You may already be aware of the federal tax credits for electric vehicles (if not check out Electric Vehicle Federal Tax Credit: Explained) but there are also EV incentives available in individual states, including some great incentives for Texas residents.
If you’re a resident of the Lone Star State you may qualify for tax credits, incentives or savings for owning an electric vehicle and may also qualify for additional incentives such as credits on solar panel installation, discounts on home charging through your energy provider, carpool lane exemptions and more.
Check out the incentives we’ve found for the state of Texas in 2023. Please keep in mind that these may change at any time and certain conditions may apply to qualify.
Federal Tax Credits up to $7,500
NOTE: The Clean Vehicle Credit added a new requirement for final assembly in North America that took effect on August 17, 2022, with additional requirements beginning January 1, 2023.
Used EV Rebates up to $4,000
The Clean Vehicle Credit provides a tax credit for the purchase of a pre-owned EV or FCEV.
HOV Lane Exemptions
In Texas, electric vehicles may use the carpool lane regardless of the number of passengers.
Home Charger Incentives
The following utility companies offer residential customers various EV incentives and rebates towards the purchase and installation of Level 2 EV chargers.
- Austin Energy – Up to $1,200 rebate
- Entergy – Up to $250 rebate
- United Cooperative Services (UCS) – Up to $500
- Southwestern Electric Power Company (SWEPCO) – Up to $250
- CPS Energy – Up to $250 plus bill credits
New and Used EV Rebates
Light-Duty Motor Vehicle Purchase or Lease Incentive Program – The Texas Commission on Environmental Quality (TCEQ) offers EV rebates up to $2,500 towards the purchase of certain clean vehicles. Check out the Texas Emissions Reduction Plan website for more information and how to apply.
Denton Municipal Electric (DME) – DME offers residential customers a $300 rebate for the purchase of a EV. See the DME Residential Customers website for more information.
The Final Word
To stay up-to-date on available incentives for EVs in Texas and across the nation, bookmark our Incentives and Rebates in TX page where you’ll find the most up to date information on all electric vehicle tax credits and incentives available in Texas and every other US state.
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