EV Tax Credit 2026: Who Qualifies, Which EVs, and How Much
The complete EV Digest guide to the federal Clean Vehicle Credit for 2026, income and price limits, the qualifying-vehicle list, and the top state incentives you can stack on top.
The 2026 federal Clean Vehicle Credit is up to $7,500 on a qualifying new EV or plug-in hybrid and up to $4,000 on a qualifying used EV under $25,000. It's income-limited, price-capped, and — since 2024 — claimable at the dealer as an immediate price reduction. Every state incentive in the table below stacks on top.
Do I qualify? 60-second checker
New EV — up to $7,500
- ✓ Modified AGI at or below $150,000 (single) / $225,000 (HoH) / $300,000 (joint)
- ✓ Vehicle MSRP at or below $55,000 (cars) or $80,000 (SUVs, trucks, vans)
- ✓ Final assembly in North America
- ✓ Battery-component or critical-mineral rules met (drives the $3,750 halves)
- ✓ Purchased for personal use, not resale
Used EV — up to $4,000
- ✓ Modified AGI at or below $75,000 (single) / $112,500 (HoH) / $150,000 (joint)
- ✓ Sale price at or below $25,000
- ✓ Model year at least 2 years older than the current year
- ✓ Purchased from a licensed dealer (private-party sales don't qualify)
- ✓ First transfer of the vehicle claiming the used credit
You can use the lower of your current-year or prior-year AGI — useful if 2026 income is unusually high. The dealer handles the paperwork if you're transferring the credit at point of sale.
Which EVs qualify in 2026
The list below covers new BEVs and plug-in hybrids currently on the IRS / fueleconomy.gov qualifying list. Cars sold as new but assembled outside North America (e.g. Hyundai IONIQ 5 N, Kia Niro EV, most Polestars) don't qualify under the purchase credit — but they usually still get the full $7,500 via the leasing loophole (see FAQ).
| Make | Model | Year | MSRP cap | Credit |
|---|---|---|---|---|
| Tesla | Model 3 (all trims) | 2024–2026 | $55,000 | $7,500 |
| Tesla | Model Y (all trims) | 2024–2026 | $80,000 | $7,500 |
| Tesla | Cybertruck (dual-motor) | 2024–2026 | $80,000 | $7,500 |
| Chevrolet | Equinox EV | 2024–2026 | $80,000 | $7,500 |
| Chevrolet | Blazer EV | 2024–2026 | $80,000 | $7,500 |
| Chevrolet | Silverado EV | 2024–2026 | $80,000 | $7,500 |
| Cadillac | Lyriq | 2024–2026 | $80,000 | $7,500 |
| Cadillac | Optiq | 2025–2026 | $80,000 | $7,500 |
| Ford | F-150 Lightning | 2024–2026 | $80,000 | $7,500 |
| Ford | Mustang Mach-EAssembled in Mexico — half credit for battery-component sourcing only. | 2024–2026 | $80,000 | $3,750 |
| Honda | Prologue | 2024–2026 | $80,000 | $7,500 |
| Acura | ZDX | 2024–2026 | $80,000 | $7,500 |
| Hyundai | IONIQ 5 (US-built)US-assembled from the Georgia Metaplant starting model year 2025. | 2025–2026 | $80,000 | $7,500 |
| Hyundai | IONIQ 9 | 2026 | $80,000 | $7,500 |
| Kia | EV6 (US-built) | 2026 | $80,000 | $7,500 |
| Kia | EV9 (US-built) | 2026 | $80,000 | $7,500 |
| Rivian | R1S (Standard / Large Pack)Half credit — battery-component sourcing partially foreign. | 2024–2026 | $80,000 | $3,750 |
| Rivian | R1T (Standard / Large Pack) | 2024–2026 | $80,000 | $3,750 |
| Volkswagen | ID.4 (Chattanooga-built) | 2024–2026 | $80,000 | $7,500 |
| Nissan | LEAF (US-built trims)Half credit; new-generation LEAF is imported. | 2024–2025 | $55,000 | $3,750 |
| Chrysler | Pacifica PHEVPlug-in hybrid — qualifies under the same credit. | 2024–2026 | $80,000 | $7,500 |
| Jeep | Wrangler 4xePHEV — half credit. | 2024–2026 | $80,000 | $3,750 |
| Jeep | Grand Cherokee 4xePHEV — half credit. | 2024–2026 | $80,000 | $3,750 |
Verified against fueleconomy.gov and the IRS Clean Vehicle Credit index on November 14, 2026. Qualification changes quarterly as manufacturers hit or miss battery-sourcing thresholds — check the IRS list before purchase.
State incentives you can stack
The top 15 states by 2025 EV registrations. Every program below stacks with the federal credit — many buyers combine the federal $7,500 with a state rebate for a five-figure total off the sticker.
| State | Amount | Type | Income cap | Notes |
|---|---|---|---|---|
| California | Up to $7,500 | Rebate | $135k single / $200k joint | Clean Vehicle Rebate Project (waitlist) plus Clean Cars 4 All ($12,000) for lower-income households scrapping an older gas car. |
| Colorado | $3,500 (2026) | Tax credit | None | State credit steps down from $5,000 in 2024 to $3,500 in 2026 and $2,500 by 2028. Assignable to the dealer at point of sale. |
| New Jersey | Up to $4,000 | Rebate | None | Charge Up NJ — MSRP cap $55k, cash rebate at purchase. No state sales tax on qualifying BEVs is a separate benefit. |
| New York | Up to $2,000 | Rebate | None | Drive Clean Rebate — tiered by EPA range. Applied at the dealer. |
| Massachusetts | Up to $3,500 | Rebate | 300% FPL for low-income top-up | MOR-EV standard rebate $3,500 for new BEVs under $55k. Additional $1,500 low-income adder. |
| Illinois | $4,000 | Rebate | 80% AMI for priority approval | Illinois EPA rebate program; funding subject to annual appropriation. |
| Oregon | $2,500 + up to $5,000 low-income adder | Rebate | 400% FPL | Charge Ahead + Standard Rebate. Program periodically pauses when funds are exhausted. |
| Connecticut | Up to $4,250 | Rebate | 300% FPL for Rebate+ | CHEAPR base $1,500 for BEVs under $50k, Rebate+ tops it up for low-income buyers. |
| Vermont | Up to $5,000 | Rebate | $50k single / $75k joint (max amount) | Sliding scale by income; low-income buyers also eligible for Replace Your Ride ($3,000). |
| Delaware | $2,500 | Rebate | None | Clean Vehicle Rebate — BEV under $50,000 sticker. |
| Maryland | Up to $3,000 | Tax credit | None | Excise tax credit on BEV under $50k MSRP. Refunded via MVA rebate check. |
| Pennsylvania | $2,000 (BEV) / $1,500 (PHEV) | Rebate | 400% FPL for low-income top-up | AFV rebate. Extra $1,000 low-income adder. |
| Washington | State sales-tax exemption | None | None | No rebate, but sales tax waived on BEVs under $45k — worth ~$2,900 in King County. Xcel and PSE offer separate utility rebates. |
| Texas | $2,500 (waitlist) | Rebate | None | TCEQ Light-Duty Motor Vehicle rebate. Funding often exhausted early in the fiscal year. |
| Florida | Utility only | Utility rebate | None | No statewide program. OUC, Duke, JEA, and FPL offer $200–$500 utility rebates for the vehicle plus separate Level 2 charger rebates. |
State programs are frequently repealed, paused, or refunded. Confirm current status with your state energy office before you count on a specific dollar figure.
Frequently asked questions
How much is the federal EV tax credit in 2026?
Up to $7,500 for a qualifying new BEV or plug-in hybrid, and up to $4,000 (or 30% of sale price, whichever is lower) for a qualifying used EV under $25,000. The full $7,500 splits into two $3,750 halves — one for battery-component sourcing, one for critical-mineral sourcing — and a vehicle qualifies for one, both, or neither.
What are the income limits?
For a new EV: modified AGI must be under $150,000 single, $225,000 head of household, or $300,000 married filing jointly. For a used EV: $75,000 single, $112,500 head of household, $150,000 joint. You can use the lower of the current or prior year's AGI.
What are the price caps?
For a new EV: MSRP must be at or below $55,000 for cars and $80,000 for SUVs, trucks, and vans. For a used EV: sale price must be at or below $25,000. The MSRP figure excludes destination fees and dealer markups.
Can I get the credit at the dealership instead of waiting for my tax return?
Yes. Since January 2024 you can assign the credit to a registered dealer and take it as an immediate price reduction at point of sale. Most dealers now handle this automatically. You still have to meet the income limits, and if you exceed them at tax time you'll owe the credit back.
Does leasing count?
Yes, and the rules are looser. Leases fall under the commercial Clean Vehicle Credit, which has no income cap, no MSRP cap, and no sourcing rules — the leasing company claims the $7,500 and (in most cases) passes it through as a lower monthly payment. This is why many otherwise-ineligible EVs (imported models, luxury trims, high-income buyers) still show a $7,500 lease discount.
Do plug-in hybrids qualify?
Yes, if they meet the same battery, sourcing, and price rules as full BEVs. PHEVs like the Chrysler Pacifica Hybrid, Jeep Wrangler 4xe, and Grand Cherokee 4xe are on the qualifying list — usually at the $3,750 half-credit level.
Can I stack state incentives with the federal credit?
Yes. Every state rebate and tax credit listed on this page stacks with the federal $7,500. California's Clean Cars 4 All, Colorado's $3,500 credit, and New Jersey's Charge Up NJ rebate can all be claimed alongside the federal credit if you meet each program's separate rules. Utility rebates for a home Level 2 charger stack too.
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Editorial note: This guide is EV Digest's summary of publicly available IRS guidance (IRC §30D and §25E), the fueleconomy.gov qualifying-vehicle index, and each state's official incentive program. It is not tax advice. Confirm your specific eligibility with a tax professional and the current IRS list before purchase.
See also: Home Charging Guide · Portable EV Chargers Guide · Solid-State Battery Guide · EV policy news