Tax Credits and Drive Clean Rebate
It’s a Great Time to Get an Electric Car in New York State
Open to all New York State residents, the Drive Clean Rebate offers a point-of-sale rebate towards the purchase or lease of a new electric car. Combined with the Federal Tax Credit of up to $7,500, it’s an opportunity you wouldn’t want to miss! Click here to learn more.
Up to $7,500 Available in Federal Tax Credits:
In addition to the Drive Clean rebate, federal tax credits are helping to make buying an EV an even smarter choice. Alongside the Drive Clean Rebate, a federal tax credit of up to $7,500 is available when you buy an EV. Together, these incentives significantly reduce the cost of EV ownership.
Most plug-in electric vehicles are eligible for federal tax credits. The federal government offers a tax credit of between $2,500 and $7,500 for vehicles with batteries of at least 4kWh capacity. For example, the Nissan LEAF, Chevy Volt, and BMW i3 are all eligible for the maximum tax credit. The Department of Energy and the Environmental Protection Agency update the list of eligible vehicles and the value of the credit for each eligible vehicle every year. Taxpayers must have tax liability equal to or greater than the credit to be eligible. The tax credit cannot be used at the time of purchase, but does reduce the taxpayer’s tax owed dollar-for-dollar.
Click here for IRS Form 8936, Qualified Plug-in Electric Drive Motor Vehicle Credit
More information on Tax Credits:
The end of the year is the best time to take advantage of the EV tax credit, as buyers are able to claim them quickly, getting the clearest picture of their anticipated tax liability.
This federal credit can have a meaningful impact on the economics of purchase decisions for both individuals and fleets in New York. See also, economic savings and fleet advantages, and visit our comparison calculator to compare the different aspects of electric vehicle ownership with petroleum-powered counterparts.