Electric Vehicle Tax Exemption

P.L. 2024, c. 19 repeals the Sales and Use Tax exemption on sales, leases, and rentals of zero emission vehicles (ZEVs). Beginning October 1, 2024, sales of ZEVs are subject to tax, and the exemption will be increased to 50% of the full rate for nine months. Then increasing to the full 6.625% on July 1, 2025.The New Jersey Sales and Use Tax Act provides an exemption from sales and use tax for people who sell, rent, or lease a new or used zero emission vehicle on or after May 1, 2004. To qualify, vehicles must be certified pursuant to the California Air Resources Board zero emission standards for the model year.