Restoring Vehicle Market Freedom Act of 2025
Restoring Vehicle Market Freedom Act of 2025
Plain Language Summary
# Restoring Vehicle Market Freedom Act of 2025 - Summary **What the Bill Does** This bill would eliminate federal tax credits that currently help Americans buy electric vehicles, plug-in hybrids, and fuel cell vehicles. It would also remove tax credits for installing charging stations and alternative fuel refueling equipment. If passed, buyers would no longer receive up to $7,500 off the purchase price of a new clean vehicle, up to $4,000 off a used one, or tax breaks for installing charging equipment at home or businesses. **Who It Affects** The bill would impact consumers considering electric or alternative-fuel vehicles, businesses that operate commercial fleets, and those investing in charging infrastructure.
Removing these incentives would likely make clean vehicles more expensive for buyers and could slow adoption of electric vehicles. The bill would also affect industries supporting EV manufacturing and charging networks. **Current Status** The bill (HR 312) was introduced by Republican Representative Scott Perry of Pennsylvania in the 119th Congress and is currently in committee, meaning it has not yet been voted on by the full House of Representatives. No action has been taken on it at this time.
CRS Official Summary
Restoring Vehicle Market Freedom Act of 2025This bill repeals federal tax credits for the purchase of certain clean vehicles (generally electric vehicles, plug-in hybrid vehicles, and fuel cell vehicles) and certain vehicle refueling property.Specifically, the bill repeals the federal tax credits forthe purchase of a qualified used clean vehicle (tax credit of up to $4,000 for the purchase of a previously-owned clean vehicle before 2033),the purchase of a qualified new clean vehicle (tax credit of up to $7,500 for the purchase of a new clean vehicle before 2033),the purchase of a qualified commercial clean vehicle (business tax credit of up to $40,000 for the purchase of a commercial clean vehicle before 2033), andalternative fuel vehicle refueling property (tax credit of up to $1,000 for individuals or up to $100,000 for businesses for the installation of property before 2033 used to store or dispense clean-burning fuel or to recharge electric vehicles).
Latest Action
Referred to the House Committee on Ways and Means.