Find EV Incentives

Electric Vehicle Incentives

While there are may reasons that making the switch to an electric car makes sense, one of the primary reasons is that EVs can help you save money. Over time, you could save thousands on fueling costs, because electricity is substantially cheaper and more price-stable than gasoline when you charge at home, and EV maintenance should also cost a lot less, outside of wear-and-tear items like tires.

In addition to lower running costs, you can also save a lot on an EV at the time of purchase. Federal, state, and local authorities offer a variety of financial incentives to drivers ready to make the switch – which can help offset the generally higher starting MSRPs of electric vehicles compared to gas cars.

Federal EV Incentives Phase Out

One of the best-known EV incentives in America came from the federal government. Qualifying drivers could save up to $7,500 of the MSRP on new EVs and up to $4,000 on used EVs and plug-in hybrids. Since 2024, vehicles were required to be made in North America and source the majority of their battery components and minerals from countries that have free trade agreements with the U.S. to qualify for the full incentive.

However, with the passing of President Trump’s “Big, Beautiful Bill” on July 4th, 2025, the federal EV tax incentives were set to run out on September 30th, 2025. If you are reading this before September 30th, you may still be able to buy or lease a new EV and get incredible savings.

Contact your local Lithia Motors dealer or Driveway for more information. As of this writing in July, licensed car dealers can apply for the tax incentive on behalf of the customer, which means you get the savings as a price cut at the time you purchase the vehicle – instead of having to wait until tax time. It’s a win-win. (Must meet income eligibility requirements).

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Additional EV Incentives

While there are may reasons that making the switch to an electric car makes sense, one of the primary reasons is that EVs can help you save money. Over time, you could save thousands on fueling costs, because electricity is substantially cheaper and more price-stable than gasoline when you charge at home, and EV maintenance should also cost a lot less, outside of wear-and-tear items like tires.

In addition to lower running costs, you can also save a lot on an EV at the time of purchase. Federal, state, and local authorities offer a variety of financial incentives to drivers ready to make the switch – which can help offset the generally higher starting MSRPs of electric vehicles compared to gas cars.