If you’re considering purchasing an electric vehicle (EV) in Washington, it may be wise to wait until August. Washington’s new EV tax rebate program will offer eligible buyers up to $9,000, aiming to make EVs more affordable.
Who Qualifies for the Washington EV Tax Rebate?
Washington has introduced the Washington State Instant Rebate program to make EVs more accessible, particularly for those leasing vehicles. The state has allocated $45 million for this initiative, which will continue until June 2025 or until the funds are exhausted.
Starting in August, the Washington State Instant Rebate program will provide a rebate of up to $9,000 for those purchasing an EV. This rebate applies to both new and used electric vehicles, contingent on certain income criteria.
The program offers the rebate to individuals with an annual income of up to $45,180 (or $93,600 for a family of four). Additionally, eligible buyers must have a credit score that qualifies them for any lease deal available. The median household income in Washington is $91,306, according to the 2022 U.S. Census Bureau data.
The program specifically targets low-income buyers who might be looking to replace their current vehicle. To claim the rebate, buyers must first choose the EV they intend to purchase and then provide income verification to the dealer.
How the Washington State Instant Rebate Program Works
The Washington State Instant Rebate program offers an immediate rebate at the point of purchase. Participating dealers will also receive incentives for promoting EV adoption.
For those leasing an EV for three or more years, the rebate can be as high as $9,000. A two-year lease qualifies for a $5,000 rebate. This rebate is also available for the purchase and lease of used battery-electric vehicles, as long as the vehicle’s value is below $90,000.
Prospective buyers can visit a local dealer to learn more about low-cost lease options. Dealers will verify income and credit score eligibility and apply the rebate at the time of purchase.
In addition to the rebate, the state exempts vehicles purchased under this program from sales tax on lease payments up to $15,000 under the zero-emission vehicles provision. The rebate program is expected to contribute to a reduction of up to 24,000 metric tons of CO2 emissions in the transportation sector.