Originally introduced through President Biden's Inflation Reduction Act in 2022, the federal tax credit program, which was supposed to be in effect until 2032, was designed to bridge the cost gap between gas-powered cars and EV alternatives,

Lawmakers would eliminate a $7,500 tax credit for households that buy or lease new EVs, as well as a $4,000 credit for consumers who purchase used EVs.

Electric cars might cost more upfront without the federal break—but owners save thousands on gas and repairs over time.