First-time electric vehicle owners have a learning curve in keeping their car’s battery charged. Chargers are organized by a 3-tier system from weakest to strongest. Level 1 chargers are standard with every EV purchase, but they don’t provide fast or efficient charging. Level 2 chargers are available for residential use and provide a considerably faster charge. Level 3 chargers are DC commercial standalone charging stations.
Level 2 EV chargers are preferred accessories for many EV owners because they speed up charging times for their vehicles. This can make a major difference when time is a factor and you need to rush out the door. FlowGo’s Level 2 chargers are also designed for simplicity and are easy to install, removing any need for hard wiring. You just plug it in and start charging. The charging levels are also optimized to maintain proper balancing that extends your battery’s health.
Upgrading to a Level 2 charger can be costly once you include installation. Fortunately, the United States has federal and state tax incentives to help ease the burden on consumers. Depending on your location, these incentives can provide attractive discounts that make upgrading to Level 2 a feasible and cost-effective decision.
According to the Department of Energy, federal tax incentives for “consumers who purchase qualified alternative fueling equipment for installation at their principal residence” have been renewed until December 2032 giving consumers plenty of time to make the switch to clean energy. The extended Inflation Reduction Act means taxpayers may receive the Alternative Fuel Infrastructure Tax Credit of up to 30% of the cost, up to $1,000 depending on their location and economic status.
Businesses are also eligible for tax incentives after installing Level 2 chargers. These incentives can be much larger with a tax credit of 6% up to $100,000 per item. If installation meets the U.S. Department of Labor’s prevailing wage and apprenticeship requirements, these tax breaks can reach as high as 30% up to $100,000 per item. Tax-exempt entities are also eligible for the same tax incentives on Level 2 chargers if they follow elective pay provisions.
Many states offer their own tax incentives for Level 2 EV chargers to go along with federal tax breaks. To no surprise, the states with the highest rate of EV adoption also have some of the strongest incentives. States like California and Colorado offer exceptionally high rebates around $2,500. However, there are some stipulations such as California’s income eligibility restrictions and Colorado’s phaseout plan which considers the year you purchased your EV.
Don’t worry though, even if you don’t live in these states many others still include similar tax incentives including some of the states with the lowest adoption rates for EV vehicles like Louisiana, Mississippi, and Wyoming. In fact, of the 5 lowest-ranking states for EV adoption, West Virginia and North Dakota are the only states that don’t provide clear tax incentives for home chargers. While these states offer lower rebates of $250 it still shows that nearly the entire country is preparing itself for rising numbers of residential EV charging.
Incentives extend well beyond just federal and state-level taxation. They are also present on the local level and power corporations and NGOs focused on expanding the network of Level 2 chargers across the country, primarily in commercial and multifamily properties.
PGE Business EV Charging Pilot Program: Portland General Electric is a utility provider for nearly half of Oregon’s population and offers rebates up to $1,000 per port for commercial properties and up to $2,300 for multifamily properties.
Commercial Charger Incentive Program: The City of Pasadena, CA is offering a staggering $3,000 rebate per port for Level 2 chargers that can maintain equal charging for multiple vehicles simultaneously in commercial and multi-unit dwellings. Providing access to “students and patrons of schools recognized by the Los Angeles County Department of Education or the Western Association of Schools and Colleges” can increase the rebate up to $6,000.
Charge Ready NY 2.0: The New York State Energy Research and Development Authority has committed a budget of $12 million towards installing Level 2 chargers in commercial and multi-family dwellings across New York State by offering rebates up to $4,000 per port at public facilities and $2,000 per port at workplaces and Multi-Family Dwellings.
Regardless of where you live in the United States, there are tax incentives for installing a Level 2 EV charger at your home. The tax credit extension aligns with The National Climate Task Force's goal of reducing U.S. greenhouse gas emissions, reaching 100% carbon pollution-free electricity, and becoming a net-zero economy by 2050.
The first wave of consumers to adopt this new infrastructure is being welcomed with discounts and rebates to help shoulder the cost of FlowGo. So don’t wait, get FlowGo today and save!
