The electric vehicle tax rebate is a government incentive program that provides a tax credit or cash rebate to encourage individuals and businesses to purchase electric vehicles (TVs) and plug-in hybrid electric vehicles (PHEVs). The amount of the rebate or credit varies by state and federal government, but typically ranges from several hundred dollars to a couple thousand dollars. The purpose of this rebate is to reduce the initial cost of purchasing an electric vehicle and help reduce carbon emissions and dependence on fossil fuels.
Federal Tax Rebate: If you are buying a NEW EV, it is possible to get a Federal Tax Credit of up to $7,500. The tax credit is subject to phase out based on the number of electric vehicles sold by the manufacturer.
State Rebates: Many states offer rebate programs for EVs. The amount varies by state, vehicle, and amount.
Local Utility Rebates: Some local utilities offer rebates to their customers who purchase or lease an EV. These rebates are usually in addition to stay and federal incentives.
Requirements for EV Rebates:
Vehicle Type: The car must be a new or used battery-electric or plug-in hybrid electric vehicle
Vehicle Price: The car must meet certain price requirements to qualify for the rebate (depends on state rebate regulations)
Residency: The buyer must be a resident of the eligible state offering the rebate.
Registration: The vehicle must be registered in a participating tax rebate state, regardless of what state you purchased the vehicle in.
The EV Rebates are ever-changing and sometimes difficult to pin down details of. If you are interested in buying an EV new or used, be sure to ask your dealer about what rebates could apply to you.