Connecticut EV Tax Credit: What to Know

Residents of Connecticut may qualify for some programs to reduce the cost of an electric vehicle purchase, home charger installation and residential solar system. Here’s what you need to know if you’re considering buying an EV or a home charger.

As incentive programs shift over time, it is crucial that you research the current incentives before you buy, or consult a tax specialist, to ensure you qualify for a rebate or tax credit. The information in this article was current as of its publication date.

CT residents can take advantage of the Connecticut Hydrogen and Electric Automobile Purchase Rebate (CHEAPR) program. The nature of this program is in the name. It offers a rebate for CT residents who purchase an electric vehicle (EV or BEV), plug-in hybrid (PHEV) or hydrogen fuel cell vehicle (FCEV). Hydrogen is included in the program because it is an emerging alternative fuel and the fuel cell powers a battery EV powertrain. The sticker price of the vehicle must be less than $50,000 to qualify for the rebate.

The program provides the rebate immediately at the point of sale (through the dealership).

CHEAPR offers varying levels of incentives for used EVs and PHEVs.

Connecticut residents may be eligible for home charging rebates or incentives through their utility company. Some utility companies also offer special time-of-use (TOU) rates for charging an EV during off-peak hours.

The state of Connecticut provides solar incentives programs, working with utilities that service the state. The Residential Solar Incentive Program works with Eversource Energy, United Illuminating and other companies. Connecticut residents should check with their utility company for available incentives and qualifications.

The Connecticut DMV does not penalize residents for getting an EV on the road. In fact, there are fewer fees for titling and registering an EV. The typical $15 Clean Air Act fee is waived and the Greenhouse Gas fee is cut in half (to $7.50 down from $15).