Questions and answers

NOTICE TO DEALERSHIPS AND AUTHORIZED SELLERS:
As of May 9, 2024, there is a new mandatory version of the Consumer Consent Form please find it at this link:
iZEV Program consumer consent form.

Below are the most frequently asked questions about the iZEV Program for consumers, dealerships and authorized sellers. To help you in your questions and answers search, you can search relevant keywords in the “Filter items” search bar.

Question & Answer
1. Are demonstrator vehicles eligible?

For the purposes of the iZEV Program, eligible ZEVs that are demonstrators are considered new vehicles and are eligible for the incentive as long as the odometer reading is less than 10,000 km.

2. Are electric bicycles (e-bikes), scooters and motorcycles eligible under the iZEV Program?

No, 2-wheeled vehicles, like motorcycles or e-bikes, are not eligible.

The iZEV Program was created to reduce emissions from cars and light trucks, which produce about 50% of transportation-related greenhouse gas emissions in Canada. With this goal in mind, the Program requires vehicles to have at least four functioning wheels and be highway capable, intended for use on public streets, roads, and highways, and meet all Canada Motor Vehicle Safety Standards in order to receive an incentive.

3. Are leased vehicles eligible for an incentive?

Yes, the incentive can be applied to vehicles leased for 12 months or more but will be adjusted for leases shorter 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.

More information on incentives for specific vehicles under standard lease terms

Full incentive amount

48-month lease

39-month lease

22-month lease

12-month lease

$5,000

$5,000

$4,062

$2,292

$1,250

$2,500

$2,500

$2,031

$1,146

$625

For lease terms not listed in the table, use this formula to find the appropriate incentive level.

(full incentive amount of the eligible ZEV ÷ 48) x (number of months of the lease)

4. Are third-party leases eligible for the program?

Yes, a third-party lease is a vehicle lease made through a group (Fleet management company, Leasing company) besides the dealership and end user involved in the vehicle purchase/lease. For more information, please visit the Program Resources for Dealerships webpage.

5. Are pre-owned zero-emission vehicles (ZEVs) eligible?

No, only new ZEVs are eligible. New vehicles are ones that have not been plated before, except demonstration vehicles. Demonstrator vehicles can be registered and plated to the dealership/authorized seller for demonstration purposes prior to being registered and plated to the eligible recipient.

6. Are there any fees associated with the iZEV Program?

There are no fees associated with the iZEV Program. Dealerships can't charge additional fees under the iZEV Program. If they charge fees, Transport Canada can remove the dealership from the Program.

All fees and costs, like freight and delivery charges, should be similar to the fees and costs for vehicles sold outside of the Program.

If a dealership wants to charge, or has charged fees for the iZEV Program, please email Transport Canada at iZEV-iVZE@tc.gc.ca.

7. Are vehicles purchased or leased outside of Canada eligible?

No, only new vehicles purchased or leased in Canada from a licensed dealership are eligible.

8. Can additional vehicles be added to the list of eligible vehicles?

Yes, automakers can apply to Transport Canada to have specific makes, models and trims added to the List of Eligible Vehicles. We will then review the application to make sure the vehicle is eligible for the iZEV Program before adding it to the list.

9. Do I need to finance the purchase of an eligible ZEV in order to receive the incentive?

No, both cash purchases and financed purchases (as well as leases of at least 12 months) are eligible for iZEV Program incentives.

Number 10. Do vehicle add-on accessories, options, packages or colours affect eligibility under the iZEV Program?

No, as long as the full vehicle description including the vehicle make, model, and trim are included on the iZEV Program's List of Eligible Vehicles, then the purchase or lease of these vehicles qualifies for the incentive. Other fees such as vehicle colour, add-on accessories (e.g., a roof rack), options, and packages that push the actual purchase price over the iZEV Program's vehicle price limits do not affect eligibility.

Number 11. Do you need to be a Canadian citizen to receive an incentive?

No, but you must be a Canadian resident, which means that you need to have a home address in Canada.

Number 12. How do I know the maximum eligible incentive amount for a specific vehicle?

By referring to Transport Canada's list of eligible vehicles you will see the maximum eligible incentive amount per vehicle.

Longer-range plug-in hybrid electric vehicles with a battery-only range equal to or greater than 50 km are eligible for a financial incentive of $5,000. Shorter-range plug-in hybrid with a battery-only range under 50 km are eligible for a financial incentive of $2,500. This financial incentive amount is applied towards purchases and leases of 12 months or more and is pro-rated for leases less than 48 months. Leases less than 12 months are not eligible for an incentive.

Number 13. How does the federal incentive work with other provincial/territorial incentive programs?

The federal incentive will be applied to eligible zero-emission vehicles in addition to any provincial/territorial incentive program.

Number 14. How do I know which vehicles are eligible?

By referring to Transport Canada's list of eligible vehicles you will see a list of all eligible vehicles and their respective eligibility dates (the date in which they became eligible for an incentive).

In order for a vehicle to be eligible for an iZEV purchase incentive at the time of sale/lease; the entire vehicle description must appear on the list of eligible vehicles including the year, make, model and trim of the vehicle. Only vehicles purchased on or after the vehicles respective eligibility date are eligible for the respective incentive amount.

Number 15. I would like to benefit from the tax write-off from CRA. Can I give back the incentive I received under the iZEV Program?

No, giving back the incentive is not available under the federal iZEV Program. It is the consumer's responsibility to determine which program meets their needs before accepting the incentive at the time of purchase/lease.

Number 16. If I buy or lease an eligible vehicle on or after the respective eligibility date, how do I get my incentive?

The authorized seller must submit and obtain an eligibility assessment on the consumer's behalf before the delivery of the vehicle and providing an incentive. You will need to sign a Consumer Consent Form for this step. Once the eligibility is confirmed (valid for 90 days), the incentive will be applied directly on the sale/lease agreement at the point-of-sale, after taxes and fees are applied to the vehicle. This allows consumers to benefit immediately when buying or leasing an eligible ZEV.

Consumers can't apply for the incentive on their own. Only dealerships can submit claims for reimbursement for an incentive provided to consumers at the point-of-sale.

Number 17. Is there a limit on how many vehicles I can purchase or lease under the iZEV Program?

Yes, there are different limits for different types of consumers:

  • Individuals are eligible for 1 incentive per calendar year;
  • Organizations and businesses are eligible for up to 10 incentives per calendar year. Organizations and businesses that share common ownership, other than common ownership as a result of being a publicly traded company, are considered as one single organization eligible for a combined total of 10 incentives;
  • Businesses that use the iZEV Program incentive, can't use the Canada Revenue Agency tax write-off for the same vehicles. This limit is applied at an organization level, rather than by department or division;
  • Not-for-profit organizations, including charities can participate in the IZEV Program as long as they are registered. There is an incentive limit of 10 per calendar year. This limit is applied at an organization level, rather than by department or division;
  • Provincial, territorial and municipal governments with fleets are eligible for up to 10 incentives per calendar year. This limit is applied by level of government, rather than by organization. This means that each provincial, territorial or municipal fleet can use no more than 10 incentives per calendar year; and
  • Eligible carsharing companies that are approved by Transport Canada are eligible for up to 50 incentives per calendar year for purchases and leases made on or after March 28, 2023.

The iZEV Program monitors the incentives limits closely. Canada reserves the right to seek reimbursement should a recipient be found to have received more than the eligible number of incentives from the iZEV Program in a calendar year.

Number 18. I represent a carsharing company and would like to apply to be eligible under the iZEV Program. How do I apply?

To be eligible under the iZEV Program as a carsharing company, a company must:

  1. be a not-for-profit or for-profit organization, with its own business number; and
  2. offer a membership or subscription-based program, whereby individuals or entities who become members or subscribers are entitled to 24/7 self-service access to a fleet for use at regular intervals (usually with a per-minute or per-hour fee).

To be added as an eligible carsharing company under the iZEV Program, please send an email to iZEV-iVZE@tc.gc.ca.

Only carsharing companies deemed eligible by Transport Canada, based on the above-mentioned criteria, can receive up to 50 incentives per calendar year for eligible vehicle purchases or leases made on or after March 28, 2023. Eligibility, including the continuation of eligibility, remains at the discretion of Transport Canada.

Number 19. I represent an approved carsharing company and I did not receive an incentive for a purchase or lease made before I was deemed eligible by Transport Canada. What do I do?

If you didn't receive the incentive on an eligible zero-emission vehicle purchased or leased on or after March 28, 2023, and on or after the date listed on the eligibility vehicle list, please contact the dealership to receive the incentive for the eligible amount. You will also need to fill out the Consumer Consent Form and Incentive Received Form for Organizations. Please email iZEV-iVZE@tc.gc.ca if you need additional clarification.

Number 20. iZEV Online Portal: I forgot my username or password for my iZEV Portal account, what do I do?

If you're having problems connecting to your account and would like step-by-step instructions on how to address this, please email iZEV-iVZE@tc.gc.ca.

Number 21. The dealership did not apply the full incentive allowed. What should I do?

If you didn't receive the full incentive on an eligible ZEV purchased or leased on or after the date listed on the eligibility vehicle list, please contact the dealership to receive the remaining eligible amount. Please email iZEV-iVZE@tc.gc.ca if you require additional clarification.

The dealership should provide the incentive at the-point-of-sale up to the maximum eligible amount as listed on the list of eligible vehicles, or as calculated using the following formula:

(full incentive amount of the eligible ZEV ÷ 48) x (number of months of the lease)

Number 22. What if I didn't get the incentive at the point-of-sale?

If you didn't receive the incentive on an eligible ZEV purchased or leased on or after the date listed on the eligibility vehicle list, please contact the dealership. You will need to sign the Consumer Consent Form in order for them to verify your eligibility.

Once your eligibility is confirmed, the dealership or authorized seller should provide the incentive after taxes and fees have been applied to the purchase or lease. If the purchase or lease agreement has already been signed, they may provide the incentive via cheque or a similar mechanism. You'll need to complete and sign the the Incentive Received Form.

Only a dealership can submit claims for reimbursement. You can't apply for reimbursement directly yourself. If you have any further questions or concerns, please email izev-ivze@tc.gc.ca.

Number 23. What are the timelines for taking advantage of the iZEV Program?

Funding is given on a first-come, first-served basis for eligible vehicles purchased or leased as of the vehicle's eligibility date listed on Transport Canada's website, until March 31, 2025. However, the Program may end sooner if available funding is fully exhausted prior to this date.

Number 24. What if a client received an incentive towards the purchase or lease of a vehicle that is deemed a total loss or where a manufacturer buyback is applicable within the same calendar year of the original purchase/lease date?

In instances of vehicle write-offs, manufacturer buybacks, and other cases where Transport Canada deems it reasonable, individuals may receive a second incentive in the same calendar year upon pre-approval. Please contact Transport Canada in these situations for more information and guidance on how to proceed by emailing iZEV-iVZE@tc.gc.ca.

Number 25. Who can submit a claim for reimbursement?

Only dealerships can submit claims for reimbursement. Consumers should receive the incentive directly from the dealership at the point-of-sale, after taxes and fees are applied to the vehicle. Consumers can't apply for the incentive on their own.

Number 26. What are the distinct roles and responsibilities of Transport Canada in relation to iZEV Program, regarding privacy matters?

Transport Canada is responsible for administering the iZEV Program. To effectively deliver Program funding Transport Canada must collect personal information to validate request eligibility. The personal information collected is detailed in the Consumer Consent Form and the Incentive Received Form. Transport Canada collects only the necessary information required for the administration of the iZEV Program and manages said information in accordance with all applicable privacy laws.

Number 27. What are the distinct roles and responsibilities of the dealership in relation to iZEV Program, regarding privacy matters?

The dealership (authorized seller) enrolled with Transport Canada is responsible for administering the iZEV Program Consumer Consent form and the appropriate iZEV Program Incentive Received form on behalf of Transport Canada and for submitting to Transport Canada for reimbursement of the eligible incentive amount that has been provided. To participate in the iZEV Program, dealerships must acknowledge and agree to the Program's Terms and Conditions. As a result, all enrolled dealerships must comply with laws and regulations set out in applicable provincial, territorial, or private section legislation, such as the Personal Information Protection and Electronic Documents Act (known as PIPEDA).

Number 28. Who can I contact regarding any privacy concerns?

If you have any questions or concerns regarding the collection of your personal information, please contact Transport Canada at izev-ivze@tc.gc.ca.

Under the Privacy Act, you have the right to access your personal information and request corrections to your personal information. Should you wish to exercise your rights under the Privacy Act, or have any questions about this privacy notice statement, contact Transport Canada's ATIP Office. Should you wish to lodge a complaint with respect to the handling of your personal information, you may do so by contacting the Office of the Privacy Commissioner of Canada.

Number 29. How can I contact the iZEV Program?

If you have any questions for the iZEV Program, please contact us by email at iZEV-iVZE@tc.gc.ca or call our toll free line at 1-800-O-Canada for general inquiries.