EV Tax Credit Eligibility in California

Check your eligibility for federal and California EV tax credits. Up to $7,500 for new EVs and $4,000 for used EVs, plus available state incentives.

What California Residents Should Know

Federal EV tax credits remain one of the biggest financial incentives for California residents considering an electric vehicle. The Clean Vehicle Credit (Section 30D) offers up to $7,500 for new qualifying EVs, while the Used Clean Vehicle Credit (Section 25E) provides up to $4,000 for qualifying pre-owned EVs purchased from a licensed dealer. Both credits have income limits and vehicle price caps that vary by filing status.

Beyond federal incentives, California offers additional EV benefits including the Clean Vehicle Rebate Project (CVRP) (up to $7500). When stacked with the federal credit, California buyers could receive up to $15000 in total savings on a new EV. These state incentives may have their own eligibility requirements, so use the calculator above to check whether you qualify for each program.

Keep in mind that the federal EV tax credit has income thresholds: $150,000 AGI for single filers and $300,000 for joint filers on new vehicles, with lower limits for used EVs. The vehicle MSRP cap is $55,000 for sedans and $80,000 for SUVs, vans, and trucks. Starting in 2024, buyers can also transfer the credit to the dealer at the point of sale for an instant price reduction. Enter your details in the calculator above to verify your eligibility and estimate your total savings in California.

Avg. Electricity Rate

$0.302/kWh

Avg. monthly bill: $184

TOU Peak Rate

$0.520/kWh

Off-peak: $0.200/kWh

Available Incentives in California

IncentiveTypeAmountDescription
New Clean Vehicle Tax Credit (30D)tax credit$7,500Tax credit for purchasing a new qualifying electric vehicle. Vehicle must be assembled in North America and meet battery component and critical mineral requirements. Credit is split into $3,750 for battery components and $3,750 for critical minerals.
Used Clean Vehicle Tax Credit (25E)tax credit30%Tax credit for purchasing a qualifying used electric vehicle from a licensed dealer. Vehicle must be at least 2 model years old and priced at $25,000 or less. Credit is 30% of the sale price, up to $4,000.
Clean Vehicle Rebate Project (CVRP)rebate$7,500Rebate for purchasing or leasing a new qualifying zero-emission or plug-in hybrid vehicle. Standard rebate of $2,000 for BEVs, with increased rebates for low-income applicants up to $7,500.

Run the EV Tax Credit Calculator

Use our free calculator pre-filled with California data to see your personalized results.

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EV Tax Credit by State