Will the Honda Prologue be eligible for tax credit?
The Honda Prologue could qualify for the federal clean vehicle credit (up to $7,500) if it meets the program’s North American assembly and battery-sourcing requirements and stays within price caps.
The Prologue represents Honda’s first long-range electric SUV developed in partnership with General Motors, built on GM’s Ultium platform. Whether it earns the credit depends on final assembly location, battery mineral and component sourcing, and the vehicle’s price for the year of purchase. The Internal Revenue Service administers the credit, and the rules have evolved in recent years to address sourcing, assembly, and pricing. Here is a detailed look at what could determine eligibility and where things stand for this model as of 2025.
The eligibility framework for the federal clean vehicle credit
To determine if the Prologue can receive the credit, buyers should understand the key criteria that drive eligibility and the amount of credit.
- Final assembly in North America
- Battery minerals sourced from the U.S. or a free-trade partner or processed in North America
- Battery components manufactured or assembled in North America
- MSRP cap for the vehicle type (SUVs typically have a higher cap than cars)
- Vehicle must be new and purchased for use in the United States (or eligible territory) in the year of purchase
These criteria determine whether the Prologue qualifies for the full $7,500 credit or a reduced amount, or none at all.
Note on the credit amount and timing
The full credit amount of up to $7,500 depends on meeting both final-assembly location and battery-sourcing requirements. If any criterion is not fully satisfied, the credit may be reduced or disallowed. Additionally, program rules can change year to year as Congress and the Treasury update eligibility criteria.
Where the Honda Prologue stands
Honda has described the Prologue as an electric SUV developed with GM and built on GM’s Ultium battery platform. The exact final-assembly location for the Prologue has not always been publicly specified, and production plans can shift by model year. In practice, if the vehicle is assembled in North America and meets battery-mineral and battery-component sourcing requirements while remaining within the SUV price cap, it could be eligible for the full credit; otherwise, eligibility could be partial or not applicable for a given purchase year.
Because IRS eligibility depends on precise production details and battery-supply specifics for the year of purchase, buyers should verify with their dealer and check IRS guidance for the current year before purchase.
What buyers should do to verify eligibility
To confirm whether a particular Honda Prologue qualifies for the clean vehicle credit in a given tax year, buyers should take the following steps.
- Use the IRS Clean Vehicle Credit Eligibility Tool to check the vehicle’s eligibility for the current year
- Ask the dealer for a VIN-specific eligibility confirmation once the vehicle is in production and before purchase
- Verify the Prologue’s final assembly location and confirm that it is North America-based for the purchase year
- Ensure the vehicle’s MSRP falls within the SUV price cap and that the battery minerals/components meet sourcing requirements
If all conditions are met, buyers can receive the full credit amount; otherwise, they may receive a partial amount or none.
Summary
The Honda Prologue has the potential to be eligible for the federal clean vehicle credit, up to $7,500, provided it meets final-assembly in North America, battery-mineral and battery-component sourcing requirements, and stays within price caps for SUVs. The final determination will come from IRS guidance and the vehicle’s exact production details for the purchase year. Prospective buyers should stay in touch with Honda and their dealer and verify eligibility through the IRS tool before completing a purchase.
What is the Honda tax credit for 2025?
The $7,500 Tax Credit Ends September 30
The federal tax credit of up to $7,500 for qualifying new EVs is set to expire September 30, 2025. Buyers must complete a binding purchase agreement with a down payment before that date.
Which EVs qualify for the $7500 tax credit?
Which EVs and PHEVs Are Eligible for a Federal Tax Credit?
| Model Year/Vehicle | Credit Available | Retail Price Cap |
|---|---|---|
| 2024-25 Chrysler Pacifica PHEV | $7,500 | $80,000 |
| 2023-25 Ford F-150 Lightning EV | $7,500 | $80,000 |
| 2026 Genesis Electrified GV70 EV | $7,500 | $80,000 |
| 2026 GMC Sierra EV | $7,500 | $80,000 |
Does Honda Prologue qualify for federal tax credit?
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.
Do any Hondas qualify for tax credits?
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.
