Electric vehicles, or EVs, which can run fully or partially on electricity, present a critical opportunity to improve air quality along the Wasatch Front. Unfortunately, a tax credit that helped Utahns make the switch to cleaner electric vehicles expired on December 31st, 2016. With your help, we may be able to bring it back!
Representative Stephen Handy of Layton is sponsoring a bill (House Bill 29) that would renew and improve the tax credit for electric vehicles. If passed, the bill would allow a tax credit of $1,500 for the purchase of a qualifying "long-range" electric vehicle (EVs with batter capacity of 10 kwh or more) and $1,000 for qualifying "short-range" electric vehicles (EVs with battery capacity of less than 10 kwh). Additionally, Representative Handy's bill would extend the tax credit through 2021 and also create an option for the tax credit to function as an up-front rebate (by allowing the vehicle buyer to assign the tax credit to the dealer/dealer's financing entity).
UPDATE Feb. 21, 2017: Based on feedback from the House Revenue and Taxation Committee, HB 29 was amended to include a requirement for an annual review, a phase-down of the tax credit between 2019 and 2021, and language that limits the eligibility of the tax credit to those who operate electric vehicles within counties that are designated as “nonattainment” for air quality. With many thanks to Representative Handy for his persistence, on February 14th the House Revenue and Taxation Committee voted unanimously to pass HB 29 out of Committee and onto a vote by the full House of Representatives.
Download Utah Clean Energy’s fact sheet on HB 29.
Read about the bills we’re following on our 2017 Legislative Session Policy Tracker