Proposed tax breaks for electric cars look generous — but they're complicated

The Inflation Reduction Act comes with seemingly generous benefits for electric vehicle buyers, part of the Biden administration's effort to lift EV sales to half of all cars in the U.S. in less than a decade. So, with gas prices still high, is now a good time for motorists to go electric?

Well, it depends. Many EVs that currently qualify for tax credits are left out under the new bill, while some of the most popular models — which don't qualify for government assistance today — would be eligible for the new tax incentive. Meanwhile, automakers warn that a large portion of U.S.-made cars would miss out on the most generous credits because of stringent sourcing requirements (designed to exclude China) for EV batteries.

Here's what anyone interested in buying an electric car should know about the tax breaks under the inflation bill.