One study has shown that electric vehicle (EV) drivers are subject to higher taxes than internal combustion engine (ICE) drivers. A report from EV Hub, revealed that EV drivers in 36 states pay more taxes than ICE vehicle drivers, creating an imbalance in the treatment of electric vehicle adopters.
The report highlights that these taxes are levied on vehicles and charging, resulting in an overall higher financial burden for EV drivers. The “EV Penalty” represents the total amount of electric-vehicle-specific taxes and fees that a driver must pay over the course of a year, compared to a driver of a gasoline-powered vehicle.
The report’s findings reveal that EV drivers in 36 states, including the District of Columbia, face higher tax burdens than drivers of gasoline-powered vehicles.
Here are the rankings of all 50 states and Washington, D.C., starting with the fewest penalties and ending with the most EV Penalties.
#51 Oregon – No Penalty State
EV drivers in Oregon do not pay an EV Penalty (surplus of fees) it is $119.49 cheaper each year.
- State Gas Tax ($/mile): $0.02
- Battery Electric Vehicle Registration Fee ($/year): $90.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#50 Rhode Island – No Penalty State
EV drivers in Rhode Island do not pay an EV Penalty (surplus of fees) it is $96.00 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#49 Delaware – No Penalty State
EV drivers in Delaware do not pay an EV Penalty (surplus of fees) it is $80.57 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#48 Connecticut – No Penalty State
EV drivers in Connecticut do not pay an EV Penalty (surplus of fees) it is $78.86 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#47 Nevada – No Penalty State
EV drivers in Nevada do not pay an EV Penalty (surplus of fees) it is $76.11 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#46 New York – No Penalty State
EV drivers in New York do not pay an EV Penalty (surplus of fees) it is $62.06 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 4.00%
- Electricity/ Utility Tax: 0.00%
#45 Alaska – No Penalty State
EV drivers in Alaska do not pay an EV Penalty (surplus of fees) it is $61.71 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#44 Hawaii – No Penalty State
EV drivers in Hawaii do not pay an EV Penalty (surplus of fees) it is $59.71 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $50.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#43 Virginia – No Penalty State
EV drivers in Virginia do not pay an EV Penalty (surplus of fees) it is $45.39 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $123.98
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#42 New Hampshire – No Penalty State
EV drivers in New Hampshire do not pay an EV Penalty (surplus of fees) it is $36.00 cheaper each year.
- State Gas Tax ($/mile): $0.00
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#41 Idaho – No Penalty State
EV drivers in Idaho do not pay an EV Penalty (surplus of fees) it is $15.66 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $140.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#40 North Dakota – No Penalty State
EV drivers in North Dakota do not pay an EV Penalty (surplus of fees) it is $12.00 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $120.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#39 Vermont – No Penalty State
EV drivers in Vermont do not pay an EV Penalty (surplus of fees) it is $10.97 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
#38 Florida – No Penalty State
EV drivers in Florida do not pay an EV Penalty (surplus of fees) it is $9.93 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 4.35%
- Electricity/ Utility Tax: 2.60%
#37 Maine – No Penalty State
EV drivers in Maine do not pay an EV Penalty (surplus of fees) it is $0.69 cheaper each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 5.50%
- Electricity/ Utility Tax: 0.00%
#36 Illinois – Penalty State
EV drivers in Illinois pay an EV Penalty (surplus of fees) of $5.84 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $95.68
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 5.00%
- Notes: Estimated weighted average fee based on EV sales. $100 fee excludes vehicles weighing >8,000 lbs.
#35 Massachusetts – Penalty State
EV drivers in Massachusetts pay an EV Penalty (surplus of fees) of $21.94 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.25%
- Electricity/ Utility Tax: 0.00%
#34 California – Penalty State
EV drivers in California pay an EV Penalty (surplus of fees) of $22.29 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $108.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#33 Arizona – Penalty State
EV drivers in Arizona pay an EV Penalty (surplus of fees) of $23.18 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 5.60%
- Electricity/ Utility Tax: 0.00%
#32 South Dakota – Penalty State
EV drivers in South Dakota pay an EV Penalty (surplus of fees) of $28.06 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $50.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 4.20%
- Electricity/ Utility Tax: 0.00%
#31 Maryland – Penalty State
EV drivers in Maryland pay an EV Penalty (surplus of fees) of $32.91 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
#30 Colorado – Penalty State
EV drivers in Colorado pay an EV Penalty (surplus of fees) of $41.72 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $62.47
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 2.90%
- Electricity/ Utility Tax: 0.00%
- Notes: Indexed annually to NHCCI.
#29 Kansas – Penalty State
EV drivers in Kansas pay an EV Penalty (surplus of fees) of $57.80 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $60.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.50%
- Electricity/ Utility Tax: 0.00%
- Notes: Flat fee of $100 for BEVs and $50 for PHEVs/HEVs compared to fees of $40/$30 for conventional vehicles over/under 4,500 lbs. Figures shown are the fee difference for an EV over 4,500 lbs compared to a conventional counterpart of the same weight.
#28 New Jersey – Penalty State
EV drivers in New Jersey pay an EV Penalty (surplus of fees) of $69.01 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.63%
- Electricity/ Utility Tax: 0.00%
#27 Pennsylvania – Penalty State
EV drivers in Pennsylvania pay an EV Penalty (surplus of fees) of $70.63 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.02
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
#26 Missouri – Penalty State
EV drivers in Missouri pay an EV Penalty (surplus of fees) of $73.07 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $105.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 4.23%
- Electricity/ Utility Tax: 0.00%
#25 Nebraska – Penalty State
EV drivers in Nebraska pay an EV Penalty (surplus of fees) of $77.54 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $75.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 5.50%
- Electricity/ Utility Tax: 0.00%
#24 South Carolina – Penalty State
EV drivers in South Carolina pay an EV Penalty (surplus of fees) of $79.20 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $60.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
#23 New Mexico – Penalty State
EV drivers in New Mexico pay an EV Penalty (surplus of fees) of $84.57 each year.
- State Gas Tax ($/mile): $0.00
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 5.00%
- Electricity/ Utility Tax: 0.00%
#22 Louisiana – Penalty State
EV drivers in Louisiana pay an EV Penalty (surplus of fees) of $92.58 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $110.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 4.45%
- Electricity/ Utility Tax: 0.00%
#21 Wisconsin – Penalty State
EV drivers in Wisconsin pay an EV Penalty (surplus of fees) of $95.14 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $100.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 5.00%
- Electricity/ Utility Tax: 0.00%
#20 District of Columbia – Penalty District
EV drivers in District of Columbia pay an EV Penalty (surplus of fees) of $101.49 each year.
- State Gas Tax ($/mile): $0.00
- Battery Electric Vehicle Registration Fee ($/year): $0.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
#19 Arkansas – Penalty State
EV drivers in Arkansas pay an EV Penalty (surplus of fees) of $126.29 each year.
- State Gas Tax ($/mile): $0.02
- Battery Electric Vehicle Registration Fee ($/year): $200.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.50%
- Electricity/ Utility Tax: 0.00%
#18 Ohio – Penalty State
EV drivers in Ohio pay an EV Penalty (surplus of fees) of $134.86 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $200.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#17 Minnesota – Penalty State
EV drivers in Minnesota pay an EV Penalty (surplus of fees) of $145.38 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $75.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.88%
- Electricity/ Utility Tax: 0.00%
#16 Iowa – Penalty State
EV drivers in Iowa pay an EV Penalty (surplus of fees) of $151.71 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $130.00
- Fee ($/kWh): $0.03
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#15 Washington – Penalty State
EV drivers in Washington pay an EV Penalty (surplus of fees) of $154.71 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $225.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
#14 Montana – Penalty State
EV drivers in Montana pay an EV Penalty (surplus of fees) of $165.10 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $144.53
- Fee ($/kWh): $0.03
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
- Notes: Estimated weighted average registration fees based on EV sales. BEV/PHEV fees are $130/$70 for vehicles under 6,000 lbs and $190/$100 for vehicles 6,000-10,000 lbs.
#13 Wyoming – Penalty State
EV drivers in Wyoming pay an EV Penalty (surplus of fees) of $166.30 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $200.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 4.00%
- Electricity/ Utility Tax: 0.00%
#12 Michigan – Penalty State
EV drivers in Michigan pay an EV Penalty (surplus of fees) of $171.74 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $154.25
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
- Notes: Estimated weighted average fees based on EV sales. BEV fees are $248/$148 for vehicles over/under 8,000 lbs.
#11 Indiana – Penalty State
EV drivers in Indiana pay an EV Penalty (surplus of fees) of $181.54 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $150.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 7.00%
- Electricity/ Utility Tax: 0.00%
#10 North Carolina – Penalty State
EV drivers in North Carolina pay an EV Penalty (surplus of fees) of $185.54 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $130.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 7.00%
- Electricity/ Utility Tax: 0.00%
#9 Oklahoma – Penalty State
EV drivers in Oklahoma pay an EV Penalty (surplus of fees) of $188.72 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $112.61
- Fee ($/kWh): $0.03
- Sales/ Use/ General Tax: 4.50%
- Electricity/ Utility Tax: 0.00%
- Notes: Estimated weighted average registration fees based on EV sales. BEV fees are $158/$110 for vehicles over/under 6,000 lbs.
#8 Texas – Penalty State
EV drivers in Texas pay an EV Penalty (surplus of fees) of $201.71 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $200.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.25%
- Electricity/ Utility Tax: 0.00%
#7 West Virginia – Penalty State
EV drivers in West Virginia pay an EV Penalty (surplus of fees) of 209.26 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $200.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
#6 Mississippi – Penalty State
EV drivers in Mississippi pay an EV Penalty (surplus of fees) of $222.40 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $172.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 7.00%
- Electricity/ Utility Tax: 0.00%
#5 Alabama – Penalty State
EV drivers in Alabama pay an EV Penalty (surplus of fees) of $234.77 each year.
- State Gas Tax ($/mile): $0.00
- Battery Electric Vehicle Registration Fee ($/year): $203.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 4.00%
- Electricity/ Utility Tax: 0.00%
#4 Tennessee – Penalty State
EV drivers in Tennessee pay an EV Penalty (surplus of fees) of $235.03 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $200.00
- Fee ($/kWh): $0.00
- Sales/ Use/ General Tax: 7.00%
- Electricity/ Utility Tax: 0.00%
#3 Kentucky – Penalty State
EV drivers in Kentucky pay an EV Penalty (surplus of fees) of $260.23 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $120.00
- Fee ($/kWh): $0.03
- Sales/ Use/ General Tax: 6.00%
- Electricity/ Utility Tax: 0.00%
- Notes: All effective 1/1/24 and indexed annually to NHCCI. EV charging tax is $0.06/kWh when on state property.
#2 Georgia – Penalty State
EV drivers in Georgia pay an EV Penalty (surplus of fees) of $325.61 each year.
- State Gas Tax ($/mile): $0.01
- Battery Electric Vehicle Registration Fee ($/year): $210.87
- Fee ($/kWh): $0.03
- Sales/ Use/ General Tax: 4.00%
- Electricity/ Utility Tax: 0.00
- Notes: Registration fee adjusted annually based on average fuel economy and inflation.
#1 Utah – Penalty State
EV drivers in Utah pay an EV Penalty (surplus of fees) of $368.76 each year.
- State Gas Tax ($/mile): $0.00
- Battery Electric Vehicle Registration Fee ($/year): $130.25
- Fee ($/kWh): $0.07
- Sales/ Use/ General Tax: 0.00%
- Electricity/ Utility Tax: 0.00%
