Volkswagen has confirmed that most 2023 and 2024 model year ID.4 electric SUVs will qualify for the full $7,500 federal EV tax credit this year. This tax incentive effectively lowers the starting MSRP of the rear-wheel drive Volkswagen ID.4 from $38,995 down to $31,495 in 2024.
The qualification requirements relate to local US assembly in Tennessee and battery component sourcing through SK On. The base ID.4 Standard comes equipped with a 62 kWh battery pack achieving an EPA estimated driving range of 209 miles on a full charge. Upgraded ID.4 Pro versions deliver 275 miles of range courtesy of an 82 kWh battery.
Available all-wheel drive technology and up to 295 horsepower provide capable performance as well. Volkswagen states that ID.4 sales increased 84% last year, marking strong momentum for one of the most affordable electric SUV options. The newly confirmed federal tax credit makes Volkswagen models like the ID.4 even more competitive.
Our Thoughts
There’s no doubt the new 2023 VW ID.4 hitting the market at an MSRP under $32,000 is an undeniably affordable option, especially when you consider this is a fully electric SUV. With many comparable gas-powered compact SUVs selling at higher price range, the ID.4 brings all the high tech connectivity and instant torque drove electric vehicles are loved for at a attainable price point.