On December 29, 2022, the Department of the Treasury issued guidance on the IRC section 45W Commercial Clean Vehicle tax credit for 2023. The Guidance indicates that the incremental cost will not limit the available credit for street vehicles with a gross vehicle weight rating less than 14,000 pounds placed in service in 2023. Incremental cost is defined as the difference in cost between a clean vehicle and comparable ICE vehicle. For compact PHEVs whose incremental cost will be less than $7,500, IRS will consult the incremental cost published by DOE to determine the credit amount.