Federal rebate incentives are designed to encourage the purchase of electric vehicles anywhere in the United States. The word rebate in itself makes consumers a bit more eager to purchase any car, and electric vehicles aren’t an exception. As electric vehicles grow in popularity, the knowledge of these incentives becomes more and more popular, but the program is still so new that the ins-and-outs aren’t as widely known. So, when it comes to buying a used EV like a Tesla, should you be counting on that federal rebate incentive?
What is the federal rebate incentive on electric vehicles?
Federal rebate incentives on buying electric cars is a rebate amount that customers can apply for when originally purchasing their vehicle. According to Edmunds, as the name sounds, it is a rebate designed to incentivize the purchasing of electric vehicles, and it exists not only on the federal level but in several states as well. On the federal level, this is an average of $7,500 but can vary depending on some variables.
Can you get a federal rebate incentive on a used Tesla?
The short answer to this question is no, you cannot get a federal rebate incentive when buying a Tesla used. If you’re looking to get a tax rebate or incentive on buying an electric vehicle, buying one used isn’t going to help. This isn’t just for Tesla cars, either, but all-electric vehicles. The rebate is extended to the original buyer of the vehicle as it comes from the manufacturer. When searching through the Tesla inventory for used vehicles, the manufacturer themselves makes this very clear.
According to the website, even new Tesla models are no longer eligible for the rebate. There isn’t a reason listed, but the site does mention that the federal tax rebates are slowly being phased out as the popularity of electric cars increases.
Incentives on leased vehicles
Consumers looking to lease new electric vehicles are also out of luck too, as leasing an electric vehicle, even as the first driver, means you’ll be missing out on the rebate as well. These incentives aren’t offered on every new EV, either, so if this is part of the reason that you are interested in purchasing one, you should double-check with the dealership to make sure whatever electric vehicle you are looking at has an applicable rebate and if any restrictions apply.
Fortunately for Tesla, they offer cool enough incentives outside of tax rebates to continue to sell cars with no problems, such as all of their hidden Easter Eggs. Although you can’t get the rebate on a used Tesla, it seems that within the next few years these options will slowly be phased out either way.