federal and state EV credits

Federal and State EV Rebates

Federal and State EV rebates are now available. The Electric Vehicle rebates beginning in 2023 are in hopes to encourage drivers to transition from fossil fuels to electric vehicles. Last year, “10.5% of all new vehicles sold in Colorado were electric,” says Carrie Atiyeh with the Colorado Energy Office. Colorado has set a goal of putting 940,000 EVs in service by 2030. Currently, only 73,000 EVs are being driven. In 2023, you ‘re eligible for a $2,000 state tax credit when purchasing a new EV or $1,500 when leasing (2-year minimum).

Federal Tax Credits

1. The Federal Alternative Fuel Infrastructure Tax Credit offers consumers who purchase qualified residential fueling equipment between January 1, 2023, and December 31, 2032, a tax credit of up to $1,000.

Fueling station owners who install qualified equipment at multiple sites are allowed to use the credit towards each location. Unused credits that qualify as general business tax credits, as defined by the Internal Revenue Service (IRS), may be carried backward one year and carried forward 20 years. For more information about claiming the credit, see IRS Form 8911, which is available on the IRS Forms and Publications website.

2. Federal Electric Vehicle Tax Credits offer rebates for new and used electric vehicle purchases.

For New EVs

· Up to $7,500 tax credit

· $3,750 if the vehicle has battery components that are manufactured or assembled in North America (listed here: https://afdc.energy.gov/laws/inflation-reduction-act)

· Another $3,750 if the vehicle has critical minerals that were extracted or processed in the U.S. or countries with which the U.S. has a free trade agreement, or use critical minerals that were recycled in North America.

For Used EVs

· $4,000 or up to 30% of the vehicle price (whichever is lower)

· Only eligible for vehicles under $25,000, at least 2 years old, purchased from a dealer

· Income caps for consumers: $75,000 for single filers, $112,500 for head of household and $150,000 for joint filers.

Complete details can be found on the IRS website.

Colorado Tax Credits

· $2,000 credit received with state income tax refund for EV or PHEV — may be applied at purchase with many electric vehicle manufacturers

· $1,500 for 2-year minimum leases

· Unused tax credit can be rolled forward to future years

· For additional details, please visit Colorado FYI Income 69.

Denver Tax Credits

Denver is also offering Tax Credits Towards EV Chargers:

· Individuals/Residents a tax credit of up to $1,000 per unit (or 30% of cost) for EV Charging Equipment

· Equipment must be installed in a low-income community or non-urban area

· To learn more and apply visit the City of Denver’s EV page.

High West Electric is the preferred choice for the installation of electric vehicle charging systems for your home, business, work places, vacation homes, and any other place where you will be plugging in electric vehicles on a regular basis. We can help you navigate all EV rebates available to maximize the return on your investment.

High West Electric is based in Denver, CO, and serves the entire metro area. Our customer service-based approach ensures that each client enjoys the process from installation to the end product – no matter the size of the job. Our goal is to be YOUR electrician and offer an experience that goes Beyond the Wires. Visit our website to learn more.