GOP tax bill helps its biggest donor Musk, but harms his company, Tesla
Republicans announced a new tax plan today and it’s just about as bad for America as expected, taking money for healthcare, clean air and energy efficiency from American families and sending it to the ultra-wealthy instead.
You might think that this helps one of those ultra-wealthy, Elon Musk, who gave hundreds of millions of dollars to ani-EV candidates to help make this happen. But the main source of his wealth, Tesla, will be specifically harmed by rescission of EV credits – and its competitors largely won’t be.
Now that the republican party has unveiled its job-killing tax proposal, we know a little more about what’s in it.
Originally, it was thought by many that the proposal would completely kill all federal EV credits, with some estimating that the $7,500 credit would go away immediately (personally, I never thought it would be that stupid, but you never know with the republicans).
But it’s clear they want to destroy the credit and make cars more expensive for Americans. After all, Donald Trump, while running for an office he remains Constitutionally barred from holding, asked oil companies for a billion-dollar bribe in exchange for ending the EV credit, a promise he has continued to say he will uphold as he squats in the aforementioned office.
And last week, House Speaker Mike Johnson said that the House is likely to end the credit.
It turns out the details are a little more nuanced than that, and that while the credit is ending, it will sunset a little later than many feared.
It’s likely that the credit will last through the end of this year – which makes sense, since that’s how tax changes often work. Then, at the end of the year, Inflation Reduction Act credits will largely disappear.
However, in the current draft of the bill, some automakers will retain access to some EV credits, for a time. This is due to an exception given for manufacturers who have not sold 200,000 vehicles between 2009 and 2025, a similar cap to the old EV tax credit that was first implemented in 2008, before Congress improved it and removed the cap in the Inflation Reduction Act.
So, smaller manufacturers will continue to have some support, while large manufacturers who have already sold plenty of cars will lose all of their credits.
A number of manufacturers have already reached the 200k EV cap, including Nissan, Ford, Toyota, Hyundai/Kia, GM, and of course, Tesla. Those manufacturers will lose access to credits.
But others who started late or have more niche offerings continue to be under the 200k cap. These include companies like Mercedes, Honda, Lucid, Mazda and Subaru.
Specifically, Rivian has been identified as one of the possible winners here, as the company has not yet sold 200,000 vehicles, though should be crossing that line sometime in the next couple years.
And finally, the real competition for Tesla, gas cars, will not lose anything from the rescission of EV credits. Those cars will continue selling, they’ll just have a $7,500 advantage relative to today – on top of their advantage of each gas car being allowed to choke the world with $20,000+ in unpaid pollution costs, which show up on everyone’s hospital bills and health insurance premiums.
So that brings up an interesting point: when Tesla and its bad CEO Elon Musk threw their support behind all of this, what did they think they would get out of it?
After all, Tesla wrongly said, at the behest of Musk and his tortured logic, that ending EV credits would somehow help it.
We called out that obvious incorrect statement at the time, saying that No, for crying out loud, killing EV subsidies will not help an EV company.
But now it turns out that the situation is even worse for Tesla, because not only does Tesla’s gas competition get to keep the credits, but many electric competitors will get to keep them for some time as well.
And don’t forget that this last quarter, government incentives were the only thing keeping Tesla from losing money. A regulatory environment that is more hostile to Tesla could turn black to red on the balance sheet, along with dropping sales and negative brand perception. Thank the bad CEO you voted to give $55B to for that loss, shareholders.
But the oil companies, another competitor for Tesla, will continue to benefit from roughly $760 billion in subsidy per year in the US alone, in terms of the health and environmental costs they impose on society and do not pay for.
If that subsidy was ended alongside the $7,500 EV credit, then EVs would indeed come out on top. But instead of ending those massive subsidies to fossil fuels, republicans have proposed to increase them, by cutting down enforcement and loosening pollution limits, both through this tax bill and through other agency actions and proposals.
Further, the tax proposal unveiled today sunsets credits for many other products that Tesla sells. There are solar and home energy efficiency credits which Tesla takes advantage of through its Energy division, which sells solar and home battery systems to homeowners. These can be worth tens of thousands of dollars per installation, and those will go away if this proposal goes through.
So in the end, Tesla loses access to credits both on its cars and its Energy division, while its competitors get an even more beneficial regulatory environment to continue polluting. And even its electric competitors get a temporary leg up for the time being.
Meanwhile, Elon Musk gets his part of the $4.5 trillion in tax cuts that go directly to wealthy elites. So at least his pocketbook will look slightly better for a time, even though the company that has been responsible for filling it it will fall further due to less attractive product pricing and through his own association, which has driven protests against the company, embarrassed owners and pushed many customers away.
So, to those of you who wanted us to “trust the plan” – how, exactly, is this beneficial to Tesla, again?
Among the proposed cuts is the rooftop solar credit. That means you could have only until the end of this year to install rooftop solar on your home, before republicans raise the cost of doing so by an average of ~$10,000. So if you want to go solar, get started now, because these things take time and the system needs to be active before you file for the credit.
To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here. – ad*
FTC: We use income earning auto affiliate links. More.
We’ve got good news – EV lease prices look much better than expected, despite the end of the federal tax credit and 25% import tariff being in place. Prices have crept up compared to last month, but several automakers have stepped in to fill the gap by covering the $7,500 credit themselves or adding extra incentives – and the price of one EV even dropped. Here are October’s top EV lease deals, spotted by our friends at CarsDirect.
2025 Hyundai IONIQ 5 lease from $189/month
The updated 2025 Hyundai IONIQ 5 SE RWD Standard Range remains one of the standout EV lease deals this month, holding steady even after the end of the federal EV tax credit and new import tariffs. Through November 3, you can lease one for $189 a month for 36 months (10,000 miles per year) with $3,999 due at signing. That works out to an effective monthly cost of about $300 – just $40 more than September.
The price bump is far smaller than many expected, especially with Hyundai’s $17,000 in lease cash factored in. And if you’re tempted by an upgrade, the SEL RWD trim is just $50 more per month under the same terms. You’ll get a model that’s roughly $7,000 more in value and $18,750 in savings.
The IONIQ 5 SE RWD Standard Range offers an EPA-estimated 245 miles of range, and this particular offer is available in the Los Angeles and greater California metro areas.
Click here to find a local dealer that may have the Hyundai IONIQ 5 in stock. –trusted affiliate link
2025 Hyundai IONIQ 6 lease from $189/month
The 2025 Hyundai IONIQ 6 SE RWD Standard Range is tied with its sibling for the most affordable EV lease deal this month, offering standout value even after the federal EV tax credit ended. In the California metro area, you can lease it for $189 per month for 36 months (10,000 miles per year) with $3,999 due at signing, and Hyundai is sweetening the deal with $13,250 in lease cash.
That brings the effective monthly cost to around $300, which is only $20 more than last month when the tax credit was still active. With an EPA-estimated 240 miles of range, 149 horsepower, fast-charging capabilities, and a sleek, distinctive design, the IONIQ 6 remains a fan favorite. This offer is valid through November 3.
Click here to find a local dealer that may have the Hyundai IONIQ 6 in stock. –trusted affiliate link
2025 Kia Niro lease from $209/month
The 2025 Kia Niro Wind EV returns to our top 5 this month with an impressive regional lease deal. You can lease the Niro Wind EV for $209 per month for 24 months (10,000 miles per year) with $3,999 due at signing. The offer includes $11,800 in lease cash and $14,940 in total savings, bringing the effective monthly cost to about $376. That’s about $80 more per month than September’s tax credit-incentivized deal at $129, but it’s still a solid offer given the policy changes.
This deal is available to California, Colorado, Oregon, and Washington residents through November 3.
Click here to find a local dealer that may have the Kia Niro in stock. –trusted affiliate link
2025 Ford Mustang Mach-E from $219/month
The 2025 Ford Mustang Mach-E Select RWD with Package 100A is offering bigger savings this month, making it an even stronger pick for EV shoppers. Known for its premium design and an EPA-estimated 300 miles of range, the Mach-E remains a favorite among drivers who want style and substance.
You can now lease it for $219 per month for 24 months (10,500 miles per year) with $4,499 due at signing. That’s $20 less per month than September’s advertised deal, though the term is shorter. With an effective monthly cost of about $406, it’s only $45 more than last month, a smaller jump than many expected.
The offer includes $6,750 in lease cash for qualified lessees, plus a free Ford Charging Station Pro with complimentary home installation – a rare perk. If you already have a home charger, you can choose an extra $2,000 in bonus cash instead.
This deal is currently available in California through January 5, 2026. Ford found a clever workaround to extend the tax credit for leases through Ford Credit until December 31, 2025. GM also has a similar program.
Click here to find a local dealer that may have the Ford Mustang Mach-E in stock. –trusted affiliate link
2025 Chevrolet Equinox from $269/month
Through November 3, you can lease the 2025 Chevrolet Equinox EV 2LT for $269 per month for 24 months (10,000 miles per year) with just $679 due at signing – one of the lowest upfront costs we’ve seen lately. That works out to an effective monthly cost of around $297. It’s got a quirk, though – this deal excludes Black Cloth Seats.
This is one of the rare EVs to see a price drop in the post-tax-credit era. Compared to September’s offer of $309 a month with $2,609 due at signing, this Chevy Equinox lease is $121 cheaper in effective monthly cost.
The deal is available nationwide for current Chevrolet lessees or those switching from another brand, and it includes a $2,250 loyalty or conquest bonus on top of $1,750 in lease cash. Want to drive away with the newest model? You can upgrade for just $30 more per month.
With an EPA-estimated 319 miles of range, the 2025 Equinox EV 2LT offers solid value for drivers looking to get into Chevy’s newest electric SUV.
Click here to find a local dealer that may have the Chevrolet Equinox in stock. –trusted affiliate link
Read more: From $0 a month: 5 of the best EV lease deals in September
The 30% federal solar tax credit is ending this year. If you’ve ever considered going solar, now’s the time to act. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. It has hundreds of pre-vetted solar installers competing for your business, ensuring you get high-quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use, and you won’t get sales calls until you select an installer and share your phone number with them.
Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.
FTC: We use income earning auto affiliate links. More.
Nissan is tossing around the idea of a new Nissan LEAF NISMO again, but this time it will be based the newly upgraded version.
Is Nissan launching a new LEAF NISMO EV?
I know, we’ve all heard this one before. Nissan has been talking about launching a LEAF NISMO for years now. And it has released limited edition versions for select markets, but there’s still no production LEAF NISMO available.
According to Christian Spencer, Nissan’s senior marketing manager, there’s a reason for that. Spencer told Carscoops that “The NISMO brand has a lot of variation across the globe.”
He pointed out that in Japan, “NISMO has a lot deeper roots in some of the electric vehicles,”like the Ariya SUV, which is already on sale in Nissan’s home market.
In the US, the brand tries to “focus a little bit more just because the driving enviroment is different.” While Japan gets the NISMO models, Nissan’s performance cars in the US are mostly Z or GT-R versions.
The streets in Japan are smaller and steeper, “so the meaning for NISMO varies a little bit,” Spencer explained. But, he hinted NISMO could make a comeback in the US, starting with the newly upgrade LEAF.
Spencer said that “If we see that demand from the customer base, we’re going to follow it.” Again, this isn’t the first (or likely last) we’ve heard Nissan is planning to launch a LEAF Nismo, but it is for the newly upgraded model introduced this year.
Nissan said the new 2026 LEAF has “the lowest starting MSRP for any new EV currently on sale in the US” starting at just $29,990.
That’s even cheaper than the OG LEAF, launched in 2011 for $32,780 despite the upgrades. The new LEAF now has a new crossover SUV-like design, over 300 miles driving range, and an NACS port to recharge at Tesla Superchargers.
Will it be next in line for the NISMO treatment? It could make for an affordable performance EV to rival the Hyundai IONIQ 5 N or Tesla Model Y. The question is… will it sell?
FTC: We use income earning auto affiliate links. More.
Love it or hate it, the Kia Soul always stood out with its funky, box-like design. Kia is dropping the infamous box car from its lineup at the end of 2025, but promises more exciting vehicles will replace it.
Kia is retiring the Soul box car after the 2025 model year
Who could forget the dancing hamster commercials Kia put out over a decade ago? The Soul was the star in some of Kia’s best marketing ads, but it won’t be offered as a 2026 model year.
Kia is retiring the Soul at the end of the year as it prepares for a new generation of electric and hybrid vehicles., Although Kia’s lineup will be Soul-less next year, the company is promising to replace it with even more exciting cars.
The funky box car was “a cornerstone in Kia gaining a foothold in the United States,” according to Eric Watson, Kia America’s VP of sales.
Kia is on track for its third consecutive sales record in the US and its highest market share ever. Watson said the Soul helped the brand achieve its early success, but is “equally excited for the future of Kia’s expansive and award-winning utility vehicle lineup.”
The Soul was Kia’s most affordable vehicle in the US for the 2025 model year, starting at just $21,935. Next year, the K4 sedan will take its place, starting at a slightly higher price of $23,165.
Kia is also launching the electric version, the EV4, in early 2026. Although prices have yet to be confirmed, the electric sedan is expected to start at around $35,000 to $40,000.
The EV4 will join the updated EV6 and EV9 in Kia’s expanding lineup. Both the EV6 and EV9 are assembled at Kia’s plant in Georgia.
The EV3, Kia’s compact electric SUV, is also expected to launch in the US sometime in 2026. Prices and an official launch date have yet to be confirmed, but the smaller electric SUV will likely start at around $30,000 to $35,000.
Kia’s EV3 is already among the top-selling electric vehicles in the UK, Europe, and other overseas markets. The company also offers some of the top-selling hybrids in the US, including the Niro, Sportage, and Sorento, which will help fill the gap left by the Soul.
Kia plans to end Soul production in October with just a few thousand models remaining at dealers. These will be the last few sold in the US as Kia prepares to revamp its lineup in 2026.
What do you think of the move? Are you sad to see the Soul go? Let us know in the comments.
FTC: We use income earning auto affiliate links. More.
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports2 years agoStory injured on diving stop, exits Red Sox game
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports3 years agoButton battles heat exhaustion in NASCAR debut
-
Sports3 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment1 year agoHere are the best electric bikes you can buy at every price level in October 2024