Maryland offers a $3,000 excise tax credit on a new electric vehicle. It is a refund check paid after titling, and the money has run out in each of the last three years.
The Maryland credit is a refund check from the MVA, not a discount at the dealer. MVA says customers can expect it about 4 to 6 weeks after it receives all the documents, and only while funding lasts.
MVA reported $2,200,000 in credits still available for fiscal year 2027 as of October 1, 2026. We found no later figure. In each of the last three fiscal years MVA announced that the money had run out (February 12, 2024, August 20, 2024 and August 12, 2025) and put applicants on waiting lists with no guarantee of payment.
If you are buying a car, plan your budget without the credit, and ask the dealer to submit the paperwork right away. Check the latest MVA funding bulletin before you decide.
Realistic best case today: a buyer of a new electric car with a base price of $50,000 or less, whose application is processed while money remains, receives $3,000 by check a few weeks after titling, plus up to $700 toward a home Level 2 charger. If the money runs out first, the application may go on a waiting list and payment is not guaranteed.
The credit is set by Maryland law (Transportation Article, section 13-815) and run by the Motor Vehicle Administration. It is called an excise tax credit because it relates to the vehicle excise (titling) tax, but it is paid as a $3,000 refund and is available only while the state has money set aside for it.
| Vehicle | Credit |
|---|---|
| New zero-emission passenger vehicle (battery-electric or fuel-cell) | $3,000 |
| New two-wheeled electric motorcycle | $1,000 |
| New three-wheeled electric motorcycle or autocycle | $2,000 |
Charger money is separate from the vehicle credit. With the federal charger credit gone, the state rebate is the main help with a home charger in Maryland.
The Maryland Energy Administration also runs Community EVSE grants, but those are for businesses, nonprofits and local governments, not for individual home chargers.
| Item | What applies |
|---|---|
| Vehicle excise (titling) tax | 6.5% of the total purchase price for most vehicles since July 1, 2025, per an MVA bulletin dated April 23, 2026 |
| Annual EV registration surcharge | An annual surcharge applies to electric and plug-in hybrid vehicles for registrations expiring from January 2025. The figures posted were $125 for a battery-electric vehicle and $100 for a plug-in hybrid. The law requires inflation adjustments, so confirm the amount on your renewal notice |
| Mileage-based fee | None. A 2026 bill to replace the surcharge with a highway-use fee did not pass |
| HOV lanes | The permit program for EVs and plug-in hybrids ended September 30, 2025, and old permits can no longer be used |
The federal EV tax credits expired September 30, 2025 under the One Big Beautiful Bill Act — the $7,500 new EV credit (30D), the $4,000 used EV credit (25E) and the commercial credit (45W). The 30C home charger credit followed on June 30, 2026.
If you signed a binding written contract and made a qualifying payment on or before September 30, 2025, you may still claim the vehicle credit on the return for the year you take delivery (2025 or 2026), using IRS Form 8936, provided the dealer filed a time-of-sale report. Chargers placed in service on or before June 30, 2026 can still be claimed on Form 8911.
One deduction does survive: the OBBBA auto loan interest deduction allows up to $10,000 a year of interest on qualifying new vehicle loans through 2028, for American-made vehicles bought with financing. It shrinks by $200 for every $1,000 of income above $100,000 ($200,000 joint), and cash buyers do not qualify.
Run the numbers without the credit first, then see what changes if the refund arrives.
Last Updated: November 7, 2026 | Sources: Maryland MVA, Maryland Energy Administration, SMECO, BGE, Pepco, Delmarva Power and Potomac Edison (as reported), Maryland General Assembly
Incentive data compiled from official sources. Programs change frequently — always verify before purchasing. Verify with official sources before purchasing.