Why Rivian Isn’t Eligible for the $7,500 EV Tax Credit in 2025 (But You Can Still Save on a Lease)

If you’re thinking about getting a Rivian in 2025, you might be disappointed to learn that Rivian vehicles no longer qualify for the $7,500 federal EV tax credit when purchased. However, there’s good news for those considering leasing—read on to learn more.

Why Rivian Isn’t Eligible for the Federal Tax Credit

• The Credit Period Ended
  • The tax credit Rivian qualified for expired on December 31, 2024. During this time, Rivian vehicles that met specific requirements—like being under the $80,000 MSRP cap—could get a partial credit.
• Tougher Battery Requirements
  • To qualify for the full $7,500 credit, EVs must meet stricter rules for battery materials. At least a significant portion of the battery’s critical minerals and components must come from the U.S. or its trade partners, which Rivian hasn’t achieved yet.
• Policy Shifts
  • With a new administration coming into office, the future of EV tax credits is uncertain. There’s talk of reducing or even eliminating these incentives by 2026.

The $7,500 Lease Credit Is Still Available

Good news for Rivian fans: as of the writing of this article, you can still get a $7,500 lease credit on Rivian vehicles! Here’s how it works:

• How It’s Possible: The credit is available through a loophole for commercial leases. Leasing companies (including Rivian’s leasing partners) apply for the credit and often pass the savings to customers.
• What This Means for You: You’ll see the savings reflected as lower monthly lease payments—a great way to make driving a Rivian more affordable.

Other Incentives to Consider

If leasing isn’t for you, there are still other ways to save:

• State and Local Incentives
  • Many states offer EV rebates, tax credits, and perks like free charging or reduced registration fees. Check your state’s specific programs.
• Utility Company Rebates
  • Some power companies offer rebates for purchasing an EV or installing a home charger. Contact your provider to learn more.
• Rivian-Specific Promotions
  • Rivian will run promotions throughout the year so keep an eye out to RivianTrackr as we will report the best incentives for potential owners.

What’s Next for Rivian Buyers?

If you’re ready to lease, take advantage of the $7,500 lease credit while it’s still available. If you’re buying, explore state incentives or utility rebates to make your purchase more affordable.

Jose Castillo Founder and Editor

Jose Castillo is the founder of RivianTrackr and has owned and driven Rivians since early in the brand's consumer history. He currently drives an R1S and an R2 in Florida and uses Universal Hands-Free every day. As a credentialed Rivian journalist, he has covered the R2 First Drive in Park City and SXSW firsthand and has spoken directly with Rivian's software and autonomy leadership.

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