Eligibility requirements for state EV tax credits can vary significantly from state to state, but federal requirements often influence or align with state policies. Here are some key factors that often affect eligibility for both federal and state EV tax credits:
Federal Requirements (Influencing Many State Credits)
- Vehicle Purchase: Vehicles must be purchased new.
- Battery Capacity: A minimum of 7 kilowatt hours is required.
- Weight and Price: Gross vehicle weight rating must be less than 14,000 pounds, and prices are capped at $80,000 for vans, SUVs, and pickup trucks, and $55,000 for other vehicles.
- Assembly Location: Final assembly must occur in North America.
- Income Thresholds: Individuals must have a modified adjusted gross income (AGI) below certain thresholds.
Common State Requirements
- Residency: Many states require the vehicle owner to be a resident of the state to be eligible for state credits.
- Registration: Vehicles must be registered in the state offering the credit.
- Type of Vehicle: Some states limit credits to specific types of electric vehicles, such as passenger vehicles or light trucks.
- Income and Purchase Requirements: Some states have additional income limits or may restrict credits based on how the vehicle is used.
Examples of State Credits
- Georgia: Offers a tax credit for converted vehicles up to $2,500.
- California and Other States: Often provide rebates rather than tax credits, which can vary based on income level and vehicle type.
When seeking state-specific EV tax credits, it’s crucial to check the regulations and incentives directly with the state’s environmental or revenue department.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/what-are-the-eligibility-requirements-for-state-ev-tax-credits/
