Those who lease electric vehicles in Minnesota are up for the possibility of a rebate with their new program.
An Announcement For Those Who Lease Electric Vehicles
Residents of Minnesota who purchase or lease electric or hybrid vehicles may be eligible for government incentives. These incentives for those who lease electric vehicles are totaling up to $10,000 off the purchase price.
The state offers rebates of up to $2,500 for those who lease new electric vehicles and up to $600 for used electric vehicles. To qualify, those who lease electric vehicles must have bought the vehicle at a suggested retail price of $55,000 or less, and used vehicles must cost $25,000 or less.
Consumers who lease electric vehicles can apply for the rebate starting on February 7th. The state rebate can be combined with federal tax credits of up to $7,500 for new EV purchases and up to $4,000 for used vehicle purchases.
According to SmartNews, the state rebate payments for those who lease electric vehicles may not be immediate, but the program has allocated funds of $10.6 million for fiscal year 2024 and $5.2 million for the following fiscal year.
Rebates for those who lease electric vehicles are expected to be distributed by June 30, 2027, or until the funding is exhausted.
Encouragement Of Purchasing EVs
In a published article by The Center Square, the program aims to encourage the purchase of electric vehicles by providing a subsidy of up to $2,500 on top of the existing $7,500 federal subsidy.
Minnesota currently ranks second in the Midwest for electric vehicle registrations but is still a long way off from its goal of having 1 million electric vehicles on the road by 2030. It would need to register over 136,000 vehicles each year until then. The office of Gov. Tim Walz has not responded to a request for comment on how the state plans to meet this goal.