If you live in the Empire State and are thinking about going electric, the timing couldn’t be better. Between federal incentives and state programs, you could save thousands on your next electric vehicle (EV) purchase or lease. In this guide, we’ll break down everything you need to know about New York EV tax credits, rebates, and bonus perks so you can make the most of every dollar.
What Are New York EV Tax Credits?
New York EV tax credits are financial incentives offered by the federal government and the State of New York to encourage the adoption of electric vehicles. These benefits can significantly reduce your upfront cost, making EV ownership more affordable and attractive.
1. Federal EV Tax Credits – Up to $7,500 for New EVs
The federal clean vehicle tax credit offers up to $7,500 on qualifying new electric and plug-in hybrid vehicles. To qualify:
- Vehicle must meet IRS battery sourcing and assembly requirements
- MSRP must be $55,000 or less for cars, $80,000 or less for SUVs/trucks
- Income caps apply ($150k single, $300k joint filers)
- Credit can be applied instantly at the dealership as a point-of-sale discount
💡 Tip: This federal credit ends September 30, 2025, so acting sooner can lock in maximum savings.
2. Federal Used EV Tax Credit – Up to $4,000
If you’re buying a pre-owned EV from a licensed dealer, you could get up to $4,000 (or 30% of the vehicle price, whichever is less). Key requirements:
- Sale price must be $25,000 or less
- Vehicle must be at least 2 years old
- Buyer must meet income limits ($75k single, $150k joint filers)
3. New York EV Tax Credits And Drive Clean Rebate – Up to $2,000
On top of federal credits, New Yorkers can access the Drive Clean Rebate, a point-of-sale discount offered through participating dealerships:
- $2,000 for vehicles with an electric range over 200 miles
- $1,000 for 40–199 miles
- $500 for <40 miles or MSRP above $42,000
This rebate is applied instantly when you buy or lease an eligible EV in New York—no waiting for tax season.
4. Charging Station Incentives
Going electric often means installing a charger at home or work. New York offers multiple programs:
- Commercial Charger Tax Credit – Up to $5,000 or 50% of installation costs for businesses
- Charge Ready NY 2.0 – $2,000–$4,000 per charging port for workplaces, public sites, or multi-unit dwellings (more in disadvantaged communities)
- EV Make-Ready Program – Covers up to 100% of infrastructure costs in qualifying areas
Homeowners can also claim 30% of residential charger costs (up to $1,000) through a federal credit.
5. Bonus Perks for EV Owners in New York
Beyond New York EV tax credits and rebates, EV drivers enjoy:
- HOV lane access with a Clean Pass sticker (expires Sept. 30, 2025)
- Toll discounts on New York Thruway and Port Authority bridges/tunnels
- Municipal and fleet rebates for government and commercial operators
How to Maximize New York EV Tax Credits in 2025
- Stack incentives – Combine federal credits, the Drive Clean Rebate, and charger rebates.
- Act before deadlines – The federal credit ends September 30, 2025.
- Choose eligible models – Check NYSERDA’s approved list to ensure you qualify.
- Use a qualified dealer – Only participating dealers can process point-of-sale rebates.
Final Thoughts
New York EV tax credits are among the most generous in the nation when combined with federal programs. With the clock ticking on some incentives, now is the ideal time to make the switch to electric driving. Whether you’re eyeing a brand-new Tesla Model 3, a Chevy Bolt, or a budget-friendly used Nissan LEAF, you could save thousands of dollars—and enjoy lower fuel and maintenance costs for years to come.
🚗 Ready to go electric?
Find eligible EV models here and compare charger installation quotes to start your journey today. The sooner you act, the more you save.
