Incentives and Rebates

Westborough residents have access to a variety of incentives and rebates to help make purchasing or leasing an electric vehicle more affordable. Taking advantage of these programs can potentially save you thousands of dollars.  We don’t know how long these incentives will last, so it is best to take advantage of them sooner rather than later.

Federal Tax Credit

The Federal EV tax incentives assist in determining whether your purchase of an electric vehicle (EV) or fuel cell vehicle (FCV) qualifies for a tax credit based on your specific situation. These incentives cover various scenarios, such as buying a new clean vehicle, claiming a credit for a new clean vehicle you've already purchased, considering a used clean vehicle purchase, or acquiring a vehicle for business use. 

New Vehicles:

  • The credit is up to $7,500 for purchasing or leasing a new all-electric or plug-in hybrid vehicle.
  • To qualify for the full credit, the EV must:
    • Be newly purchased or leased.
    • Have a battery capacity of at least 5 kilowatt hours.
    • Be assembled in North America and meet domestic content requirements.
    • Check out U.S. DOE Approved Vehicles
  • You can claim this credit on your federal tax return or receive it directly from the car dealer at the time of purchase. Consult a tax professional for guidance.

Leased Vehicles: 

  • Tax Credit Claim: 
    • Leasing company claims the federal tax credit (up to $7,500).
    • Benefit to Lessee: Often reflected in reduced lease costs and lower monthly payments.
      • Income thresholds for new EV purchases do not directly apply to lessees. Lease terms may be indirectly influenced by these thresholds.
      • Relaxed rules regarding the country of assembly and components' origin, allowing more EV models to qualify.

Used Vehicles:

  • A federal tax rebate of 30% of the sales price, up to $4,000, is available for purchasing a used all-electric or plug-in hybrid vehicle from a dealer.
  • Similar to new EVs, this credit can be claimed on your federal tax return or received directly at the time of purchase.
For New VehiclesFor Used Vehicles
$300,000 for joint filers$150,000 for joint filers
$225,000 for head of household$112,500 for head of household
$150,000 for single filers$75,000 for single filers

Commercial Vehicles

  • This credit is up to $40,000 under Internal Revenue Code (IRC) 45W.
    • Calculation: Lesser of 15% (or 30% for non-gas/diesel vehicles) of the vehicle's basis, the incremental cost, or the maximum credit limit.
    • Maximum Credit: $7,500 for vehicles under 14,000 pounds GVWR; $40,000 for heavier vehicles.
  • To qualify for the credit, you must be a businesses and or tax-exempt organization.
    • No limit on the number of credits; credits are nonrefundable and can be carried over as a general business credit.
  • Qualifying Vehicles:
    • Must be subject to a depreciation allowance (except for certain tax-exempt organization vehicles), not for resale, used primarily in the US, and not previously credited under sections 30D or 45W.
    • Vehicles must either be usable on public roads (excluding rail vehicles) or qualify as mobile machinery per IRC 4053(8).
    • Either a plug-in electric vehicle with a minimum battery capacity (7 kWh for under 14,000 pounds GVWR, 15 kWh for 14,000 pounds or more) or a fuel cell vehicle meeting IRC 30B(b)(3)(A) and (B) requirements.

Massachusetts State Rebates

  • Massachusetts offers a rebate of $3,500 for purchasing or leasing a new or used all-electric vehicle.  Unlike the federal rebate, PHEVs are not eligible.
  • Income-qualifying drivers can receive an additional rebate of $1,500 (MOR-EV+).
  • $1,000 additional rebate for trading-in a qualifying vehicle.
  • The state’s MOR-EV Trucks programs provide $7,500 rebates for pick-up trucks and Class 2b vehicles as well as Class 3-8 vehicles.
  • Rebates for new and used EVs are available at the time of purchase or lease at participating dealerships as well as after an eligible purchase or lease.
  • There are eligibility rules for the purchaser, seller and the vehicle.  Be sure to check out the state’s website and to ensure that your vehicle is on the state’s approved list.
MOR-EV Program
Rebate
MOR-EV+
Trade-In
Total Possible
MOR-EV Standard
$3,500
$1,500
$1,000
$6,000
MOR-EV Trucks
$7,500
$1,500
$0
$9,000
MOR-EV Used
$3,500
$1,500
$1,000
$6,000
MOR-EV Program
Rebate
Eligible for Point-of-Sale
MOR-EV Standard
$3,500
Yes
MOR-EV Used
$3,500
Yes*
MOR-EV+
$1,500
Yes*
MOR-EV Truck
$7,500
No
MOR-EV Trade-In
$1,000
No

Charging Incentives

Westborough residents and businesses not only benefit from various purchase and lease incentives but can also access substantial rebates and funding for electric vehicle (EV) charging infrastructure. These incentives are designed to support the installation of EV charging stations across different settings, making it easier and more affordable to transition to electric vehicles.

National Grid is significantly enhancing its Make Ready Program with an investment of $206 million over the next four years. This investment is aimed at accelerating the adoption of electric vehicles (EVs) by expanding the charging infrastructure. Here's a breakdown of the program's key components:

National Grid Funding:

Make-Ready Program:

  • Total Investment: $206 million allocated over the next four years to boost EV charging infrastructure.
  • Aiming to install 32,000 chargers, including:
    • Public and workplace Level 1 and Level 2 ports.
    • Public Direct Current Fast Charging (DCFC) ports.
    • Residential charging for single-family and multi-unit dwellings.
    • Fleet charging solutions.
  • Funding Details:
    • Workplace: Up to 50% of Level 2 make-ready costs, with specific caps for different types of chargers.
    • Multifamily: Service upgrade coverage and up to 100% of make-ready costs, plus rebates up to $2,000/port.
    • Public: Up to 50% of Level 2 make-ready costs or up to $40,000 per port for DCFC.
    • Fleet: Up to 100% of make-ready costs for Level 2 and DCFC, and up to 50% or $2,000/$80,000 for eligible Level 2/DCFC EVSE hardware.
    • Municipality: Up to 50% of Level 2 make-ready costs, 50% of eligible Level 2 EVSE hardware cost, plus a $480/port/year rebate for Level 2 network costs.
    • Application Portal Here
    • For more information on the program offerings look Here. 

Residential EV Charging Program:

  • The Residential EV Charging Infrastructure Program supports residential electric customers by providing rebates for upgrading home wiring in their garage or parking area (up to $700 for single-family homes, with additional rebates for 2-4 units) and ongoing savings once enrolled in the Off-Peak Charging program, approximately $100 annually
  • Eligibility Requirements:
    • Must reside in a single-family home or a 2-4 unit building with an individual National Grid electric account.
    • Landlords or property managers of 1-4 unit buildings are eligible if they have a single National Grid electric account for the entire building or an account for common areas.
    • Only wiring upgrades and charging station purchases made after December 30, 2022, are eligible.
    • Enrollment in the Off-Peak Charging Program is required for single-family homes. Tenants or landlords of 2-4 unit buildings are exempt from this requirement if they don't own/lease an EV or have shared parking.
    • Must own or lease a plug-in electric vehicle (battery EV or plug-in hybrid EV).
    • Cannot receive the $50 enrollment rebate from the Off-Peak Charging Program if receiving a rebate from this program.
  • For complete terms and conditions, refer to the National Grid Residential EV Charging Program page.
Install a 240-volt circuit or outlet in garage/parking space for charging an EVSingle Family2-4 Unit
Customers on Standard Rate (R-1)Up to $700Up to $1,400
Customers on Low Income Discount Rate (R-2)Up to $1,000Up to $2,400
Purchase of a qualified EV Smart Charger for the garage/parking space (rules apply)Single Family2-4 Unit
Customers on Low Income Discount Rate (R-2)Up to $700Up to $700

Turnkey EV Charging Installation Program:

  • This program covers up to 100% of your out-of-pocket costs for both upgrades to your home wiring and seamless installation of a new charging station. As an added benefit of participating in this program, we will help you enroll in our Off-Peak Charging Program - reducing your electricity costs for charging your electric vehicle
    • Includes assessment, installation, and management of EV charging stations.
  • Designed for businesses and organizations.
  • Further details are available on the Turnkey EV Charging Installation Program page.

Off-Peak Charging Program (Charge Smart MA):

  • The Massachusetts EV Off-Peak Charging Program allows customers to earn rebates with the Charge Smart MA app. Reduce your EV charging by earning an average of $100 annually when you charge your EV during designated off-peak times and get a $50 enrollment incentive. 
    • App-based: Utilizes the National Grid Charge Smart app to manage charging and track rebates.
  • Earn $0.05/kWh during summer months and $0.03/kWh during non-summer months for off-peak charging.
  • Off-Peak Hours: 9:00 p.m. to 1:00 p.m. Monday through Friday, excluding national holidays.

Massachusetts EV Charging Station Grants (MassEVIP):

  • A $400 million plan for installing EV chargers, with local utilities offering rebates for charger installation.
    • Workplace and Fleet Charging (WPF): Up to 60% of Level 1 or 2 charging stations and installation costs, capped at $55,000 per address.
    • Multi-Unit Dwelling and Educational Campus Charging (MUDC): Up to 60% of Level 1 or 2 charging stations and installation costs, capped at $55,000 per address.
    • Public Access Charging (PAC): Up to 80% (100% for government properties) of Level 2 charger and installation costs, up to $50,000 per address.
    • Eligible locations are non-residential, publicly accessible parking areas.
    • Must meet Energy Star standards and be listed in the State Appliance Standards Database.
    • Apply Online