Alternative Fuel Vehicle (AFV) Retail Sales and Use Tax Exemption

https://afdc.energy.gov/laws/12224

The retail sales and state use tax of 6.5% does not apply to the sale or lease of new or used passenger vehicles, light-duty trucks, and medium-duty passenger AFVs. AFVs powered by natural gas, propane, hydrogen, and electricity are eligible. Vehicles must not have a selling price plus trade-in property value that exceeds $45,000 for new vehicles and $30,000 for used vehicles. The maximum eligible amount for leased vehicles in either period is $16,000. Newly purchases vehicles maximum amount are $20,000 for those between August 1, 2021 - July 31 2023 and $15,000 for those between August 1, 2023 - July 31 2025.

For more information visit, see the Renewable Energy/Green Incentives section of Washington Department of Revenue's Incentives Programs website.