spot_imgspot_img

Washington state has given 25,276 EV sales and use tax exemptions since 2019

(The Center Square) – Washington state has given 25,276 sales and use tax exemptions for electric vehicles since 2019 to reduce greenhouse gas emissions, costing $27.9 million.

The exemption aims to help reduce GHG emissions by 45% by 2030 and 70% by 2040 because vehicle emissions are the largest contributor to GHGs, an executive order says.

Mikhail Carpenter, Communications Manager at the Washington State Department of Revenue told The Center Square in an email that “$430 million represents the total non-taxable amount deducted from the qualified EV purchases to obtain the sales and use tax exemption of $27 million.”

A report shows vehicle purchases and more from August 1, 2019, the start date of the exemption, to April 10, 2023. Estimated future lease costs are $149,787.

State data show in 2010, four hybrids were registered statewide. In 2022, residents registered 92,694 EVs, counting renewals and new registrations.

In 2022, Gov. Jay Inslee signed legislation targeting a 100% EV mandate by 2030. Inslee signed an executive order requiring some state fleets to transition to EVs. The order requires 40% of fleets to be battery electric vehicles by 2025, 75% of fleets to be BEVs by 2030, and 100% of fleets to be BEVs by 2035.

Inslee spokesperson Mike Faulk said the tax exemption alone isn’t enough to change buying behavior.

“The tax exemption is not significant enough to drive the level of change in buying behavior and adoption rate we need to meet statutory greenhouse gas emissions limits, which is why the governor proposed a point-of-sale rebate program in his 2022 budget,” Faulk told The Center Square in an email.

In 2022, the governor signed the $17 billion “Move Ahead Washington” transportation package. The Legislature appropriated over $1 billion toward EVs, including charging infrastructure funding.

As of 2022, federal data say 104,050 EVs, 31,400 plug-in-electric hybrids, and 270,200 hybrid electrics are registered in Washington. The state has 5.6 million gasoline vehicles, 277,400 diesel vehicles, 348,300 E85 vehicles, and 67,500 biodiesels.

New EVs bought nearly tripled between 2013 and 2018, and in 2021, reached nearly 20,000 registered in one year.

In 2019, Washington reinstated the sales and use tax exemption for vehicles powered by a clean alternative fuel and certain plug-in hybrids. The exemption applies to dealer and private sales of new, used, and leased vehicles sold on or after August 1, 2019, based on the following criteria:

New vehicle transactions can’t exceed $45,000 in purchase price or lease payments.Used vehicle transactions must not exceed $30,000 in fair market value or lease payments.Using a trade-in to lower the price is prohibited.

Carpenter told The Center Square in an email that it doesn’t have demographic data on the people using the rebate program. The exemption is up for a full review in 2024.

The below graph show the most common types of vehicles tapped for the rebate.

DON’T MISS OUT

Be the first to know about the latest news, giveaways, events, and updates from The Black Chronicle!

We don’t spam! Read our privacy policy for more info.

spot_imgspot_img
spot_img

Hot this week

African and Caribbean Nations Call for Reparations for Slave Trade, Propose Global Fund

Nations across Africa and the Caribbean, deeply impacted by...

Health care company agrees to pay $22.5 million to settle claims of over billing

A health care company agreed to pay nearly $22.5...

Sports betting expert offers advice on paying taxes for gambling winnings

(The Center Square) – Tax season is underway, and...

Entertainment district benefits don’t outweigh the cost, economists say

(The Center Square) — Weeks later, after more details...

Business association ‘disappointed’ by WA L&I’s proposed workers comp rate hike

(The Center Square) – The Association of Washington Business...

Gas tax revenue coming up short in new transportation revenue forecast

(The Center Square) – The Economic and Revenue Forecast...

FBI data says violent crime in Bossier City is up over last decade

(The Center Square) — The Bossier City Police Department...

Chicago alderman hope to see ShotSpotter restored to keep city streets safe

(The Center Square) – With the residents of his...

AZ Supreme Court rules that votes will count in open primary proposition

(The Center Square) – The Arizona Supreme Court ruled...

Vice presidential debate highlights divide between parties on school safety

(The Center Square) – During the Tuesday debate between...

Trump blasts Harris for FEMA help to migrants as hurricane budget runs low

(The Center Square) – The Biden-Harris administration took a...

Labor report shows 254,000 jobs added in September

The Bureau of Labor Statistics employment data shows that...

Seattle approves $20.76 minimum wage in 2025; will be highest in the U.S.

(The Center Square) – Seattle employees making the minimum...

More like this
Related

Gas tax revenue coming up short in new transportation revenue forecast

(The Center Square) – The Economic and Revenue Forecast...

FBI data says violent crime in Bossier City is up over last decade

(The Center Square) — The Bossier City Police Department...

Chicago alderman hope to see ShotSpotter restored to keep city streets safe

(The Center Square) – With the residents of his...

AZ Supreme Court rules that votes will count in open primary proposition

(The Center Square) – The Arizona Supreme Court ruled...