Alternative Fuel Vehicle (AFV) and Hybrid Electric Vehicle (HEV) Rebate
Expired: 03/09/2011
The Colorado Department of Revenue offers a rebate for the purchase of an AFV, HEV, or for the conversion of a vehicle to operate using an alternative fuel. Vehicles must be owned by the state, a political subdivision of the state, or a tax-exempt organization, and be used in connection with the official activities of the entity. The rebate is a percentage of the incremental cost if used toward purchasing a new vehicle, or is a percentage of the conversion cost if used towards the cost of converting a vehicle to operate using an alternative fuel. The rebate percentages are as follows:
| Category | July 1, 2010, to July 1, 2011 | July 1, 2011, to July 1, 2012 | July 1, 2012, to July 1, 2013 | July 1, 2013, to July 1, 2015 |
|---|---|---|---|---|
| 1 - Vehicle meeting Tier 2, Bin 1 federal emissions standards | 75% | 75% | 75% | 75% |
| 2 - Light-duty diesel-electric hybrid passenger vehicle with a minimum fuel economy of 70 miles per gallon (mpg) | 45% | 25% | 15% | 15% |
| 3 - Light-duty passenger vehicle, light-duty truck, or medium-duty diesel-electric truck conversion that increases original fuel economy by at least 40% AND (for 2010 and 2011) a new diesel-electric or gasoline-electric medium-duty truck hybrid with 30% greater fuel economy than a comparable vehicle | 55% | 35% | 25% | 25% |
| 4 - Light-duty passenger vehicle, light-duty truck, or medium-duty truck natural gas conversions | 55% | 35% | 25% | 25% |
| 5 - Idle reduction technologies | 25% | 25% | 25% | 25% |
| 6 - Vehicle meeting Tier 2, Bin 2 or 3 federal emissions standards, with a fuel economy of at least 40 mpg | 10% | 10% | 0% | 0% |
Each qualified entity is limited to $350,000 per state fiscal year in total rebates paid. The purchase of a used vehicle may qualify for a rebate if the prior owner of the vehicle did not previously claim a rebate or income tax credit for the vehicle. For additional information, see the Department of Revenue's General 20 FYI publication.
(Reference Colorado Revised Statutes 39-33-101 through 39-33-106)