The Nissan Leaf now qualifies for a partial EV tax credit

Enlarge / The Leaf was given a midlife facelift last year. (credit: Nissan)

While it is true that the recent wave of new electric vehicles has been anything but cheap, there are still a few relatively affordable EVs out there for people who don't mind smaller cars— including the Nissan Leaf. An early pioneer in the electrification game, the venerable Leaf has been rather forgotten. Well, forget no more because there's now Nissan Leaf news: The car once again qualifies for a federal tax credit.

We saw a big revamp of the federal EV incentive this year thanks to the Inflation Reduction Act. Before, the tax credit was tied to the storage capacity of the car's battery. Now, it's determined by how much of the pack was domestically sourced or assembled.

For this year, if at least half the pack's critical minerals were refined in the United States (or a country with a free trade agreement with the US), then the EV is eligible for a $3,750 tax credit, provided that final assembly also occurs in North America. Another $3,750 is available if half or more of the pack's components were assembled in the US.