Rebates and Incentives (Vehicles)
Massachusetts State Rebate. The Massachusetts Offers Rebates for Electric Vehicles (MOR-EV) Program helps residents save money on the cost of the purchase or lease of a qualifying EV. Rebates of up to $1,500 depend on type of plug-in electric vehicle (BEV or PHEV) and its total purchase price. You can apply for the MOR-EV rebate as soon as you get your car, and rebate are typically issued within 75 days. Visit the MOR-EV website to learn more fill out your application.
Federal EV Tax Credit. A federal EV tax credit may reduce your net cost to buy or lease an electric vehicle by as much as an additional $7,500. Note that the federal EV tax credit is calculated as part of your tax return filing for the year of purchase and therefore is received by you typically between Feb – April of the following year as part of any tax refund you would receive. For leased vehicles, the credit is taken by the leasing company and a portion of it passed on to the consumer as a lease cost reduction.
As a non-refundable type of tax credit, like a home mortgage interest deduction, eligibility is based on your annual tax liability, and you can’t roll over the credit to subsequent years. The total amount of the credit is also based on the battery size of the vehicle, so some plug-in hybrid electrics may only qualify for a partial credit amount.
The credit also phases out per manufacturer after 200,000 vehicles are sold, so it’s important to verify the brand you choose to buy is still eligible. Check on the status of the federal EV tax credit phase out by manufacturer here: https://www.fueleconomy.gov/feg/taxevb.shtml
For more information, refer to the official IRS website EV tax credit page: https://www.irs.gov/businesses/plug-in-electric-vehicle-credit-irc-30-and-irc-30d. For definitive information on your federal electric car tax credit eligibility, consult with a qualified tax adviser.
Local group buy and dealer incentive programs. There are additional local incentives that can lower the monthly payment costs even further, sometimes to under $200 a month and with no money down. In some cases, combined incentives can mean up to $15,000 off MSRP!
For example, Energy New England has negotiated a $5,000 discount off a new Nissan LEAF for ENE employees, clients and their customers. To find out if you are eligible for the $5,000 discount and receive the flyer coupon, contact us.
One of the most popular local discount programs is Drive Green brought to you by Green Energy Consumer Alliance. To learn more about how to take advantage of each of these rebates, incentives and special offers, contact us.