The guidebook to green vehicles including fuel-efficient, gasoline-powered vehicles, along with electric, hybrid, diesel, and alternative-fueled vehicles. These vehicles saw a dip in depreciation and offer many cost benefits such as lower repair and maintenance bills, making going green a more affordable choice than in years past.
Green Vehicle Guides and Fuel Economy FAQs
Looking for a fuel-efficient vehicle? Read about the latest features to consider while car shopping, including fuel efficiency and vehicle safety technology.
Produced by the Automobile Club of Southern California’s Automotive Research Center (ARC), the AAA Green Car Guide not only defines what a green car is, but also explains the differences between various types of green vehicles. The guide also provides real-world evaluations of the vehicles to help potential buyers determine which car best suits their lifestyle.
Read online a printable version of the AAA Car Guide.
Video: AAA Automotive Research Manager Megan McKernan soundbites, Tesla Model X b-roll on the streets and Tesla Model S b-roll on testing track
FuelEconomy.gov: Federal Tax Credits for All-Electric and Plug-in Hybrid Vehicles
Federal Tax Credit
All-electric and plug-in hybrid cars purchased in or after 2010 may be eligible for a federal income tax credit. The credit amount will vary based on the capacity of the battery used to power the vehicle. State and/or local incentives may also apply.
Small neighborhood electric vehicles do not qualify for this credit, but they may qualify for another credit.
Frequently Asked Questions about Vehicle Tax Incentives
What's the difference between a deduction and a credit?
A tax deduction reduces the amount of income for which you are taxed.
For example, if your taxable income were $50,000, a $2,000 deduction would reduce it to $48,000. So, you would pay taxes on an income of $48,000 instead of $50,000. This means your actual savings would be a fraction of the $2,000 deduction.
A tax credit reduces the total amount of income tax you owe. So, if you owed $10,000 in federal income tax, a $2,000 credit would reduce the amount you owed to $8,000. With a credit, your actual savings would be $2,000.
Where can I find information on State incentives?
The U.S. Department of Energy's (DOE's) Alternative Fuels Data Center (AFDC) maintains a list of State & Federal Incentives.
Can I claim the credit for a used vehicle?
No. The credit applies to new vehicles only.
Can I claim the credit for a leased vehicle?
If a qualifying vehicle is leased to a consumer, the leasing company may claim the credit.
AAA Green Car Guide
AAA members can get a free copy of the AAA Green Car Guide at any AAA branch.
Vehicles in the guide are ranked from highest to lowest based on the following objective and subjective criteria:
- EPA emission rating
- Braking
- Crashworthiness
- Visibility
- Handling
- Ride quality
- Fuel economy
- Interior noise
- Acceleration
- Ease of entry and exit
- Interior size
- Turning circle
- Luggage capacity
Each vehicle receives an overall score ranging from 0 to 10 for each characteristic and is evaluated relative only to the other vehicles in the guide, not to all vehicles available on the market. Each vehicle’s review provides a summary of the car and lists its strengths and weaknesses, as well as available safety features.
To search for specific vehicles that the ARC has evaluated, you can visit the AAA.com/GreenCar, where you will be able to search by vehicle type (e.g. subcompact), powertrain (e.g. hybrid), and price range.
Public Downloads
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When available, we provide all our content with a Spanish version in our public download section. You can find additional material from sources listed in all our articles.
Download Green Car Guide and Fuel Economy Content
Download Infographics for Green Cars
Playlist: Driving Fuel Efficiency Series