There is no California EV tax credit. Instead, the state runs income-qualified grant programs through the California Air Resources Board that can put up to $14,000 toward a new or used plug-in vehicle for eligible households. The federal clean vehicle credit that many buyers relied on ended for vehicles acquired after September 30, 2025, so if you’re shopping in California today, these state grants and a narrow home-charger credit are what’s left.1Office of the Law Revision Counsel. 26 USC 30D – Clean Vehicle Credit
The Federal EV Credit Is Gone
Congress terminated the Section 30D new clean vehicle credit and the Section 25E used clean vehicle credit as part of Public Law 119-21. Neither applies to vehicles acquired after September 30, 2025, and the IRS has confirmed no replacement is coming.2Internal Revenue Service. FAQs for Modification of Sections 25C, 25D, 25E, 30C, 30D, 45L, 45W, and 179D Under Public Law 119-213Internal Revenue Service. Used Clean Vehicle Credit
One narrow exception: if you bought or leased a qualifying vehicle on or before September 30, 2025, and took physical possession afterward, you can still claim the credit on your 2025 or 2026 return.4Internal Revenue Service. Clean Vehicle Tax Credits For everyone else, the credit is off the table.
The Old Clean Vehicle Rebate Project No Longer Exists
If you’ve come across California’s Clean Vehicle Rebate Project (CVRP) in a dealership brochure or older guide, ignore those figures. CVRP closed permanently to new applications on November 8, 2023, and CARB has confirmed it will not reopen.5Clean Vehicle Rebate Project. FAQs The $2,000 to $7,000 rebate amounts, the $135,000 and $200,000 income caps, all of it describes a program that no longer accepts applications. The current programs work differently and serve a narrower, income-qualified group.
Driving Clean Assistance Program (DCAP)
DCAP is CARB’s statewide replacement for CVRP. It’s designed for income-qualified Californians who don’t live in one of the five air districts that run their own Clean Cars 4 All program. DCAP provides grants toward the purchase or lease of a new or used plug-in hybrid, battery electric, or fuel cell vehicle.6California Air Resources Board. Driving Clean Assistance Program
Grant amounts depend on whether you scrap an older high-emission vehicle and whether you live in a disadvantaged community census tract:
- Up to $12,000 if you live in a disadvantaged community and scrap an older vehicle.
- Up to $10,000 if you scrap an older vehicle but live outside a disadvantaged community.
- Up to $7,500 if you’re income-eligible but have no vehicle to scrap.
- An additional $2,000 for charging, paid as a prepaid public-charging card or applied toward home charger installation.
DCAP also opens access to low-interest vehicle loans capped at 8% APR, which helps if you qualify for the grant but can’t cover the rest of the purchase price. If you’d rather skip a car altogether, you can direct up to $7,500 toward mobility options like transit passes or e-bikes.
One disqualifier catches people: if you’ve previously received a grant from any CARB light-duty vehicle purchase incentive program, including the old CVRP or Clean Cars 4 All, you cannot participate in DCAP.
Clean Cars 4 All
Clean Cars 4 All is the district-based scrap-and-replace program that continues to operate in five regions: South Coast, Bay Area, San Joaquin Valley, Sacramento, and San Diego.7California Air Resources Board. Clean Cars 4 All If you live in one of those districts, you apply through that district’s portal instead of DCAP.
You retire an older, high-polluting vehicle and receive a grant toward a cleaner one. For a battery electric or fuel cell replacement, grants reach up to $12,000, plus an additional $2,000 for home charging or a public charging credit. Residents of disadvantaged community census tracts qualify for the highest tier. Mobility credits (e-bikes, transit vouchers) are available as an alternative to a replacement vehicle.
What Vehicle You Can Scrap
The car you retire has to be currently registered in your name, operational, and old enough to qualify. Age cutoffs vary by district: in the Bay Area, it must be model year 2007 or older.8Bay Area Air Quality Management District. Eligibility – Clean Cars for All Check your district’s rules before assuming yours qualifies. The replacement vehicle must be eight years old or newer and can be new or used.
Income Limits
Limits are set by household size, not filing status. The Bay Area district’s 2025 caps run from $46,950 for a single-person household to $96,450 for a family of four.8Bay Area Air Quality Management District. Eligibility – Clean Cars for All Other districts set their own numbers, so confirm with yours directly.
Home Charger Incentives
One federal credit briefly survives. The Section 30C alternative fuel vehicle refueling property credit covers 30% of installation costs for a Level 2 charger, up to $1,000 per port, for property placed in service through June 30, 2026.9Internal Revenue Service. Alternative Fuel Vehicle Refueling Property Credit
The catch is geographic. Your home must sit in a qualifying census tract, meaning either a low-income community or a non-urban area. The IRS provides a lookup tool tied to your 11-digit census tract identifier, and you should check before buying equipment.10Internal Revenue Service. Alternative Fuel Vehicle Refueling Property Credit for Individuals Many suburban California addresses don’t qualify.
On the state side, California’s investor-owned utilities run their own charger rebates through California Public Utilities Commission-authorized programs. PG&E’s Empower EV program, for example, has offered rebates covering Level 2 charger installation and electrical panel upgrades for low- and moderate-income customers.11California Public Utilities Commission. Charging Infrastructure Deployment and Incentives These transportation electrification programs are authorized through December 31, 2026, but individual offerings and funding levels shift frequently. Call your utility to confirm what’s open before you commit.
How to Apply
There’s no single portal. Clean Cars 4 All applicants apply through their regional air district; DCAP applicants use the statewide system. Each district maintains its own interface, timeline, and waitlist.
Whichever program you’re using, expect to submit:
- Proof of California residency, such as a current utility bill or valid California driver’s license.
- Income verification, typically federal tax transcripts or a signed copy of your most recent IRS Form 1040. If you didn’t file, W-2 forms or Social Security benefit statements are usually accepted.
- A complete, signed purchase or lease agreement showing the final price, VIN, and dealership location.
- Documentation for your scrap vehicle if you’re using one: current registration and proof it runs.
Check every field. VINs must match exactly between your sales contract and your application. Follow the specific income line items the program instructions call for rather than defaulting to the AGI on the front of your return. Small mismatches send applications into extended review.
Processing takes time. When CVRP was still running, the average wait just to begin reviewing an application had grown to 279 business days.12Clean Vehicle Rebate Project. How Long Will It Take to Process My Application? The newer programs haven’t published comparable data, but plan on several months from submission to payment. Keep your confirmation email and reference number in case you need to follow up.
Carpool Lane Decals Are No Longer Issued
California’s Clean Air Vehicle decal program, which let solo EV drivers use HOV lanes, ended at midnight on September 30, 2025. The DMV stopped accepting new decal applications on August 29, 2025.13California State Department of Motor Vehicles. Clean Air Vehicle Decals Starting October 1, 2025, every driver has to meet the posted occupancy requirement for HOV lanes or risk a citation. Older guides still list the decal as an EV perk in California; it isn’t one anymore.