Program Overview
Personal and business refundable state tax credit for home and commercial electric vehicle chargers in New Mexico. If your tax credit is greater than your tax liability, you’ll receive the difference as a tax refund.
Who is eligible?
- All New Mexican taxpayers are eligible for this program
- List of eligible chargers include:
- A Level 1 or Level 2 electric vehicle charger for an EV or plug-in hybrid EV.
- A Level 3 direct current fast charger that provides at least 40 kW to 50 kW of direct current electrical power for an EV.
- A fuel cell charging unit dispensing liquefied or compressed hydrogen.
What is offered?
Receive up to:
- $25,000 or the full cost (whichever is less) for a direct current fast charger or fuel cell charger.
- $400 or the full cost (whichever is less) for a Level 1 or Level 2 EV charger.
How can I apply?
- Apply for a Certificate of Eligibility from the New Mexico Energy, Minerals and Natural Resources Department (EMNRD) within one year of purchase or installation.
- If approved, EMNRD will issue a certificate stating the credit amount and eligible tax years.
- Attach Form TRD-41421 to your state Personal Income Tax (PIT) or Corporate Income Tax (CIT) return.
- To claim tax credits using this program, the charging unit has to be purchased and installed in New Mexico before January 1, 2030.
Required Documents
An application for a Clean Car Charging Unit tax credit must contain the following information as attachments:
- Proof of clean car charging unit purchase.
- Post-installation digital photo of the operating clean car charging unit.
- Clean car charging unit specification sheet containing:
- For an electrical charging unit: connector type(s), plug type(s), manufacturer, model, serial number, voltage, charging unit amperage, electric vehicle charging unit capability, and whether the electrical current is alternating or direct.
- For a fuel cell charging unit: technical specifications on the fuel dispensing unit and fuel storage system, including operational pressures of the fuel cell charging unit.
- The specification sheet must match the charging unit submitted for the tax credit.
- A copy of any applicable building code authority inspections, including permit number, issuance date, and date of inspection, noted on a physical form, or a photo of inspection sticker or a web-based report approved by the applicable building code authority, or similar document if applicable.
How to Claim
Once you receive your Certificate of Eligibility from the Energy, Minerals, and Natural Resources Department (EMNRD), you can submit your claim for the Clean Car Charging Unit Tax Credit through the New Mexico Taxation and Revenue Department (TRD).
To claim the credit, you must:
- Attach a completed Form TRD41421 (Clean Car Charging Unit Tax Credit Claim Form).
- Submit it with the tax return for the program on which you are claiming the credit.
File through the Taxpayer Access Point (TAP) if you prefer electronic filing: https://tap.state.nm.us/tap. Or mail documents to:
Business Credit Claims Processing Unit
P.O. Box 5418
Santa Fe, NM 875025418
Need Help?
You can contact the New Mexico Taxation and Revenue Department:
- Website: www.tax.newmexico.gov
- Email: businesscredit.mgr@tax.nm.gov
- Phone: (505) 8270792
Frequently Asked Questions: Clean Car and Charging Units Tax Credit
1. What is the Clean Car/Charging Unit Tax Credit?
This tax credit is a personal and business income tax credit for electric vehicles, plug-in hybrid electric vehicles and other zero-emission vehicles, as well as for home and commercial electric vehicle chargers.
2. What chargers are eligible?
Each level of charging offers different charging speeds and convenience, catering to various use cases and requirements of EV owners. When considering an EV charger for home or business use, it’s essential to assess your charging needs, available electrical infrastructure, and budget to choose the most suitable option. Here is an overview of the different levels of EV chargers:
Level 1: Chargers are eligible for the Clean Car Charging Unit Tax Credit:
Level 1 chargers use a standard 120-volt AC outlet, typically found in residential settings. These chargers are slow, inexpensive or free to install and can be convenient for overnight charging or in situations where faster charging isn’t necessary. Level 1 chargers typically deliver around 2 to 5 miles of range per hour of charging, depending on the vehicle’s battery capacity.
Level 2: Chargers are eligible for the Clean Car Charging Unit Tax Credit:
Level 2 chargers use a 240-volt AC outlet and are faster than Level 1, making them suitable for home charging and some public charging stations. Level 2 chargers typically deliver around 10 to 60 miles of range per hour of charging, depending on the charger’s power output and the vehicle’s capabilities. They are commonly found in residential garages, workplaces, and public charging stations.
Level 3: Charging (DC Fast Charging or DC Quick Charging) are eligible for the Clean Car Charging Unit Tax Credit:
Level 3 chargers use direct current (DC) and are significantly faster than Level 1 and Level 2 chargers. They are primarily installed in public charging stations along highways, at rest stops, or in commercial areas. Level 3 chargers can deliver high power and charge EV batteries to 80% or more in under an hour, making them suitable for long-distance travel. However, Level 3 chargers require special equipment, a special connection to the electrical grid, and are more expensive to install than Level 1 and Level 2 chargers.
3. How much are the tax credits for chargers?
Charging Unit:
| Charging unit type | Amount |
| Direct current fast charger | $ 25,000.00 |
| Fuel cell charging unit | $ 25,000.00 |
| Other electric vehicle charging units (e.g. Level 2) | $ 400.00 |
4. Who is eligible to receive the EV tax credit?
Vehicles:
Taxpayers who are not dependents of another individual and who purchase or lease (for at least three years) an electric, plug-in hybrid electric, or fuel cell motor vehicle are eligible.
Please note: to qualify for the tax credit, a person must have purchased the EV (new or used) through a dealer licensed by the New Mexico Motor Vehicle Division, or a dealer located on tribal land within New Mexico. You cannot get the credit if you purchase the car from another individual.
Chargers:
The program offers a tax credit toward the purchase and installation of qualifying electric vehicle charging equipment, and for the installation of charging units connected to electric facilities needed to serve their electric vehicle charging equipment. (Note: Level 3 charging units must be installed by a licensed electrician and connected to a utility network).
5. When are the tax credits available?
Vehicles and chargers purchased on or between May 15, 2024 through December 31, 2029, are eligible.
6. How do I get the tax credit?
- Once you receive your Certificate of Eligibility from the Energy, Minerals, and Natural Resources Department (EMNRD), you can submit your claim for the Clean Car Charging Unit Tax Credit through the New Mexico Taxation and Revenue Department (TRD).
📝 What You Need to File
To claim the credit, you must:
- Attach a completed Form TRD41421 (Clean Car Charging Unit Tax Credit Claim Form)
- Submit it with the tax return for the program on which you are claiming the credit
- File through the Taxpayer Access Point (TAP) if you prefer electronic filing: https://tap.state.nm.us/tap
📬 Where to Send Documents (if mailing)
Business Credit Claims Processing Unit P.O. Box 5418 Santa Fe, NM 875025418
📞 Need Help?
You can contact the New Mexico Taxation and Revenue Department:
- Website: www.tax.newmexico.gov
- Email: businesscredit.mgr@tax.nm.gov
- Phone: (505) 8270792
7. Is this a point-of-sale rebate?
No. This is not an instant rebate, rather a tax credit incentive.
8. What if the credit is higher than the amount of tax I owe? Are the credits available in cash, or transferable?
Excess tax credits can be refunded to the taxpayer if they exceed their income tax liability. Additionally, Clean Car Tax Credit certificates of eligibility can be sold, exchanged, or transferred to others, with notification required to the Taxation and Revenue Department within ten days of the transaction.