WASHINGTON — A federal tax credit that helps homeowners and businesses offset the cost of installing electric vehicle charging equipment is scheduled to expire on June 30 under current U.S. law, prompting industry groups and consumers to prepare for the end of one of the last remaining federal incentives tied to EV charging infrastructure.
The incentive, known as the Alternative Fuel Vehicle Refueling Property Credit under Section 30C of the Internal Revenue Code, provides a tax credit equal to 30% of eligible installation costs, subject to statutory limits. Under legislation enacted in 2025, the credit is no longer available for charging equipment placed in service after June 30, 2026, shortening a timeline that had previously extended into the next decade.
The credit applies to both residential and commercial charging installations, although eligibility requirements vary. According to tax guidance and industry summaries, residential installations generally qualify for a credit of up to $1,000, while larger commercial projects may be eligible for higher amounts subject to federal rules. Charging equipment must be operational before the deadline to qualify; ordering equipment or signing a contract alone is not sufficient.
The incentive has been subject to geographic restrictions since revisions made under the Inflation Reduction Act. Federal rules require eligible installations to be located in qualifying low-income or non-urban census tracts. Tax advisers and industry organizations have urged consumers to verify eligibility before proceeding with projects.
“The property must be installed and operational by June 30, 2026,” according to guidance published by organizations tracking the credit and its implementation. Industry groups have noted that installation schedules may become tighter as the deadline approaches.
The expiration follows broader changes to federal electric vehicle incentives enacted over the past year. Several federal tax credits for the purchase of new and used electric vehicles ended in 2025, leaving the charging-equipment credit as one of the remaining federal incentives available in 2026.
Supporters of the credit have said it helped reduce the cost of home and workplace charging infrastructure and encouraged EV adoption. Critics of federal EV subsidies have argued that the market should operate without long-term government incentives. Congress has not approved legislation extending the credit, and publicly available legislative proposals to do so were not immediately identified.
As of June 17, the credit remains available for qualifying installations placed in service before the statutory deadline. Federal agencies have not announced any extension, and the incentive is set to expire at the end of the month unless Congress changes the law.
