The California EV tax credit landscape has narrowed sharply. The federal clean vehicle credit ended for any vehicle acquired after September 30, 2025, and California’s Clean Vehicle Rebate Project closed to new applicants in November 2023.1Office of the Law Revision Counsel. 26 USC 30D Clean Vehicle Credit If you’re buying an EV in California today, the main program still paying money is Clean Cars 4 All, and it’s limited to income-qualified households that scrap an older vehicle. One federal credit for home charger installation also remains, but only until June 30, 2026.
Clean Cars 4 All: The Main Program Still Paying
Clean Cars 4 All provides grants to income-qualified California residents who retire an older, higher-polluting vehicle and replace it with a cleaner one. It currently operates through five air districts — South Coast, San Joaquin Valley, Bay Area, Sacramento Metropolitan, and San Diego — plus the statewide Driving Clean Assistance Program for rural areas outside those districts.2California Air Resources Board. Clean Cars 4 All
Grant amounts depend on the replacement vehicle and whether you live in a designated disadvantaged community:3California Air Resources Board. Clean Cars 4 All – About
- Zero-emission vehicle, standard: up to $10,000
- Plug-in hybrid, standard: up to $9,500
- Zero-emission vehicle, disadvantaged community: up to $12,000
- Plug-in hybrid, disadvantaged community: up to $11,500
- Charging equipment add-on: up to $2,000 on top of the vehicle grant
Your household income must be at or below 300% of the federal poverty level. For 2026, that works out to roughly $47,880 for a single person or $99,000 for a family of four. The vehicle you scrap has to be registered in your name and meet age and operational requirements set by your local air district.
There is no single statewide deadline. Each district runs on its own funding cycle, and when a district runs out of money, applications pause until the state replenishes it. These gaps can last weeks or months. Call or check your regional air district directly before you commit to anything, because a program open last month may be closed today.
Home Charger Credit Expires June 30, 2026
The Section 30C alternative fuel vehicle refueling property credit covers 30% of the cost of installing a home EV charger, up to $1,000 for personal use. It is not available for any property placed in service after June 30, 2026.4Internal Revenue Service. FAQs for Modification of Sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, and 179D Under Public Law 119-21 “Placed in service” means installed and ready to use, not just ordered or paid for.
The charger has to be in an eligible census tract, generally a low-income community or non-urban area. Those categories cover a large share of U.S. land but not every neighborhood. If you’re planning a Level 2 install, this is the most urgent deadline left. Many California utilities also run their own rebates for home charger installation, with amounts and rules that vary by provider.
Federal New and Used EV Credits Are Gone
The One Big Beautiful Bill Act, signed July 4, 2025, eliminated the three main federal EV tax credits. The new clean vehicle credit (Section 30D), the used clean vehicle credit (Section 25E), and the commercial clean vehicle credit (Section 45W) are all unavailable for vehicles acquired after September 30, 2025.5Internal Revenue Service. Clean Vehicle Tax Credits If you bought or leased an EV after that date, no federal credit applies.
California’s Clean Vehicle Rebate Project is also closed. It stopped accepting applications on November 8, 2023, all funding was reserved, and it will not reopen.6Clean Vehicle Rebate Project. FAQs – Clean Vehicle Rebate Project Applicants on the standby list from before the deadline will only be paid if earlier applications are cancelled or found ineligible.
If You Had a Contract Before October 1, 2025
There is a narrow transition rule. If you had a written binding contract and made a payment on or before September 30, 2025, you can still claim the federal credit even if the vehicle was delivered later.4Internal Revenue Service. FAQs for Modification of Sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, and 179D Under Public Law 119-21 A nominal down payment counts. Both the contract and the payment had to exist before the cutoff.
Buyers in this situation still have to file Form 8936 with their tax return, even if they transferred the credit to the dealer at the point of sale.7Internal Revenue Service. Instructions for Form 8936 The rules that were in effect at the time of purchase still govern eligibility. For the new vehicle credit, that means an MSRP cap of $80,000 for SUVs, vans, and pickup trucks or $55,000 for sedans and other vehicles, and income limits of $300,000 for joint filers, $225,000 for heads of household, or $150,000 for everyone else.8Internal Revenue Service. Credits for New Clean Vehicles Purchased in 2023 or After The maximum new vehicle credit was $7,500. For the used credit, the sale price cap was $25,000 and the modified AGI caps were $75,000 single or $150,000 joint, with a maximum credit of $4,000.9Internal Revenue Service. Used Clean Vehicle Credit
The $100 Annual ZEV Fee
This isn’t a credit, but it’s worth knowing before you buy. California charges a $100 annual road improvement fee on zero-emission vehicles from model year 2020 and later, collected at registration and renewal.10Alternative Fuels Data Center. Zero Emission Vehicle (ZEV) Fee The amount adjusts each year with the California Consumer Price Index. Because EVs don’t pay gas tax, the fee is meant to cover their share of road maintenance.