Do Virginia Residents Get EV Tax Credits?

When you buy an electric vehicle, you will enjoy many returns on your investment, like no more stops at the gas pump, fewer maintenance needs, and a more sustainable driving experience on Loudoun County roads and beyond. But do Virginia residents get EV tax credits? Yes, there are both new and used EV tax credits in Virginia, which only further incentivize an electric vehicle purchase. Get to know the available Virginia EV tax credits in the following overview from BMW of Sterling.

New & Used EV Tax Credits in Virginia

Do Virginia residents get EV tax credits? Though not a tax credit in the strictest sense of the term, Virginia’s Electric Vehicle Rebate Program Advisory Council offers rebate opportunities for both new and used electric vehicles, helping you get into your dream EV for all your DC Metro Area and Dulles Airport drives. So, whether you are in the market for a new EV tax credit in Virginia or a used one, the state gives you options:

• A state resident who purchases a new or used EV from a participating dealer can claim a $2,500 Virginia EV tax credit for a vehicle that costs no more than $55,000.
• A state resident who meets certain income guidelines can claim an additional $2,000 in Virginia EV tax credits, as long as the individual’s annual income does not exceed 300 percent of the current poverty guidelines.

If you opt for a used or new EV tax credit in Virginia, it’s important to keep in mind that state funds for this initiative are limited and only available on a first-come, first-serve basis. If funding runs out before the year’s end, new and used EV tax credits in Virginia will no longer be available for that year.

Federal EV Tax Credits

You might also qualify for a federal-level tax credit of up to $7,500, deducted right at the point of sale. To qualify, your EV must meet these standards:

• A battery capacity of at least seven kilowatt hours
• A gross vehicle weight rating of less than 14,000 pounds
• A sale price of no more than $80,000 for vans, sport utility vehicles, and pickups and $55,000 for other vehicles
• Made by a qualified manufacturer 
• Meet critical mineral and battery component requirements
• Undergo final assembly in North America

Furthermore, a buyer must not earn more than these income limits to qualify for the federal EV tax credit:

• $300,000 for married couples filing jointly or a surviving spouse
• $225,000 for heads of households
• $150,000 for all other filers

Discover Your Next Electric Vehicle at BMW of Sterling

As you can see, Virginia residents do get EV tax credits—rather, EV rebates—so long as specific MSRP and income guidelines are met. Find your next electric vehicle on our Sterling lot; after perusing our current inventory, contact us to schedule a test drive or to request more information about new EV tax credits in Virginia, Then, calculate your payments online to save time at the dealership later. We are confident we have an EV that will check off every box on your wishlist.