2023-2024 VW ID.4 Models Qualify for Full $7,500 Tax Credit, Reports Say

Jan 25, 2024 11:30 PM EST

VOLKSWAGEN CAR BEETLE RED — (Photo : PIXABAY/byrev)

The roster of electric vehicles meeting the criteria for the complete $7,500 federal EV tax credit in the United States is expanding to encompass both the 2023MY and 2024MY Volkswagen ID.4 models. The majority of 2023 and 2024 Volkswagen ID.4 electric crossovers currently available for purchase are now eligible for the full $7,500 federal EV tax credit, as verified by VW in a press release.

VW ID. 4 Secures Full $7,500 Tax Credit

In the announcement, Volkswagen highlights its distinction as the initial foreign automaker to meet the stringent battery supply regulations enacted at the beginning of this year. This achievement was made possible by utilizing batteries provided by South Korean company SK On, which are featured in the majority of the 2023 models.

As shared in reports, the car manufacturer pointed out that the eligibility for the 2024 model year depends on the battery supply from SK, and as a result, it may change over the course of the year. Nevertheless, Volkswagen expressed confidence that the 2024 ID.4 will maintain its eligibility for the tax credit for the entire duration of the 2024 calendar year.

Meanwhile, the arrival of the 2024 Volkswagen ID.4 models at dealerships is anticipated in the spring, and the pricing details will be disclosed closer to that timeframe. The remaining 2023 ID.4 models are currently available for purchase, starting at a base price of $40,290, inclusive of destination charges, prior to factoring in the tax credit. As a result, the effective price could potentially be reduced to $32,790 or even less.

The initial U.S. versions of the ID.4 were manufactured in Germany. However, in 2022, the company significantly increased production at its Chattanooga, Tennessee facility. This strategic move enabled the Volkswagen ID.4 to become eligible for the EV tax credit.

Purchasers of a new ID.4 model will have the opportunity to apply the tax credit as a down payment during the purchase process, by transferring the credit to participating dealerships. CarScoops shared updates about details on tax credit eligibility for Volkswagen ID.4 models.

About VW 2024 ID. 4

According to president and chief executive of the Volkswagen Group of America, Pablo Di Si , the ID.4 is already among the most reasonably priced electric SUVs available, and its accessibility is further improved by the $7,500 Federal Tax Credit. According to him, it was a smart decision to focus ID.4 production in Tennessee and allocate funds for battery research, development, production, and innovation.

According to a review on 2023 Volkswagen ID.4, price starts at $40,290. On the other hand a 2024 model basic price is estimated at $41,000. The 2023 Volkswagen ID.4 boasts a practical and spacious interior, making it an appealing choice for those in need of a cargo-friendly cabin. Additionally, it offers a decent driving range when equipped with the larger battery pack and maintains a quiet and serene ambiance during cruising.

However, there are some downsides to consider. The infotainment system may not meet the expectations of those seeking intuitive user interfaces. Furthermore, the driving experience may lack excitement, which might disappoint enthusiasts. Additionally, the base model falls short in terms of range compared to the more expensive trims.