Virginia 2024 EV Tax Credits Guide [+ Calculate Your Savings]

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There’s no denying that electric vehicles (EVs) quickly get expensive when it comes to sticker price. Fortunately, there are federal and state incentives like rebates and tax credits to make EVs more financially appealing.

But what state EV incentive programs are in place in Virginia?

Let’s see what current incentives are available in your area and whether or not you qualify for them.

Last Updated: January 2024

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What EV Incentives Are Available in Virginia?

Virginia offers various incentives for buying new and used electric vehicles, as well as post-purchase initiatives to help with the costs of installing home charging and running your EV. Read on to find out where and how you can save money on the model you want.

Incentives for Purchasing an EV in Virginia

Virginia offers up to $2,500 in rebates for the purchase of a new or used electric vehicle. A further $2,000 is available for households whose income does not exceed 300% of current poverty guidelines.

The following qualification criteria apply for Virginia's $2,500 EV incentive:

  • For new EV purchases, the vehicle's sale price can be no higher than $55,000.
  • For used EV purchases, the vehicle's sale price can be no higher than $25,000.
  • Applicant must reside in Virginia.
  • The vehicle must be powered solely by electricity.
  • Rebates are subject to available funding, which may be exhausted before the year to which it is allocated ends.

Virginia's EV incentives can also be combined with federal tax credits to save more than $10,000 on a new electric vehicle purchase.

Other EV Incentives Offered in Virginia

Virginia offers the following incentives for electric vehicle charging, maintenance, or related benefits:

  • Virginia High Occupancy Vehicle (HOV) Lane Exemption- Alternative fuel vehicles (AFVs) displaying the Virginia Clean Special Fuel license plate may use Virginia HOV lanes, regardless of the number of occupants.
  • Danville Utilities provides a $200 rebate for residential customers who install a Level 2 home charge station.
  • Dominion Energy offers residential customers a rebate of $125 for buying a new level 2 home charger and enrolling in the organization's "demand response" program. Participants will also receive a yearly payment of $40 on the anniversary of their enrollment.
  • Appalachian Power Company has a rebate in place of $100 for installing an ENERGY STAR certified home charger, as well as time-of-use (TOU) rates to encourage charging during off-peak times, when prices are lower.

Now that you know what electric vehicle incentives are available in Virginia, what else do you need to know about making the switch to all-electric transportation?

Read our guidance on how to prepare for an EV to make sure the models you’re considering will meet your real-world driving needs!

Frequently Asked Questions

Are there incentives for purchasing an electric vehicle in Virginia?

Yes, there are state-level incentives in place when you purchase an EV in the state of Virginia. Up to $2,500 is available for the purchase of a new or used EV, with additional funds available to qualified low-income households. To save more money on electric vehicles, check out our picks for the best deals on EVs.

Are there additional fees for purchasing an electric vehicle in Virginia?

Yes, there are additional fees to pay when you purchase an EV in the state of Virginia. EV owners pay an annual fee of $116.49 or a can sign up for a per-mile road use fee. Read more on the Virginia DOT's Highway Use Fee here. These fee options are levied to make up for the tax revenue lost now that you will no longer buy gasoline or diesel.

Does sales tax apply when I buy an EV in Virginia?

Sales tax is applied to electric vehicle purchases in Virginia at the same rate as traditional combustion vehicles. Visit our resource page to find the vehicle sales tax in Virginia.