Any taxpayer who buys or leases a qualifying electric vehicle can file and claim a tax credit, as long as the vehicle is registered in the state of Colorado.
Vehicles such as electric vehicles, hybrids, and plug in hybrids qualify for a state tax credit, so long as they meet the following requirements:
No. The tax credit for electric vehicles is a fixed amount based on two things. First, the tax year the vehicle was purchased in. Second, the vehicle’s weight classification. While no EV can be completely credited, you can still save a pretty penny with these rates:
| Tax year | Jan 2017 – Jan 2020 | Jan 2020 – Jan 2021 | Jan 2021 – Jan 2023 | Jan 2023 – Jan 206 | |
| Classification | Gross Vehicle Weight Rating (GVWR) | ||||
| Light duty passenger vehicle | N/A | $5,000 | $4,000 | $2,500 | $2,000 |
| Light duty electric truck | More than 8,500 pounds but less than 10,000 pounds | $7,000 | $5,500 | $3,500 | $2,800 |
| Medium duty electric truck | More than 10,000 pounds but less than 26,000 pounds | $10,000 | $8,000 | $5,000 | $4,000 |
| Heavy duty truck | More than 26,000 pounds | $20,000 | $16,000 | $10,000 | $8,000 |
Hybrid and electric vehicles that are under lease also have fixed rates. While they are different than EVs that have been purchased, they are comparable. Contact our finance center to learn more about credits for leasing an EV.
If a driver owns or leases multiple electric vehicles, they can claim a tax credit on both of those vehicles. All that’s required is the appropriate paperwork for both vehicles.
Filing a claim for an EV credit is easy. All you need to do is attach the following documentation to your income tax return:
For more information about the Colorado Electric Vehicle Tax Credit, drivers in Littleton, Parker, and Castle Rock, CO can visit McDonald Hyundai. Our finance team will walk you through all the benefits and help you get on the right track. If you’re still shopping for an EV, our friendly sales team will help you find one that’s right for you.
