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U.S. EV buyers will get the $7,500 tax credit with a few catches

President Joe Biden in the Ford F-150 Lightning. (Credit: Doug Mills)

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The United States Electric Vehicle Tax Credit is one of the most notable advantages of purchasing a battery-electric car. The $7,500 check sent to buyers by the Federal Government incentivizes the purchase of sustainable passenger vehicles, so long as the company you are buying from has not sold 200,000 electrified units, which disqualifies Tesla and General Motors from the program. However, the reintroduction of the EV Tax Credit is being discussed as the Bipartisan Infrastructure Bill is moving closer to implementation, and there are a few extra stipulations that will disqualify many vehicles and many buyers from receiving the incentive check based on the cost of the car and your annual income.

A new amendment passed by the U.S. Senate on Tuesday will require the cost of the vehicle to be under $40,000. Otherwise, the car will be disqualified from the incentive program. Additionally, consumers who make more than $100,000 annually will have to say goodbye to receiving that check. As Senator Deb Fischer of Nebraska said, “Everyday Americans are living paycheck to paycheck because of the sharp rise in costs due to #Bideninflation. We shouldn’t be subsidizing luxury vehicles for the rich using money from hard-working taxpayers.”

The Amendment was passed in a vote of 51-48, with the difference being three Democratic Senators who voted in favor of the stipulations: Joe Manchin of West Virginia, as well as Mark Kelly and Kyrsten Sinema of Arizona, according to ArsTechnica.

The rollout of electric vehicles is supported by the current President Joe Biden, who attempted to increase the United States’ EV sales goals of GM, Ford, and Stellantis to 40% by 2030. Instead, each automaker pledged to a 50% margin following Biden’s executive order, supporting the highly-anticipated release of more electrified models from these three legacy automakers.

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The Infrastructure Bill has set aside $7.5 billion for EV charging infrastructure, which many automakers, including Tesla, will qualify for as long as multiple car companies can use the chargers.

Earlier this year, a $12,500 EV tax credit was discussed. The new amount and requirements would have removed the cap limit on how many vehicles could be sold by the manufacturer before the credit would disappear. Apart of the “Clean Energy for America” Bill, the credit would apply to cars that were less than $80,000. The full $12,500 would be earned in increments: $7,500 for the electric vehicle, an additional $2,500 for vehicles assembled within the United States, and another potential $2,500 for cars built at production facilities whose workers are members of or are represented by a labor union.

The sub-$40,000 requirement for the EV tax credit would eliminate many vehicles from the running, including all but one of Tesla’s cars. Only the Model 3 SR+, starting at $39,990, would qualify for this incentive. It is unknown how the $40,000 price point was used to determine what vehicles should and should not qualify for the incentive, but according to Kelley Blue Book, the average cost of a vehicle in the U.S. when brand new is $40,957.

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Bipartisan Infrastructure Bill by Joey Klender

What do you think? Let us know in the comments below, or be sure to email me at joey@teslarati.com or on Twitter @KlenderJoey.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla hints its already prepping for Cybercab fleet orders

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Tesla Cybercab fleet spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)

Tesla has quietly opened a public interest form for companies that want to buy fleets of its purpose-built Cybercab robotaxis, marking the first official channel for commercial purchases of the two-seat autonomous vehicle. The form went live on September 3, the same day Tesla hosted an invite-only Cybercab launch event in Austin, Texas.

Tesla titled the page “Help Us Build Our Robotaxi Network.” Applicants provide name, email, phone number, company name, and deployment region. They then select one or more categories: Cybercab fleet vehicle purchasing, mobility hubs and infrastructure, event collaboration, or other. Tesla says a representative will follow up with those who express commercial interest.

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Until now, the company had no public ordering path for the vehicle, which was first shown as a concept at the October 2024 “We, Robot” event.

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The Cybercab is designed from the ground up for unsupervised operation. It has no steering wheel and no pedals.

Regulatory filings list a 48-kilowatt-hour battery, a single 219-horsepower front motor, a curb weight of 3,113 pounds, and an EPA-adjusted range near 290 to 300 miles. Tesla has already registered dozens of the vehicles with Texas authorities and has been testing them on public streets around Austin.

Tesla Cybercab sightings broaden well outside of Austin with autonomy in focus

The company’s existing Robotaxi service, which currently uses modified Model Y vehicles in parts of Texas and Florida, is expected to add Cybercabs as production ramps up at Gigafactory Texas.

The form signals that Tesla is preparing to treat the Cybercab as more than an in-house fleet asset. Investors and operators have discussed buying groups of the vehicles and placing them on Tesla’s ride-hailing network, with Tesla taking a platform fee. High-profile figures have publicly stated plans to acquire fleets if Tesla allows third-party ownership.

The new page gives those parties a direct way to register interest rather than waiting for a conventional configurator.

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Whether the form leads quickly to firm purchase agreements remains unclear. Regulatory approval for widespread unsupervised operation still varies by state, and Tesla has not published pricing or delivery timelines for fleet customers. The company has previously discussed a target price near $25,000 to $30,000 per vehicle.

For now, the form is an early signal that Tesla wants partners to help scale the network rather than operate every Cybercab itself.

Pairing the launch of the Cybercab fleet form with the Austin event is no coincidence. Tesla is inviting businesses to participate in the next phase of its Robotaxi plan at the moment the production vehicle first appears in public.

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Tesla Robotaxi riders will face the best dilemma when booking a ride

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Credit: Joe Tegtmeyer | X

Tesla has updated its Robotaxi app so riders can pick which vehicle they want before they book. The latest in-app screens now show two options side by side: the two-seat Cybercab and the four-seat Model Y.

A screenshot circulating Thursday shows the change in practice. In Austin, a rider could choose a gold Cybercab for two people or a Model Y for four. Tesla’s updated description calls Cybercab “our first purpose-built autonomous vehicle,” designed for safety, accessibility, and comfort, and says the lineup is available only through the Robotaxi app.

The distinction is more than cosmetic, and it’s important to note that Robotaxi refers to the platform, while Cybercab refers to a vehicle.

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Model Y Robotaxis have carried the service since it opened in Austin in mid-2025 and later expanded to Dallas, Houston, and parts of Florida. Those vehicles are converted production SUVs that still have steering wheels and pedals.

Cybercab is different. It has no driver controls, butterfly doors, a low seat height meant to work with wheelchairs, extra trunk space for assistive devices, and braille on the handles. Tesla has registered dozens of the two-seaters with Texas regulators in the days leading up to its September 3 Austin event.

Giving riders a choice lets Tesla match the vehicle to the trip. Most rides involve one or two people, which is where Cybercab is meant to be cheaper and more efficient to operate. Groups of three or four, or anyone who needs more space, can still request a Model Y.

The same app handles booking, payment, cabin settings, and, on Cybercab, features such as phone-based door opening and in-cabin voice controls.

Tesla Cybercab event gains steam ahead of massive launch

The update does not mean every city suddenly has both cars available. Cybercab support is listed for Austin first, and the purpose-built fleet is still small compared with the existing Model Y roster. Even so, the app change marks a shift from a single-vehicle pilot to a mixed fleet.

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Riders can now choose between the compact, purpose-built robotaxi and the familiar SUV that launched the service.

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Tesla Cybercab sightings broaden well outside of Austin with autonomy in focus

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Credit: Tesla Robotaxi | X

Tesla Cybercab sightings are broadening far and wide, well outside of downtown Austin, Texas, with autonomy in focus as the company plans to launch the all-electric, two-seater this evening in the Lone Star State.

Tesla is set to launch Cybercab to a small group of people this evening in a dedicated event in Austin, Texas. Public details on the event are relatively slim.

However, Tesla’s focus on Cybercab falls well outside of the downtown Austin area and is expanding well across the United States as things continue to move quickly with the company’s autonomous efforts in 2026. Today, various images of Cybercab fleets in interesting locations have started to circulate.

The most notable is a fleet of at least 20 Cybercabs at Miami International Airport in Florida. Spotted last night, the fleet is expansive and is indicative of a looming release of Cybercabs once regulatory boxes are checked off.

Tesla has already been operating the Robotaxi platform in Miami for several months, but this Cybercab fleet at the airport could be joining the ride-hailing platform as approvals arrive:

Another fleet of Cybercabs was spotted at the Devon, PA showroom just outside of Philadelphia. We have seen several Cybercab units testing around the Philadelphia Metro Area, which is interesting considering Tesla does not have any active Robotaxi geofence in Pennsylvania.

Philadelphia would be an ideal location to test ride-hailing due to its dense tourist population, large, sprawling city layout, and to compete with other ride-hailing companies that operate in the city.

Expansive fleets of Cybercabs will be popping up in and around major cities throughout the rest of the year, if we were betting on it. Tesla has made it obvious that the Cybercab rollout will be aggressive and fast-paced, but within reason. Tesla is still prioritizing safety, so these testing phases will likely go on for some period of time before more members of the public are able to snag a Cybercab for a personal chariot.

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