The Clock Is Ticking
The One Big, Beautiful Bill Act has passed the House and is positioned to end the Qualified Commercial Clean Vehicle Credit (45W) by December 31, 2025. With the original end date cut short by seven years, the time to act is now.
Electrifying your fleet today could save you up to $40,000 per vehicle. Fleets that wait too long might see those savings vanish. For a fleet converting just 135 light-duty vehicles or 20 medium/heavy-duty trucks, that’s over $1 million in lost tax incentives.
What is the 45W Tax Credit?
In effect since 2023, the 45W credit helps businesses and tax-exempt organizations reduce the cost of transitioning to electric and fuel cell vehicles. Fleets that take advantage of this credit enjoy substantial savings, including:
- 30% of the vehicle purchase price (non-gas/diesel) or the incremental cost vs. comparable combustion engine
- Up to $7,500 for vehicles under 14,000 lbs
- Up to $40,000 for vehicles over 14,000 lbs
This credit not only reduces initial capital expenditures but helps provide a significant TCO advantage when factoring in the operational savings of electric vehicles.