Does the 2024 Honda CRV Hybrid qualify for tax credits?
The 2024 Honda CR-V Hybrid does not qualify for the federal clean vehicle tax credit. It is a traditional non-plug-in hybrid, which means it does not meet the Inflation Reduction Act (IRA) criteria for the current federal incentive program.
Honda’s CR-V Hybrid uses a gasoline engine paired with electric motors and a battery that charges through the vehicle’s operation rather than by plugging in. The federal tax credit program established by the IRA is aimed at zero-emission or plug-in electric drive vehicles (BEV and PHEV) and certain fuel-cell vehicles, with additional requirements such as price caps and battery/material sourcing. As a result, a standard hybrid like the CR-V Hybrid typically does not qualify for the federal credit, although other incentives may exist at the state or local level or for different vehicle types.
What qualifies for the federal clean vehicle credit?
Here's a concise guide to the categories and general rules that determine eligibility for the federal tax credit on new clean vehicles. This helps explain why a non-plug-in hybrid typically does not qualify.
- New qualified plug-in electric drive motor vehicles (battery electric or plug-in hybrid) or fuel cell vehicles are eligible, while conventional, non-plug-in hybrids are not.
- Eligible vehicles must meet price caps set by vehicle type (for example, SUVs/trucks/vans versus other passenger cars).
- Vehicles must meet domestic content and battery component requirements, with a portion of battery materials and components produced in North America or eligible free-trade-partner countries.
- Credit eligibility also depends on purchaser eligibility and limits that apply to the vehicle and its manufacturer, with the credit amount up to a set maximum for qualifying vehicles.
Conclusion: Vehicles that are BEV or PHEV and meet all requirements can qualify for up to the maximum credit (for example, up to $7,500 under current rules). The 2024 Honda CR-V Hybrid does not meet these criteria and thus does not qualify for the federal tax credit at this time.
Key definitions
Understand the basic terms that determine eligibility: plug-in electric drive vehicles (BEV and PHEV), fuel cell vehicles, and the distinction between plug-in hybrids and conventional hybrids. The final assembly location, battery sourcing, and price limits all factor into whether a given model qualifies.
Are there any other incentives I should check?
If the federal credit isn’t available for the CR-V Hybrid, you may still find savings from other programs depending on where you live or purchase. Here are common alternatives buyers explore.
- State or local incentives for alternative-fuel or efficient vehicles, which vary by state and municipality and can include rebates or tax credits for BEV/PHEV or other efficiency programs.
- Incentives related to used clean vehicles under the Inflation Reduction Act, which apply to eligible used BEV/PHEV/fuel cell vehicles under specified conditions (not applicable to conventional hybrids like the CR-V Hybrid).
- Dealer promotions, financing deals, or manufacturer incentives offered by Honda or local dealers, which can reduce overall cost even without a federal tax credit.
Conclusion: If you’re set on the CR-V Hybrid, you should explore any available state or local programs, used-vehicle incentives (if applicable to other models), and dealership promotions to maximize your savings. Federal tax credits are unlikely for this model, but incentives can vary over time and by location.
Bottom line: what this means for buyers
Summary
In short, the 2024 Honda CR-V Hybrid does not qualify for the federal tax credit reserved for BEV/PHEV and certain fuel-cell vehicles. Buyers should look to state or local programs, dealer promotions, and other energy-related incentives for potential savings. If you want to maximize federal incentives, consider a plug-in electric model that meets all eligibility requirements, or monitor policy updates that could expand eligibility in the future.
What is the tax credit for Honda Hybrid 2024?
Yes, the 2024 Honda Prologue does qualify for the federal tax credit of $7,500. The Honda EV tax credit applies to eligible lessees of the 2024 Honda Prologue and eligible buyers of 2024 Honda Prologue models built after February 26, 2024. As a bonus, Honda offers a package with up to $750 of public charging credits.
Is there a tax credit for a Honda CR-V Hybrid?
No, the Honda CR-V Hybrid is not eligible for the federal tax credit because it is not a plug-in hybrid and does not meet the North American final assembly and battery component requirements. The federal tax credit is available for new, qualified electric and plug-in hybrid vehicles that meet specific criteria, including assembly location and battery sourcing.
- Federal tax credit requirements: The credit is intended for new plug-in electric and fuel cell vehicles that are assembled in North America and meet battery component and critical mineral sourcing requirements.
- Honda CR-V Hybrid status: As the CR-V Hybrid is a traditional hybrid and not a plug-in model, it does not qualify for the new clean vehicle tax credit.
- Where to find tax information: You can find a list of qualified vehicles and more information on the U.S. Department of Energy website.
- Other incentives: It's worth checking with your local Honda dealer to see if there are any state or local rebates or other incentives available for hybrid vehicles.
What cars qualify for a 7500 tax credit in 2024?
Which EVs and PHEVs Are Eligible for a Federal Tax Credit?
| Model Year/Vehicle | Credit Available | Retail Price Cap |
|---|---|---|
| 2024-26 Chevrolet Equinox EV | $7,500 | $80,000 |
| 2025-26 Chevrolet Silverado EV | $7,500 | $80,000 |
| 2024-25 Chrysler Pacifica PHEV | $7,500 | $80,000 |
| 2023-25 Ford F-150 Lightning EV | $7,500 | $80,000 |
Is Honda eligible for tax credits?
Summary: Honda Prologue EV Tax Credit
Every 2025 Honda Prologue trim qualifies for the full $7,500 EV tax credit, thanks to U.S. assembly and compliant battery sourcing. You can claim the credit at the point of sale or on your tax return—but you must meet IRS income limits and take delivery by September 30, 2025.
