Today (July 1, 2019), the available amount of federal tax credit for all new Tesla cars sold in the U.S. decreased from $3,750 to $1,875.

Tesla is the first manufacturer that is gradually losing the federal tax credit, because it was the first to cross the target of 200,000 plug-in car sales (in early Q3 2018). The second manufacturer is GM, which is one quarter behind Tesla.

The new amount (25% of the full $7,500) will stay available through the end of this year.

 

At this point, it's not clear how Tesla will deal with effectively a $1,875 higher cost for consumers. Previously, Tesla decreased prices when the credit moved from $7,500 to $3,500.

A lot will depend on the demand in Q3 after surging in late Q2.

 
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