How Do EV Tax Credits Work?

There are good reasons to consider buying a Chevrolet electric vehicle like the Chevy Bolt EUV, including fewer fuel costs and a reduced carbon footprint. The federal government’s EV tax credit program, which also applies to New Jersey state taxes, is another huge bonus. Here’s everything you need to know about it! 

Federal EV Tax Credits

As of 2023, you can earn up to $7,500 in nonrefundable tax credits from the federal government when purchasing an electric vehicle. You’ll receive $3,750 on cars that meet the government’s battery or critical minerals requirements. For vehicles like the Chevy Bolt EUV, which meet both requirements, you will receive the full $7,500 credit!

How to Qualify

New battery electric vehicles with MSRPs below $55,000, such as the Chevy Bolt EUV, are eligible for these credits if the purchase is for your own use rather than resale and you plan to drive it primarily in the United States. You also need a modified adjusted gross income (AGI) below the limit for your household. Limits are:

• $300,000 for married couples
• $225,000 for heads of households
• $150,000 for all other filers

New Jersey EV Tax Credits

The ChargeUp New Jersey initiative that allowed qualifying EV buyers to earn a state tax credit of $25 per mile of EPA-rated all-electric range up to $4,000 is currently paused. If that changes before the program’s anticipated re-start in the 2024 fiscal year, your Chevy dealer will ensure you get that credit too.

Learn More at Lester Glenn Chevrolet of Freehold

If you’re looking to join the EV revolution, a Chevy electric vehicle is a great choice, and Lester Glenn Chevrolet of Freehold is the perfect place to find one. If you want to learn more about the benefits of electric vehicles like the Chevy Bolt EUV, visit us today!

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