusion Energi
- 2020 Ford Fusion Energi
- 2021 Ford Mustang Mach-E
- 2018 Honda Clarity Plug-in Hybrid
- 2019 Honda Clarity Plug-in Hybrid
- 2020 Honda Clarity Plug-in Hybrid
- 2021 Honda Clarity Plug-in Hybrid
- 2017 Hyundai Ioniq Electric Battery Vehicle
- 2018 Hyundai Ioniq Electric Battery Vehicle
- 2019 Hyundai Ioniq Electric Battery Vehicle
- 2020 Hyundai Ioniq Electric Battery Vehicle
- 2021 Hyundai Ioniq Electric Battery Vehicle
- 2018 Hyundai Ioniq Plug-In Hybrid Electric Vehicle
- 2019 Hyundai Ioniq Plug-In Hybrid Electric Vehicle
- 2020 Hyundai Ioniq Plug-In Hybrid Electric Vehicle
- 2021 Hyundai Ioniq Plug-In Hybrid Electric Vehicle
- 2019 Hyundai Kona Electric Vehicle
- 2020 Hyundai Kona Electric Vehicle
- 2021 Hyundai Kona Electric Vehicle
- 2019 Hyundai Nexo Blue Fuel Cell Vehicle
- 2020 Hyundai Nexo Blue Fuel Cell Vehicle
- 2021 Hyundai Nexo Blue Fuel Cell Vehicle
- 2019 Hyundai Nexo Fuel Cell Vehicle
- 2020 Hyundai Nexo Fuel Cell Vehicle
- 2021 Hyundai Nexo Fuel Cell Vehicle
- 2016 Hyundai Sonata Plug-In Hybrid Vehicle
- 2017 Hyundai Sonata Plug-In Hybrid Vehicle
- 2018 Hyundai Sonata Plug-In Hybrid Vehicle
- 2019 Hyundai Sonata Plug-In Hybrid Vehicle
- 2021 Jeep Wrangler 4xe
- 2019 Kia Niro EV
- 2020 Kia Niro EV
- 2021 Kia Niro EV
- 2018 Kia Niro PHEV
- 2019 Kia Niro PHEV
- 2020 Kia Niro PHEV
- 2021 Kia Niro PHEV
- 2017 Kia Optima PHEV
- 2018 Kia Optima PHEV
- 2019 Kia Optima PHEV
- 2020 Kia Optima PHEV
- 2015 Kia Soul EV
- 2016 Kia Soul EV
- 2017 Kia Soul EV
- 2018 Kia Soul EV
- 2019 Kia Soul EV
- 2020 Kia Soul EV
- 2022 Lexus NX Plug-In Hybrid
- 2020 Lincoln Aviator Grand Touring
- 2021 Lincoln Aviator Grand Touring
- 2021 Lincoln Corsair Grand Touring
- 2022 Lucid Air
- 2014 Mercedes-Benz B-Class EV (B250e)
- 2015 Mercedes-Benz B-Class EV (B250e)
- 2016 Mercedes-Benz B-Class EV (B250e)
- 2017 Mercedes-Benz B-Class EV (B250e)
- 2022 Mercedes-Benz EQB SUV
- 2022 Mercedes-Benz EQS Sedan
- 2020 Mercedes-Benz GLC350e 4matic EQ
- 2018 Mercedes-Benz GLC350e 4matic
- 2019 Mercedes-Benz GLC350e 4matic
- 2016 Mercedes-Benz GLE550e 4matic PHEV
- 2017 Mercedes-Benz GLE550e 4matic PHEV
- 2018 Mercedes-Benz GLE550e 4matic PHEV
- 2015 Mercedes-Benz S550e PHEV
- 2016 Mercedes-Benz S550e PHEV
- 2017 Mercedes-Benz S550e PHEV
- 2020 Mercedes-Benz S560e EQ PHEV
- 2018 MINI Cooper S E Countryman ALL4
- 2019 MINI Cooper S E Countryman ALL4
- 2020 MINI Cooper S E Countryman ALL4
- 2021 MINI Cooper S E Countryman ALL4
- 2020 MINI Cooper S E Hardtop
- 2021 MINI Cooper S E Hardtop
- 2012 Mitsubishi i-MiEV
- 2013 Mitsubishi i-MiEV
- 2014 Mitsubishi i-MiEV
- 2016 Mitsubishi i-MiEV
- 2017 Mitsubishi i-MiEV
- 2018 Mitsubishi Outlander PHEV
- 2019 Mitsubishi Outlander PHEV
- 2020 Mitsubishi Outlander PHEV
- 2021 Mitsubishi Outlander PHEV
- 2022 Mitsubishi Outlander PHEV
- 2011 Nissan Leaf
- 2012 Nissan Leaf
- 2013 Nissan Leaf
- 2014 Nissan Leaf
- 2015 Nissan Leaf
- 2016 Nissan Leaf
- 2017 Nissan Leaf
- 2018 Nissan Leaf
- 2019 Nissan Leaf
- 2020 Nissan Leaf
- 2021 Nissan Leaf
- 2022 Nissan Leaf
- 2020 Polestar Automotive Polestar 1
- 2021 Polestar Automotive Polestar 1
- 2021 Polestar Automotive Polestar 2
- 2022 Polestar Automotive Polestar 2
- 2015 Porsche Cayenne E-Hybrid
- 2016 Porsche Cayenne E-Hybrid
- 2017 Porsche Cayenne E-Hybrid
- 2018 Porsche Cayenne E-Hybrid
- 2019 Porsche Cayenne E-Hybrid
- 2020 Porsche Cayenne E-Hybrid
- 2021 Porsche Cayenne E-Hybrid
- 2022 Porsche Cayenne E-Hybrid
- 2014 Porsche Panamera E-Hybrid
- 2015 Porsche Panamera E-Hybrid
- 2016 Porsche Panamera E-Hybrid
- 2018 Porsche Panamera E-Hybrid
- 2019 Porsche Panamera E-Hybrid
- 2020 Porsche Panamera E-Hybrid
- 2021 Porsche Panamera E-Hybrid
- 2022 Porsche Panamera E-Hybrid
- 2020 Porsche Taycan
- 2021 Porsche Taycan
- 2022 Porsche Taycan
- 2022 Rivian EDV 700
- 2022 Rivian R1S
- 2022 Rivian R1T
- 2013 smart USA Cabrio EV
- 2014 smart USA Cabrio EV
- 2015 smart USA Cabrio EV
- 2017 smart USA Cabrio EV
- 2018 smart USA Cabrio EV
- 2013 smart USA Coupe EV
- 2014 smart USA Coupe EV
- 2015 smart USA Coupe EV
- 2016 smart USA Coupe EV
- 2017 smart USA Coupe EV
- 2018 smart USA Coupe EV
- 2019 smart USA EQ Fortwo Cabrio
- 2019 smart USA EQ Fortwo Coupe
- 2022 Subaru Crosstrek Hybrid
- 2019 Subaru Crosstrek Plug-In Hybrid
- 2020 Subaru Crosstrek Plug-In Hybrid
- 2021 Subaru Crosstrek Plug-In Hybrid
- 2017 Tesla Model 3
- 2018 Tesla Model 3
- 2019 Tesla Model 3
- 2020 Tesla Model 3
- 2021 Tesla Model 3
- 2022 Tesla Model 3
- 2012 Tesla Model S
- 2013 Tesla Model S
- 2014 Tesla Model S
- 2015 Tesla Model S
- 2016 Tesla Model S
- 2017 Tesla Model S
- 2018 Tesla Model S
- 2019 Tesla Model S
- 2020 Tesla Model S
- 2021 Tesla Model S
- 2016 Tesla Model X
- 2017 Tesla Model X
- 2018 Tesla Model X
- 2019 Tesla Model X
- 2020 Tesla Model X
- 2021 Tesla Model X
- 2020 Tesla Model Y
- 2021 Tesla Model Y
- 2022 Tesla Model Y
- 2009 Tesla Roadster
- 2010 Tesla Roadster
- 2011 Tesla Roadster
- 2016 Toyota Mirai
- 2017 Toyota Mirai
- 2018 Toyota Mirai
- 2019 Toyota Mirai
- 2020 Toyota Mirai
- 2021 Toyota Mirai
- 2022 Toyota Mirai
- 2017 Toyota Prius Prime Plug-In Hybrid
- 2018 Toyota Prius Prime Plug-In Hybrid
- 2019 Toyota Prius Prime Plug-In Hybrid
- 2020 Toyota Prius Prime Plug-In Hybrid
- 2021 Toyota Prius Prime Plug-In Hybrid
- 2022 Toyota Prius Prime Plug-In Hybrid
- 2012 Toyota RAV4 EV
- 2013 Toyota RAV4 EV
- 2014 Toyota RAV4 EV
- 2021 Toyota RAV4 Prime Plug-In Hybrid
- 2022 Toyota RAV4 Prime Plug-In Hybrid
- 2015 Volkswagen e-Golf
- 2016 Volkswagen e-Golf
- 2017 Volkswagen e-Golf
- 2018 Volkswagen e-Golf
- 2019 Volkswagen e-Golf
- 2021 Volkswagen ID.4
- 2022 Volkswagen ID.4
- 2022 Volvo C40 Recharge
- 2019 Volvo S60
- 2020 Volvo S60
- 2021 Volvo S60
- 2022 Volvo S60
- 2018 Volvo S90
- 2019 Volvo S90
- 2020 Volvo S90
- 2021 Volvo S90
- 2022 Volvo S90
- 2020 Volvo V60
- 2021 Volvo V60
- 2022 Volvo V60
- 2021 Volvo XC40 Recharge
- 2022 Volvo XC40 Recharge
- 2018 Volvo XC60
- 2019 Volvo XC60
- 2020 Volvo XC60
- 2021 Volvo XC60
- 2022 Volvo XC60
- 2016 Volvo XC90
- 2017 Volvo XC90
- 2018 Volvo XC90
- 2019 Volvo XC90
- 2020 Volvo XC90
- 2021 Volvo XC90
- 2022 Volvo XC90
Each of these models represents a step toward more sustainable electric vehicle technology and now, thanks to the used EV tax credit available through the innovative platform provided by Caramel, they are more accessible than ever before.
Challenges in car financing, payment, and delivery
The process of buying a car, especially from a private party, can sometimes feel daunting. Complexities can arise at every turn, from securing a loan at a reasonable interest rate to navigating the murky waters of payment to handling the logistics of vehicle delivery. Caramel's approach to these challenges is rooted in simplicity and security, removing the barriers that can complicate your journey to owning an electric vehicle.
Financing, in particular, can be a stress point for many buyers. Caramel intervenes to offer options that might otherwise be unavailable in a standard private party purchase. By providing a suite of services that covers all financial aspects, Caramel ensures that your focus remains on the excitement of your new electric vehicle, rather than the potential anxiety of figuring out how to pay for it.
The role of modern, streamlined solutions
In an age where efficiency and convenience are highly valued, Caramel stands out by offering a modern solution for the age-old challenges associated with car ownership and DMV processes. By leveraging technology and a customer-centric approach, Caramel makes it possible for you to embrace the future of driving with an electric vehicle.
With a commitment to making car ownership accessible and stress-free, Caramel's platform has been designed to answer the needs of today's smart, savvy, and environmentally conscious car buyer. The combination of a comprehensive service offering and the eligibility for the used EV tax credit truly makes Caramel the go-to solution for private party vehicle purchases.
In conclusion, when you're ready to embark on the purchase of an eligible electric vehicle, consider how Caramel can enhance your experience. From facilitating the used EV tax credit to ensuring each step of the transaction is smooth and secure, Caramel is redefining the expectations around private party car purchases. It's the partnership you need to drive into the future with confidence and ease.
This article was written by Andrew Rohrlich. As a brand and product marketing expert, Andrew Rohrlich has crafted products, experiences and communications for household names like Gap and for multiple automotive technology businesses. For nearly a decade Andrew has studied automotive retail in depth from a customer point of view and aggregated the industry’s best research, thought leadership and know how to provide credible and important information to auto shoppers and sellers.
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