Arizona State Tax Credit for Electric Cars

2022 Nissan LEAF charging

The growing popularity and accessibility of electric vehicles, like the new Nissan LEAF, means it’s easier than ever to bring efficient performance to your Peoria commutes. To further incentivize drivers, several Arizona electric car tax credits are available with your purchase of a new, environmentally beneficial vehicle. With the team at Avondale Nissan, learn how you can add savings to your budget with Arizona EV incentives. Don’t hesitate to contact us if you have any questions.

 

Arizona Electric Car Incentives

The state of Arizona identifies alternative fuel vehicles as vehicles using other fuels including propane, natural gas, electricity, hydrogen, and a blend of hydrogen with propane or natural gas. If you’re interested in adding a hybrid or electric vehicle to your daily Phoenix commutes, there are a few Arizona state tax credits for electric cars you can take advantage of:

  • Alternative Fuel Vehicle (AFV) Parking Incentive: This Arizona EV incentive allows drivers of hybrid, PHEV, and electric vehicles to park in carpool areas for quicker access to the stores you love or a shorter walk into work.
  • High Occupancy Vehicle (HOV) Lane Exemption: The Arizona Department of Transportation incentivizes you with a quicker trip on the highways around Surprise when you have a registered AFV license plate. No matter how many occupants, EV drivers are allowed to use the carpool lane in rush hour traffic.
  • Reduced Alternative Fuel Vehicle (AFV) License Tax: Your budget can benefit from the Arizona EV tax credit as it offers a reduced vehicle license tax on an AFV at $4 for every $100 in assessed value.
  • Alternative Fuel Vehicle (AFV) Emissions Test Exemption: While it doesn’t save your budget, this Arizona electric car incentive saves you time. This exemption allows qualified models first registered in the state to forgo a complete emissions testing in the first years of purchase. Although this doesn’t apply to vehicles commuting into Phoenix or Tucson.

There are many more Arizona electric car tax credits and incentives, be sure to check out the other state and utility advantages with EV models.

Federal Tax Credits

While you’re sure to find a benefit of an efficient vehicle with the Arizona EV tax credits, you can also find savings on your Surprise commute with federal credit. Qualified plug-in hybrid and fully electric vehicles purchased new may be eligible for a federal income tax credit of up to $7,500. This can vary depending on the battery capacity used to power the vehicle and other factors.

Save on an EV Model with Avondale Nissan!

If you have questions about Arizona EV incentives, discuss your car buying options with the team in our finance center. When you are ready to find an EV model for your Avondale commutes and adventures, be sure to continue saving with a great deal in our new vehicle specials.

More from Avondale Nissan

  • Why the Nissan Frontier Is a Great Truck for Tailgating

    Whether you’re heading to an Arizona Cardinals game or meeting friends for an Arizona State tailgate, the Nissan Frontier is your tailgating companion. Here at Avondale Nissan, we are proud to share that USA Today Sports readers named the Nissan Frontier PRO-4X the number one Best Truck for Tailgating in its 2026 Readers’ Choice Awards….

  • Performance Highlights of the 2027 Nissan Z

    The 2027 Nissan Z is a sports car that blends old-school driving thrills with modern performance technology. Its rear-wheel-drive layout, twin-turbocharged power, and performance-focused chassis make every drive more engaging. Here at Avondale Nissan, our team is ready to help you explore the 2027 Nissan Z. Twin-Turbo Power Every version of the 2027 Nissan Z…

  • What is Nissan Xtronic CVT® and How Does it Work?

    Nissan is an automaker that is constantly innovating, whether it’s with powertrains, in-car connectivity, or reassuring safety features. One of its most groundbreaking innovations is the Nissan Xtronic CVT® transmission, a continuously variable transmission designed to provide smooth power delivery and support fuel efficiency. The team at Avondale Nissan explains what this transmission is and…

Saved Vehicles

You don't have any saved vehicles!

Look for this Save icon

Once you've saved some vehicles, you can view them here at any time.

Get Directions

10305 W Papago Freeway, Avondale, AZ, 85323
Avondale Nissan 33.459647, -112.284402.