Oklahoma EV incentives, tax credits and rebates

Current EV incentives in Oklahoma

Before you dive into the potential savings Oklahoma residents can expect when buying a new plug-in electric vehicle (EV), it’s important to note that there are generally two main types of EV incentives: one for the purchase of vehicles — new or used — and another for acquiring home charging equipment.

In each case, buyers get to save money in the form of a financial incentive, like an income tax credit or a rebate. While the federal tax credits are the same across the entire U.S., state incentives vary from one state to another. There are about 33 states that have actual EV incentives, and residents can combine the state incentives with the federal tax credits to achieve significant savings; Oklahoma is among those states.

Electric vehicle purchase incentives in Oklahoma

Eligible Oklahoma residents can qualify for a total of three EV tax credits in 2024, two of which are funded by the U.S. federal government and a third courtesy of the state government. Oklahoma encourages residents to buy new battery-electric and plug-in hybrid vehicles by offering a one-time personal tax credit of up to $5,500 for passenger cars.

That’s in addition to federal tax credits of up to $7,500 per eligible vehicle, which means you can save up to $13,000 on a brand-new EV — assuming the vehicle qualifies for the maximum federal tax credit, like the 2024 Tesla Model Y Long Range RWD we used as an example in the table included at the bottom of this page.

As the table above shows, Oklahoma also offers tax credits for medium-duty and heavy-duty electric vehicles. But can you get a $9,000 state incentive when purchasing a GMC Hummer EV SUV or pickup? Not really. While the Hummer EV is classified as a Class 3 medium-duty truck because it weighs over 9,000 pounds, it exceeds the $80,000 price limit for trucks and SUVs, so it’s not eligible for any state or federal EV incentives.

As a reminder, state incentives can be stacked with federal tax credits, which have been significantly overhauled for 2024. The biggest change is the fact that the tax credits for EVs can be handed over at the point of sale as of Jan. 1, 2024, effectively turning the tax credit into an instant discount when you buy a qualifying vehicle.

Still, you need to make sure that your dealer has registered for the program to benefit from the point-of-sale rebate.

You should also know that both you and the EV on your shortlist must meet certain criteria to be eligible for the federal tax credit.

In the case of taxpayers, the most important are the adjusted gross income (AGI) limits of $150,000 for single filers, $225,000 for head of household and $300,000 for joint filers. If you are looking to take advantage of the used EV tax credit, the income limits are halved for each category: $75,000 for single filers, $112,500 for head of household and $150,000 for joint filers.

As for eligible vehicles, they must undergo the final assembly in North America, have a battery capacity of at least 7 kilowatt-hours (kWh) and a gross vehicle weight rating (GVWR) of less than 14,000 pounds. In addition, they must be made by a qualified manufacturer.

Mind you, those are just the basic requirements. A vehicle’s manufacturer suggested retail price (MSRP) can't exceed $80,000 for vans, sport utility vehicles and pickup trucks or $55,000 for other vehicles (such as sedans and hatchbacks, for example).

And then you have the requirements for the sourcing of critical minerals and battery components. If a vehicle meets both sourcing requirements, it may be eligible for the full $7,500 credit; if it meets only one of these sourcing requirements, it may be eligible for a credit of $3,750. A vehicle that doesn’t meet either requirement will not be eligible for a credit.

You can check out the full list of qualifying battery electric and plug-in hybrid vehicles on the U.S. Department of Energy site.

» LEARN: What are tax credits?

EV charging equipment incentives in Oklahoma

Oklahoma does not offer state government incentives for EV charging equipment, but you can access two residential efficiency rebate programs through local utility companies PSO and Verdigris Valley Electric Cooperative.

The former offers up to $250 for the purchase of an Energy Star-certified Level 2 smart electric vehicle charger, while the latter offers the same amount for a Level 2 charger — with a limit of two units per address.

These utility-provided EV charger incentives can be combined with the Alternative Fuel Vehicle Refueling Property Tax Credit provided by the federal government. Eligible customers can qualify for up to 30% of the cost of a Level 2 EV charger, but the amount cannot be higher than $1,000.

How much can EV incentives save you in Oklahoma?

While we cannot provide an accurate estimate of how much every reader can save when purchasing an EV and/or an EV charger in Oklahoma, we believe that some concrete examples will help you get an idea of the savings available in this state.

For this, we chose the best-selling new EV in the U.S., the 2024 Tesla Model Y, in base Long Range real-wheel-drive form, and one of the best-selling used EVs in the country, the Chevrolet Bolt EV.

As you can see in the table below, the savings are substantial, although it’s worth noting that Oklahoma does not have a state incentive program for used electric vehicles; thankfully, you can still benefit from the federal program offering rebates of up to $4,000 when purchasing a used EV.

Example savings