July 10, 2025 10:39 AM UTC

Snap Up Those Cheap EVs While You Can, Colorado

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• by: Colorado Pols

As Colorado Public Radio’s Sam Brasch reports, thanks to the passage of the “We’re All Going To Die Act” Republican budget bill, generous federal tax credits to incentivize the purchase of all-electric cars are going away this coming October–years before their original sunset in 2032. Combined with state tax credits also facing cuts due to sagging revenues, the next two and a half months are set to feature the best deal you’ll get on an EV for a number of years in the future:

Due to President Trump’s recently signed budget bill, federal EV incentives are set to disappear in less than three months. Those cuts come as Colorado also prepares to cut its EV rebates, which offer steep discounts for car buyers and put the state in competition with California for the title of the nation’s top EV market…

President Trump’s budget bill scraps both the federal incentive for new vehicles — worth up to $7,500 — and the tax credit to offset the cost of a used EV — worth $4,000. Both benefits were previously scheduled to sunset at the end of 2032.

Colorado’s generous incentives are also on the decline. At the beginning of the year, the state EV tax credit dropped from $5,000 to $3,500 for a new car with a retail price below $80,000. The state EV tax credit was already scheduled to drop to $1,500 starting in 2026.

The latest budget forecasts call for that tax credit to drop even more beginning next year, though other state credits will reportedly remain available–assuming they aren’t also cut as the state deals with the widespread fiscal ramifications of the federal budget bill.

In the meantime, and full disclosure we’re not being paid anything for the plug, new EVs are in some cases the cheapest new cars available factoring the currently available incentives. A Denver-area dealership is selling brand-new Nissan Leafs for less than $16,000 after all discounts are applied, which is thousands less than Nissan’s cheapest gas-powered model. If you want something bigger, a Chevrolet Equinox EV SUV can be had for around $20,000 after the current federal and state credit. If you’ve ever thought about a second car for your daily commuter, or are ready to take the plunge into full EV living, you’re not going to see these prices again until either a regime change in the United States restores the credits or EVs substantially drop in price years down the road.

In the long run, it’s shortsighted policy that will worsen air pollution and negatively offset other efforts to reduce greenhouse gas emissions. For the next couple of months, though, it’s a final chance to save thousands on what was once and hopefully will one day be again a national priority.

And yes, this applies to Teslas too, a big part of why the Donald Trump/Elon Musk bromance is no more.

But that particular brand may not benefit as much from the rush.