EV Tax Credit Eligibility in Minnesota

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

What Minnesota Residents Should Know

Federal EV tax credits remain one of the biggest financial incentives for Minnesota 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, Minnesota offers additional EV benefits including the Minnesota EV Rebate (up to $3500). When stacked with the federal credit, Minnesota buyers could receive up to $11000 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 Minnesota.

Avg. Electricity Rate

$0.147/kWh

Avg. monthly bill: $120

TOU Peak Rate

$0.220/kWh

Off-peak: $0.080/kWh

Available Incentives in Minnesota

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.
Minnesota EV Rebaterebate$3,500Rebate of up to $2,500 for purchasing a new EV. Enhanced incentives of $3,500 available for income-qualifying households.

Run the EV Tax Credit Calculator

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

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EV Tax Credit by State