If you’re shopping for an electric vehicle (EV) in 2025, Connecticut EV tax credits could help you save thousands. Whether you’re looking to lower your upfront cost, qualify for rebates, or stack state and federal incentives, knowing the rules is essential. This guide will walk you through Connecticut’s EV tax credit programs, eligibility requirements, application steps, and how to maximize your savings.
⚡Understanding Connecticut EV Tax Credits
In Connecticut, EV buyers can take advantage of state-administered incentives in addition to the federal clean vehicle tax credit. The state’s primary program is called the CHEAPR Program (Connecticut Hydrogen and Electric Automobile Purchase Rebate), which provides point-of-sale rebates when you purchase or lease a qualifying electric or plug-in hybrid vehicle.
⚡CHEAPR Program: State EV Incentives
The CHEAPR Program offers instant rebates at the dealership, meaning you don’t have to wait until tax season to benefit. The rebate amount depends on the type of vehicle:
- Battery Electric Vehicles (BEVs) – Up to $4,250
- Plug-in Hybrid Electric Vehicles (PHEVs) – Up to $2,250
- Fuel Cell Electric Vehicles (FCEVs) – Up to $7,500
Additional Rebate+ incentives are available for income-qualified buyers, adding up to $2,000 more in savings.
⚡Connecticut EV Tax Credits Eligibility Requirements
To qualify under CHEAPR, you must:
- Purchase or lease a new eligible EV or plug-in hybrid from a participating dealer.
- Keep the vehicle registered in Connecticut for at least 24 months.
- Ensure the MSRP does not exceed program limits (typically $50,000 for most passenger vehicles).
- Provide proof of Connecticut residency.
⚡Federal EV Tax Credit: Stack Your Savings ***Expires September 30, 2025***
In addition to Connecticut EV tax credits, you may qualify for the Federal Clean Vehicle Tax Credit worth up to $7,500.
Key points for 2025:
- Must meet battery sourcing and assembly requirements.
- Income limits apply:
- $150,000 for single filers
- $300,000 for joint filers
- Available for new and qualifying used EVs.
By combining the CHEAPR rebate with the federal credit, some buyers could save over $11,000 on a new EV.
⚡How to Apply for Connecticut EV Tax Credits
- CHEAPR: The rebate is applied directly by the dealership — no separate application is needed for most buyers.
- Rebate+: Submit income verification documents via the CHEAPR portal before purchase.
- Federal Credit: Claim it when filing your annual IRS tax return using Form 8936.
🏙 City/Municipal Utility EV Incentives
Some municipalities in Connecticut offer extra rebates on top of CHEAPR, tied to their local utility providers:
Norwich Public Utilities (Norwich, CT)
- Up to $1,500 rebate for new all‑electric vehicles (EV), $1,000 for used EVs (2019+)
- $1,000 rebate for residential level‑2 EV charger installation; up to $4,000 for workplace or multifamily installations
Jewett City Department of Public Utilities (Jewett City, CT)
- Up to $1,500 rebate toward a Level‑2 residential EV charger
South Norwalk Electric & Water (Norwalk, CT)
- Offers $1,000 rebate for residential level‑2 charger installations; up to $3,000 for commercial and multifamily EV charging setups
East Norwalk Electric (Third Taxing District, Norwalk) (Norwalk, CT)
- $1,500 for residential Level‑2 charger installation; up to $4,000 on commercial/multifamily projects
Groton Utilities & Bozrah Light & Power (Groton, Bozrah)
- Municipal electric utilities operating in those towns. Groton Utilities and Bozrah Light & Power offer EV charging equipment rebates under the PURA EV Charging Program (usually up to 60‑65% of installation costs)
Additional Connecticut Cities With EV Incentives:
⚡Best EVs to Buy in Connecticut for Maximum Incentives
For 2025, several EV models qualify for both Connecticut EV tax credits and the federal credit, including:
- Tesla Model 3 (RWD) – Affordable price and eligible for both programs.
- Chevrolet Bolt EUV – Great for budget-conscious buyers.
- Hyundai IONIQ 5 – Stylish, long range, and incentive-friendly.
- Ford F-150 Lightning – Perfect for work and play with strong rebate potential.
💡 Find the best EV deals in Connecticut:
Compare EV prices and incentives here
Get a free EV insurance quote
Shop Level 2 Home Chargers
⚡Final Thoughts
Connecticut EV tax credits make electric vehicles more affordable than ever in 2025. By combining CHEAPR rebates, income-qualified bonuses, and federal tax credits, you can dramatically reduce your purchase cost. Whether you’re going green to save money, protect the environment, or enjoy cutting-edge tech, these incentives make now the perfect time to switch to electric.
