What tax Incentives does your State or Country provide?

[opennetus]

In the Midwest at least, many states not only have no incentives, but are now actually charging additional taxes for owning an EV. I live in Michigan and there is an additional annual registration fee just for EV owners (the excuse is to make up for lost gas tax revenue) that scales with the gas tax, so it is likely to keep increasing in the future since our roads are so bad. Unlike gas taxes, which is based on usage, the EV tax is a flat amount so you pay the same amount if it is mostly sitting in a garage most of the year as someone who drives 20k a year, so it is not really fairly applied and is more of a apples to oranges comparison with the gax tax.

That is in addition to the fact you are naturally paying more for registration since EVs have a higher MSRP than equivalently equipped ICE vehicles and the base registration fees are directly based on MSRP.

The fact that EVs are also relatively less efficient in colder weather states because of the additional energy use spent on heating the cabin (which would be a "free" byproduct in an ICE vehicle) and battery pack, along with the lack of sun for solar charging, and the fact dealer unions have been anti-Tesla for years forcing them out of the state, has made owning a BEV a harder sell.

On the plus side, the extra weight (and in particular, balanced, low weight) of BEVs make traction quite superior to ICE, which is very valuable in winter land. The major utilities also offer discounted power plans and $500 rebates for chargers... not sure how much of that is ultimately coming from federal programs.

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[eager2own]

This discussion on BEV "taxes" is why I'm waiting on a GT Performance. My plan is to put that torque to good use on every acceleration to get my money's worth of road wear and tear.

 

[zhackwyatt]

Arizona you save about $4900 on registration fees over 10 years and HOV lane access.

 

[opennetus]

This discussion on BEV "taxes" is why I'm waiting on a GT Performance. My plan is to put that torque to good use on every acceleration to get my money's worth of road wear and tear.

Registration taxes, at least in Michigan, at one time were originally based on vehicle weight. Maybe the theory was that heavy cars would cause more wear and tear on the roads. Maybe it was also to encourage manufacturers to use lighter materials to conserve gas resources. Regardless, just like the gas tax, when cars starting getting lighter and they were making less revenue from the registration fees, they changed the formula to use MSRP instead of weight to ensure the fees increase year over year, instead of decline as cars improves.

Guess I should be glad now it is no longer based on weight, as EVs are quite heavy.

 

[timbop]

Here in NJ there is no sales tax on BEV's, and they just enacted a bill in January to give $25/mi of battery-driving distance (up to $5000) rebate that applies to plug-in hybrids and BEVs. The kicker is that the cutoff is exactly $55,000, and in some places the wording says $55k is eligible, and others it says it is not. So, it would have behooved Ford to make the price of the Premium $49,99x (like they did in the UK) or the ER battery add-on $499x.

 

[opennetus]

Here in NJ there is no sales tax on BEV's, and they just enacted a bill in January to give $25/mi of battery-driving distance (up to $5000) rebate that applies to plug-in hybrids and BEVs. The kicker is that the cutoff is exactly $55,000, and in some places the wording says $55k is eligible, and others it says it is not. So, it would have behooved Ford to make the price of the Premium $49,99x (like they did in the UK) or the ER battery add-on $499x.

Yeah, if New Jersey won't accept it because of that penny, that was a big screw up. If they don't want to change the total price, maybe they could make make the 49,999 and then just charge a $1 for the included mobile charging cable. Charge equipment is apparently exempt.

While I understand the ideal behind the MSRP caps (making affordable EVs people can actually afford), there are still plenty of ways to get around it. For example, instead of charging up front for some features, instead require a later software fee to unlock them. This is already happening with self-driving, but I can see it also being done with other things as cars become more and more computer-driven. Include the hardware for "free" but don't allow people to actually use that hardware unless they pay a fee afterwards, thus dodging government price regulations.

I actually wish car makers would do more of that, as it would also lower annual registration fees, sales tax, and insurance costs in some places where MSRP is used in the formula. And you shouldn't be punished by the government forever just because you want something like a different color paint; price premiums that don't actually alter the market value.

 

[ChasingCoral]

Maryland
from https://mde.maryland.gov/programs/Air/MobileSources/Pages/ZEV.aspx

• Maryland Excise Tax Credit of $100 per kilowatt-hour of battery capacity up to a maximum of $3,000 for Electric Vehicle or Plug-in Hybrid.
• Maryland offers a rebate of 40% of the cost of Electric Vehicle Charging Equipment and Installation. The rebate is up to $700 for individuals; $4,000 for businesses; and $5,000 for retail service stations.
• Plug-in vehicles qualify to access High Occupancy Vehicle (HOV) lanes, regardless of the number of passengers. MVA issues a permit that must be displayed on car for access.
• Pepco and Baltimore Gas and Electric Company offer customers who own a plug-in vehicle the option for time-of-use charging rates. The programs offer a reduced electric rate during off-peak hours to save PEV drivers even more.

But:
The $3,000 is for vehicles not exceeding $60,000
The fund ran out of money
The excise tax credit expired

The good news is a bill was introduced in the General Assembly that would

• Re-fund the program
• Act retroactively to rebate folks who didn't get theirs before it ran out of money
• Increase the vehicle cost to $63,000

The bill never was passed because they shut down the session early due to COVID-19 but it is likely to pass next year and cover us retroactively.

 

[MattG]

I had heard that Colorado offers a $2500 tax credit, but after looking into that more I learned that it’s actually $4000 for the rest of 2020! Then drops to 2500. I’m reservation #71xx....so really hoping I can take delivery this year!

 

[Maric]

CA still has fairly good EV rebates. Up to $7000, depending on the vehicle. Tesla's get $2000 rebate. I think the MachE will be slotted in the same rebate category.

https://cleanvehiclerebate.org/eng/eligible-vehicles

 

[KAustin]

Starting to hate Virginia right now... ?

 

[Jerseysdriver]

Here in NJ there is no sales tax on BEV's, and they just enacted a bill in January to give $25/mi of battery-driving distance (up to $5000) rebate that applies to plug-in hybrids and BEVs. The kicker is that the cutoff is exactly $55,000, and in some places the wording says $55k is eligible, and others it says it is not. So, it would have behooved Ford to make the price of the Premium $49,99x (like they did in the UK) or the ER battery add-on $499x.

anything we can do on this? I talked to my local ford dealer but they didn’t seem to care. Seems like would bean easy fix if we talked to the right person.

 

[jlauro]

anything we can do on this? I talked to my local ford dealer but they didn’t seem to care. Seems like would bean easy fix if we talked to the right person.

It's probably too late for Ford to be making changes. NJ also says it has to be national, so they can't make NJ special discount... The program does say charger/etc doesn't have to count toward MSRP, so if they offered a "charger delete option" with a negative price would probably do it (so you would have to get a third party charger), but it would have to be made available by Ford to everyone so it could show on the MSRP.

 

[ajmartineau]

In Washington the first portion of your purchase price is tax free. I think it came out to a savings of $2500.

You will pay that back in a few years with an annual EV tax that is way more than the tax you would have paid buying gas.

We used to have “$30” tabs

 

[polzovotel]

Texas has $2500 incentive, at least for 2020.

 

[Bookworm214]

South Carolina has no EV incentives but the max sales tax on vehicles is $500 so there is that.

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