Canadians gather! If you’re looking to go electric, there is an expansive program at your disposal offering varying levels of incentives for EV purchases and leases in Canada. We’ve compiled everything you need to know below, alongside an ever-growing list of vehicles that qualify.
Table of contents
EV incentives remain available in Canada
As a US-born citizen, much of my coverage of incentives in the past has pertained to my native country. However, a reader recently pointed out that a Canada-centric version of my long-running list of available US tax incentives would be welcomed by consumers up north as well.
My deepest apologies, Canada – I had no intention of leaving you in the dark for this long. As many of you are probably aware, there are purchase incentives for EVs available to consumers in Canada that are currently much more abundant (and easier to qualify for) than current US credits.
Good on you, Canada, and all the more reason to take advantage of the nation’s Incentives for Zero-Emission Vehicles (iZEV) Program. Below, you will find the details of the incentive program itself, how a given vehicle can or cannot qualify, and how you yourself can take advantage of the deals for going electric.
Lastly, we have compiled the current and up-to-date list of vehicles that qualify for purchase incentives per Transport Canada. Let’s begin with the program itself.
How the Incentives for Zero-Emission Vehicles (iZEV) Program works
Like all government-regulated programs, there is a lot of legal jargon and red tape to navigate through. Sometimes you just want to know what qualifies and what doesn’t.
Luckily for consumers up north, Canada’s iZEV program is relatively straightforward, and the government does a wonderful job of explaining it. Per Transport Canada:
The iZEV Program offers point-of-sale incentives for consumers (subject to funding availability) who buy or lease a ZEV vehicle. Only the vehicles listed on our website are eligible for an incentive when they’re purchased or leased for at least 12 months, on or after the eligibility date.
What types of EV incentives are available in Canada?
In total, there are three different types of electric vehicles that currently qualify for some level of incentives in Canada. From there, plug-in hybrids are divided one step further based on the all-electric range their batteries can deliver. Here’s how the incentive amounts currently breakdown:
Battery-electric (BEV), hydrogen fuel cell (FCEV), and longer-range plug-in hybrid vehicles (PHEV) are eligible for up to $5,000CAD.
To qualify as “longer range plug-ins,” the vehicles must have an electric range equal to or greater than 50 km.
Shorter-range plug-in hybrid electric vehicles are eligible for up to $2,500CAD.
Shorter-range plug-in vehicles have an electric range under 50 kilometers.
Ford Mustang Mach-E (Source: Ford)
What electric vehicles qualify for incentives in Canada?
In Canada, a slew of all-electric and plug-in hybrid electric vehicles qualify for at least some amount of incentives as long as they meet the qualifications laid out by Transport Canada. For example, each vehicle must meet all of the country’s Motor Vehicle Safety Standards.
Additionally, each qualifying vehicle must be built for driving on public streets, roads, and highways (no low-speed vehicles). The vehicle must also have at least four functioning wheels. Sorry, Aptera.
Qualifying vehicle types are split into two separate groups, which qualify for their own respective purchase incentives based on price:
A passenger car, where the base model manufacturer’s suggested retail price (MSRP) is less than $55,000CAD.
Higher-priced trims of those EVs may also qualify for purchase incentives in Canada for a maximum MSRP of $65,000CAD.
A station wagon, pickup truck (light truck), SUV, minivan, van, or special purpose vehicle, where the base model MSRP is less than $60,000 CAD.
Higher-priced trims of these vehicles are also eligible for purchase incentives for MSRPs up to $70,000 CADmaximum.
Per Transport Canada, here are other terms zero-emission vehicles must follow as part of the incentive program:
Only new vehicles are eligible for the federal incentive (EVs that haven’t been plated before).
Eligible ZEVs that were previously demo vehicles used for test drives are considered new vehicles and are eligible for the incentive as long as the odometer reads less than 10,000 kilometers.
Incentives can be applied to eligible ZEVs leased for at least 12 months but will be prorated based on any lease length of less than 48 months.
For example, a 48-month lease is eligible for the full incentive, while a vehicle with a 24-month lease will be eligible for half the incentive. (See table below.)
Vehicles are still eligible for the incentive even if delivery, freight, and other fees (like exterior color, add-ons, accessories, and packages) push the actual purchase price over these set limits.
As long as a given EV’s make, model, trim and year appears on Transport Canada’s list of eligible vehicles, an incentive can be awarded.
We have compiled those qualifying lists for you below.
Qualifying battery electric vehicles (BEVs)
As promised, here are the current battery electric vehicles (BEVs) that qualify for purchase incentives per Transport Canada. We will ensure this list is updated regularly so you’re getting the most up-to-date details.
Note: All incentive amounts are in Canadian dollars.
Make, Model, Year(s)
Incentive for Full Purchase / 48–Month Lease
36-Month Lease
24-Month Lease
12-Month Lease
AUDI
Q4 e-tron Quattro (2022)
$5,000
$3,750
$2,500
$1,250
Q4 50 e-tronQuattro (2023)
$5,000
$3,750
$2,500
$1,250
BMW
i3 s (2018-2021)
$5,000
$3,750
$2,500
$1,250
i4 eDrive40 (2022-2023)
$5,000
$3,750
$2,500
$1,250
i4 eDrive34 (2023)
$5,000
$3,750
$2,500
$1,250
CHEVROLET (GM)
Bolt LT/2LT/Premier/2LZ (2018-2021)
$5,000
$3,750
$2,500
$1,250
Bolt LT (2022)
$5,000
$3,750
$2,500
$1,250
Bolt EV LT (2023)
$5,000
$3,750
$2,500
$1,250
Bolt EUV LT/Premier (2022-2023)
$5,000
$3,750
$2,500
$1,250
FORD
Focus Electric (2018)
$5,000
$3,750
$2,500
$1,250
Mustang Mach-E (all trims) (2022-2023)
$5,000
$3,750
$2,500
$1,250
HYUNDAI
IONIQ 5 (2023) Preferred/ Preferred Long Range/ Preferred AWD Long Range
$5,000
$3,750
$2,500
$1,250
IONIQ 5 (2022) Essential/Preferred/Preferred Long Range/Preferred AWD Long Range
$5,000
$3,750
$2,500
$1,250
IONIQ 6 (2023) Preferred RWD Long Range/ Preferred AWD Long Range
$5,000
$3,750
$2,500
$1,250
Kona Electric Preferred/Preferred (2-tone)/ Ultimate (2022-2023)
$5,000
$3,750
$2,500
$1,250
Kona Electric Essential/Preferred/ Preferred (2-tone)/ Ultimate (2020-2021)
$5,000
$3,750
$2,500
$1,250
Kona Electric Essential/Preferred/ Preferred (2-tone)/ Ultimate (2020-2021)
$5,000
$3,750
$2,500
$1,250
Kona Electric Preferred/Ultimate (2019)
$5,000
$3,750
$2,500
$1,250
Ioniq Electric Preferred/Ultimate (2019-2021)
$5,000
$3,750
$2,500
$1,250
Ioniq Electric SE/SE CCP/Limited (2017-2018)
$5,000
$3,750
$2,500
$1,250
KIA
EV6 RWD Standard Range/RWD Long Range/AWD Long Range (2022-2023)
$5,000
$3,750
$2,500
$1,250
Niro EV Premium/Premium+/Limited (2023)
$5,000
$3,750
$2,500
$1,250
Niro EV EX/EX+/SX Touring (2021-2022)
$5,000
$3,750
$2,500
$1,250
Niro EV EX/SX Touring (2019-2020)
$5,000
$3,750
$2,500
$1,250
Soul EV Premium/Limited (2021-2023)
$5,000
$3,750
$2,500
$1,250
Soul EV Luxury/Luxury Sunroof/ Premium/Limited (2017-2020)
$5,000
$3,750
$2,500
$1,250
MINI
Cooper SE Base/Premier Line 2.0/Premier+ Line 2.0 (2024)
$5,000
$3,750
$2,500
$1,250
Cooper SE 3 Door/Hatch (2022-2023)
$5,000
$3,750
$2,500
$1,250
Cooper SE 3 Door Classic/Premier/ Premier+ (2020-2021)
$5,000
$3,750
$2,500
$1,250
MAZDA
MX-30 GS/GT (2022-2023)
$5,000
$3,750
$2,500
$1,250
MITSUBISHI
i-MiEV (2017)
$5,000
$3,750
$2,500
$1,250
NISSAN
Ariya (all trims) (2023)
$5,000
$3,750
$2,500
$1,250
LEAF SV/SV Plus/SL Plus (2023)
$5,000
$3,750
$2,500
$1,250
LEAF SV/S Plus/SV Plus/SL Plus (2021-2022)
$5,000
$3,750
$2,500
$1,250
LEAF S/SV/S Plus/SV Plus/SL Plus (2020)
$5,000
$3,750
$2,500
$1,250
LEAF S/SV/SL/S Plus/SV Plus/SL Plus (2018-2019)
$5,000
$3,750
$2,500
$1,250
POLESTAR
2 Long Range Single Motor/Long Range Dual Motor (2023-2023)
$5,000
$3,750
$2,500
$1,250
smart
EQ fortwo cabriolet (2018-2019)
$5,000
$3,750
$2,500
$1,250
EQ fortwo coupe (2018-2019)
$5,000
$3,750
$2,500
$1,250
fortwo electric drive coupe (2017-2018)
$5,000
$3,750
$2,500
$1,250
fortwo electric drive coupe (2017-2018)
$5,000
$3,750
$2,500
$1,250
SUBARU
Solterra AWD (2023)
$5,000
$3,750
$2,500
$1,250
TESLA
Model 3 RWD (2023)
$5,000
$3,750
$2,500
$1,250
Model Y RWD/Long Range AWD (2023)
$5,000
$3,750
$2,500
$1,250
TOYOTA
bZ4X L FWD/LE FWD/XLE AWD (2023)
$5,000
$3,750
$2,500
$1,250
VOLKSWAGEN
ID.4 RWD/Pro RWD/Pro AWD (2023)
$5,000
$3,750
$2,500
$1,250
ID.4 Pro/Pro AWD (2021-2022)
$5,000
$3,750
$2,500
$1,250
e-Golf Comfortline (2017-2020)
$5,000
$3,750
$2,500
$1,250
VOLVO
C40 Recharge (2023)
$5,000
$3,750
$2,500
$1,250
XC40 Recharge (2022-2023)
$5,000
$3,750
$2,500
$1,250
Last updated May 11, 2023.
The Hyundai IONIQ 6 / Credit: Hyundai North America
Plenty of plug-in hybrid electric vehicles (PHEVs) also qualify
Whereas battery EVs all qualify for up to $5,000 in incentives in Canada, PHEVs are a bit trickier and vary in eligible amounts based on a number of factors, including the make, model, and trim. Still, many models qualify for at least some level of purchase incentives and are worth checking.
Here are electrified models which currently qualify in Canada:
How long will incentives from Canada’s iZEV Program be available?
The Incentives for Zero-Emission Vehicles (iZEV) Program is continuing until March 31, 2025 (or until available funding is exhausted).
How much money does the EV purchase incentive offer in Canada?
That number varies based on a number of factors. Simply put, any vehicle that meets Canada’s criteria outlined above can qualify for at least $625 and can go as high as $5,000.
How do I receive Canada’s ZEV incentive?
The incentive is applied at the point of sale by the dealership when you purchase your brand-new EV. It will appear directly on the bill of sale or lease agreement on eligible ZEVs on, or after, the eligibility date.
Note: The dealer must apply taxes and fees to the purchase or lease before applying the incentive and must submit the proper documentation to be reimbursed for the incentive provided to you, the consumer.
Can my vehicle purchase also qualify for provincial or territorial incentives?
Yes. In addition to the federal incentive program, your EV purchase may also qualify for any additional incentives offered in your given province or territory in Canada.
Can I use a tax write-off for my ZEV purchase if I receive a federal incentive?
No. It must be one or the other. Budget 2019 provided a separate tax write-off for zero-emission vehicles to support business adoption. For more information on tax write-offs for electric vehicles, contact the Canada Revenue Agency at 1-800-959-5525.
Can I qualify for federal incentives for more than one EV purchase?
Depends. Canadian individuals are eligible for one incentive under this program per calendar year. Businesses or provincial/territorial and municipal governments operating fleets are eligible for up to 10 incentives under the iZEV program per calendar year.
How do Canada’s federal EV incentives compare to the United States?
Great question. Currently, more electric vehicles in Canada qualify for incentives, but it’s a lot of the same vehicles. Qualifying terms also vary with neighbors to the south following the signing of the Inflation Reduction Act by President Biden in the summer of 2022. You can check out the US’ current federal tax credits for EVs here.
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The company is “here to finish what we started,” CEO David Ellison told CNBC, upping the ante with a $30-per-share, all-cash offer compared to Netflix’s $27.75-per-share, cash-and-stock offer for WBD’s streaming and studio assets.
Investors were certainly pleased, sending Paramount shares 9% higher and WBD’s stock up 4.4%.
Another development that traders cheered was U.S. President Donald Trump permitting Nvidia to export its more advanced H200 artificial intelligence chips to “approved customers” in China and other countries — so long as some of that money flows back to the U.S. Nvidia shares rose about 2% in extended trading.
Major U.S. indexes, however, fell overnight, as investors awaited the Federal Reserve’s final rate-setting meeting of the year on Wednesday stateside. Markets are expecting a nearly 90% chance of a quarter-point cut, according to the CME FedWatch tool.
Rate-cut hopes have buoyed stocks. “The market action you’ve seen the last one or two weeks is kind of essentially baking in the very high likelihood of a 25 basis point cut,” said Stephen Kolano, chief investment officer at Integrated Partners.
But that means a potential downside is deeper if things don’t go as expected.
“For some very unlikely reason, if they don’t cut, forget it. I think markets are down 2% to 3%,” Kolano added.
In that case, investors will be waiting, impatiently, for the Fed meeting next year — hoping for a more satisfying conclusion.
What you need to know today
And finally…
People walk past the New York Stock Exchange in New York City, U.S., April 4, 2025.
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The spiritual successor to the beloved Chevy Geo Tracker, production of the new-for-2026 electric Spark EUV has officially begun in Brazil with more than 200 miles of range.
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2026 Chevy Spark EUV
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Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisors to help you every step of the way. Get started here.
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