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Illinois Electric Vehicle Tax Rebate

by | Dec 4, 2023 | News

THE CLIMATE AND EQUITABLE JOBS ACT (CEJA)

On September 15, 2021, Governor Pritzker signed into law The Climate and Equitable Jobs Act (CEJA) (Public Act 102-0662). CEJA includes provisions with the goal to phase out carbon emissions from the energy and transportation sectors. The Illinois EPA is directed in CEJA to establish rebate and grant programs for electric vehicles and charging stations and oversee the phase-out of fossil fuel-fired electrical generation units.

ELECTRIC VEHICLE REBATE

Beginning July 1, 2022, and continuing as long as funds are available, an Illinois resident that purchases an all-electric passenger vehicle from a dealer licensed in Illinois will be able to apply for a rebate, in the amounts set forth below. A rebate amount cannot exceed the purchase price of the vehicle. The purchaser must retain ownership of the vehicle for a minimum of 12 consecutive months immediately after the vehicle purchase date. Only one rebate will be issued to a purchaser in any 10-year period. See our Electric Vehicle Rebate Program page for more information.

  • Beginning July 1, 2022, a $4,000 rebate for the purchase of an electric vehicle.
  • Beginning July 1, 2026, a $2,000 rebate for the purchase of an electric vehicle.
  • Beginning July 1, 2028, a $1,500 rebate for the purchase of an electric vehicle. 
  • Beginning July 1, 2022, a $1,500 rebate for the purchase of an electric motorcycle.

(https://www2.illinois.gov/epa/topics/ceja/Pages/Electric-Vehicle-Rebates.aspx)

The full article and more information can be found HERE.

ELECTRIC VEHICLE REBATES FAQ

How do I apply for the electric vehicle (EV) rebate?

Once the rule is final, forms and instructions on submitting a rebate will be made available on the Illinois EPA CEJA webpage at the opening of a funding round. You may want to consider signing up for the EV Listserv located on that page to receive updates.

What cars are eligible for the rebate?

New or used electric vehicles purchased from a dealer licensed by the Illinois Secretary of State that haven’t previously been the subject of this EV rebate. Rented or leased vehicles do not qualify for the rebate. Other eligibility criteria relate to the purchaser and may be found in the 35 Ill. Adm. Code Part 275 revisions. The first notice revisions may be found on the Illinois EPA CEJA webpage.

If I place an order for an EV before July 1st, but don’t take possession until after that date, am I eligible for the rebate?

The rules define “proof of purchase” as: “Proof of purchase” means a copy of a cancelled check, an invoice or bill showing that the applicable amount has been paid or that no remaining balance exists, or other appropriate proof, acceptable to the Agency, that payment has been made for the related purchase. This typically occurs when a vehicle is delivered to the customer, or the customer takes possession. The date of purchase is one eligibility criteria, all other eligibility criteria must be satisfied to be rebate eligible.

A full list of FAQs can be found HERE.

For more information on how this rebate can be applied to your specific situation or your eligibility, please contact our Tax Team or call our office at 630.584.4555.