Vehicle Purchaser Eligibility

Can a non-New York State (NYS) resident receive the Charge NY Drive Clean Rebate if they purchase an eligible vehicle from a NYS dealer?

No. The vehicle purchaser must be a NYS resident.         

If the vehicle purchaser has residence in two states, does the vehicle have to be registered in NYS?

The vehicle must be registered in NYS. The vehicle purchaser must also be a resident of NYS.

We have many customers that spend the winters in a warmer state. How do we determine residency?

The primary means for determining residency is a NYS Driver License with a NYS address. Individuals who do not have a NYS Driver License with a New York address will be required to provide a legible copy of an alternate form of proof of residency: a NYS Non-Driver ID card, NYS Interim License or Permit, a utility or cable bill from within the last 3 months, a copy of the current NYS DMV registration of another vehicle in the name of the purchaser or lessee, a signed, dated, and notarized residential rental agreement, property deed, proof of current mortgage, military orders that are still in effect, voter registration notification card issued within one year, or other valid form of NYS residency as approved by NYSERDA. All documentation must be current (non-expired), must be in the name of the individual purchasing or leasing the vehicle, and must list a NYS address.

Non-individuals must affirm that they intend to domicile the vehicle in NYS and list the NYS address for the vehicle on the Vehicle Purchaser Terms and Conditions form.

What happens if the driver’s license does not match the customer’s address because they moved? What additional documents can be required?

Individuals whose Driver License address does not match their current address will be required to provide a legible copy of an alternate form of proof of residency: a NYS Non-Driver ID card, NYS Interim License or Permit, a utility or cable bill from within the last 3 months, a copy of the current NYS DMV registration of another vehicle in the name of the purchaser or lessee, a signed, dated, and notarized residential rental agreement, property deed, proof of current mortgage, military orders that are still in effect, voter registration notification card issued within one year, or other valid form of NYS residency as approved by NYSERDA. All documentation must be current (non-expired), must be in the name of the individual purchasing or leasing the vehicle, and must list a NYS address.

Are private businesses or commercial fleets eligible for the rebate?

Yes, businesses and fleets that operate in NYS and domicile the vehicle in NYS are eligible for the rebate.

Will NYS municipality be eligible for the rebate?

Yes, municipalities in New York are eligible to receive the rebate. They can receive it in addition to the municipal rebate offered by NYSDEC.

Are non-profit and tax exempt entities eligible for the rebate?

Yes, non-profit and tax exempt entities are eligible for the rebate.

Will taxi services and other commercial enterprises be included in this rebate?

Yes. To be eligible, businesses must be registered/licensed to do business in NYS. They must also affirm that they intend to domicile the vehicle in NYS.

Vehicle Eligibility

Do EV leases qualify for the rebate?

Yes, leases qualify if the initial lease is for a duration of 36 months or longer.

Will a dealer loaner car that is registered to a dealer be eligible for the rebate?

Registered dealer loaner vehicles may be eligible under the floor model, test drive, rollback and unwind provision if the vehicle is coming out of loaner car service and offered to an eligible consumer for purchase or lease. The original vehicle registration must be in the dealership’s name, and the vehicle must still be considered new by the vehicle manufacturer with regards to warranty provisions or for the purposes of manufacturer rebates. In addition to the documentation required for all applications, the following documentation is required: copy of the original MV-50 from when the dealer purchased the vehicle; copy of the original dealer registration; copy of the original purchase agreement from the OEM to the dealer, and written confirmation from the dealership certifying that a) the vehicle is a registered dealer loaner that is being sold or leased to a consumer and b) the vehicle is still considered new by the vehicle manufacturer for warranty provisions and for purposes of any existing manufacturer rebates.

Does the vehicle have to be purchased and invoiced to a New York dealer (as is the case with the HOV passes) or just purchased?

The vehicle must be purchased and invoiced to a NYS dealer.

Dealer Eligibility

If a dealer is located on the NYS border, are they eligible to participate in the Drive Clean Rebate initiative?

Dealers must be registered with the NYS Department of Motor Vehicles (DMV) as a new car dealer to be eligible to participate in the Charge NY Drive Clean Rebate initiative.

Dealer Enrollment

Where and when can dealers sign up to participate in the Drive Clean Rebate initiative?

Dealers can apply any time to be a participating dealer.

Is there a deadline for dealers to apply to participate in the Drive Clean Rebate initiative?

No. Dealers can apply to be a participating dealer any time.

What happens if a dealer applies to participate in the Drive Clean Rebate initiative after the launch date? How will the dealer be added to the participating dealer list?

Dealers can apply to be a participating dealer any time, including after launch. After the dealer’s application is approved, NYSERDA will add them to the participating dealer list on the public website. They will also receive access to the dealer web portal so they can begin submitting rebate applications, and they will receive marketing materials they can use to promote the rebate to their customers.

Do we need to have a qualifying vehicle in stock prior to enrollment?

No. You can apply to participate in the program without having a qualifying vehicle in stock. However, you must carry at least one eligible vehicle to offer the rebate to your customers.

If we have multiple franchises, should we enroll each franchise separately?

Yes, each franchise should be enrolled separately, even if they have the same DMV facility number and employer identification number (EIN). When you apply to participate, list the DBA for each franchise in the Business Name/Disregarded Entity Name section of the dealer application. If you do not have a separate DBA for each franchise, put a DBA that specifically identifies that franchise. For example, Dealer Inc owns a Ford and a Nissan dealership. They should apply as Dealer Inc in the legal business name, and if they do not already have a DBA for each dealership they should put Dealer Inc – Ford in the Business Name/Disregarded Entity Name section for one application and Dealer Inc – Nissan for the other.

36-Month Ownership Requirement

Are dealers liable for chargeback if a customer disposes of a rebated vehicle prior to completing their 36-month ownership requirement?

After NYSERDA approves a rebate application, dealers are not liable for a chargeback if a customer disposes of a rebated vehicle prior to 36 months of ownership/lease. Dealers are not responsible for ensuring the vehicle purchaser keeps the vehicle for 36 months. The vehicle purchaser must agree to all of the program terms and conditions at the time of the sale or lease; they are responsible for complying with this requirement.

How will the 36-month ownership requirement be enforced?

NYSERDA will enforce the 36-month ownership requirement. Dealers are not responsible for enforcing this requirement.

If a customer has a 36-month lease but is pulled forward by a factory sponsored pull ahead, would they be subject to a charge back of the rebate?

If you have a customer in this situation, have them contact Drive Clean Rebate staff to resolve their 36-month ownership requirement:

Phone: (866) 595-7917
Email: [email protected]

Taxability of Rebate

Is the rebate taxable?

NYSERDA will be issuing a 1099 for the reimbursement of the electric vehicle rebates paid to car dealerships. It may be considered taxable income by the U.S. Internal Revenue Service and the New York State Department of Taxation and Finance. It shall be the sole responsibility of the recipient to seek professional advice and determine the tax consequences of the reimbursement of this rebate.

Other guidance that may be useful for car dealerships and/or consumers would be:

• Federal incentives
• Submit a W-9 online for issuance of 1099
• NYS Sales Tax Guide for Automobile Dealers

Currently, there is a bill in the NYS Senate that may provide an electric vehicle sales tax exemption.

The rebates provided to consumers would be subject to New York State Sales Tax.