Alberta's tax on electric vehicles might be an outlier in Canada but not in these US states with one

Alberta has introduced a new tax on electric vehicles, and apart from Saskatchewan, the tax is an outlier in Canada; however, that’s not the case when it comes to the United States.

The $200 per year tax was announced yesterday during the unveiling of the 2024 budget, with the Province saying although the number of electric vehicles (EVs) in Alberta is currently low, EVs are being purchased in “ever-increasing numbers,” and while EVs tend to be heavier than similar internal combustion vehicles and cause more wear and tear on provincial roadways, their owners pay no fuel tax.

While fuel tax revenue is not dedicated to funding the construction and maintenance of provincial roads, the Province added that there are “fairness concerns with drivers of other vehicles and longer-term challenges associated with declining fuel tax revenue.”

The tax will be paid when owners register their vehicles and will be in addition to the existing registration fee.

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We were curious about what states in the US had annual taxes or fees on electric vehicles, and according to data from last year, more than 30 states have one.

According to data from the Tax Foundation, which is based in Washington DC, there are plenty of spots in the US that charge a yearly fee on electric vehicles, with some even taxing hybrid vehicles, too.

Below is a list of all the US states that have an EV fee in USD:

• Alabama has an additional EV annual registration fee of $200, while a fee of $100 for an additional hybrid annual registration fee
• Arkansas has an additional EV annual registration fee of $200 and $50 to $100 for an additional hybrid annual registration fee, $50 for standard hybrid and $100 for a plug-in hybrid
• California has an additional EV annual registration fee of $108
• Colorado has an additional EV annual registration fee of $51.88
• Georgia has an additional EV annual registration fee of $213.70
• Hawaii has an additional EV annual registration fee of $50
• Idaho has an additional EV annual registration fee of $140 and 75 for an additional hybrid annual registration fee.
• Illinois has an additional EV annual registration fee of $100
• Indiana has an additional EV annual registration fee of $150 and $50 for an additional hybrid annual registration fee.
• Iowa has an additional EV annual registration fee of $130
• Kansas has an additional EV annual registration fee of $60 to $70 and $20 to $30 for an additional hybrid annual registration fee.
• Kentucky has an additional EV annual registration fee of $120 and $60 for an additional hybrid annual registration fee.
• Louisiana has an additional EV annual registration fee of $100 and $60 for an additional hybrid annual registration fee, however, it only applies to plug-in hybrid vehicles only
• Michigan has an additional EV annual registration fee of $145 and $52.50 for an additional hybrid annual registration fee, however, it only applies to plug-in hybrid vehicles only
• Minnesota has an additional EV annual registration fee of $75
• Mississippi has an additional EV annual registration fee of $150 and $75 for an additional hybrid annual registration fee
• Missouri has an additional EV annual registration fee of $105 and $52.50 for an additional hybrid annual registration fee
• Nebraska has an additional EV annual registration fee of $75
• North Carolina has an additional EV annual registration fee of $140.25 and $38.75 for an additional hybrid annual registration fee
• North Dakota has an additional EV annual registration fee of $120 and $50 for an additional hybrid annual registration fee
• Ohio has an additional EV annual registration fee of $200 and $200 for an additional hybrid annual registration fee
• Oklahoma has an additional EV annual registration fee of $110 and $82 for an additional hybrid annual registration fee
• Oregon has an additional EV annual registration fee of $76 and $91 for an additional hybrid annual registration fee
• South Carolina has an additional EV annual registration fee of $60 and $30 for an additional hybrid; however, there are biennial supplemental license fees of $120 and $60, respectively
• South Dakota has an additional EV annual registration fee of $50
• Tennessee has an additional EV annual registration fee of $100
• Utah has an additional EV annual registration fee of $130.24 and $56.50 for an additional hybrid; however, instead of the EV fee, users can pay a road usage fee of one cent per mile driven
• Virginia has an additional EV annual registration fee of $120, with the fee being a function of the average number of passenger vehicle miles driven in the state
• Washington has an additional EV annual registration fee of $150 and $75 for an additional hybrid annual registration fee
• West Virginia has an additional EV annual registration fee of $200 and $100 for an additional hybrid annual registration fee
• Wisconsin has an additional EV annual registration fee of $100 and $75 for an additional hybrid annual registration fee; however, it only applies to plug-in hybrid vehicles only
• Wyoming has an additional EV annual registration fee of $200

As for Alberta’s electric vehicle tax, it will not apply to hybrid vehicles, and more details on the tax will be released when legislation is introduced in the fall.

What do you think about Alberta’s $200 annual tax on electric vehicles? Let us know in the comments below.