At the beginning of July 2020, the federal government decided on an unprecedented economic stimulus package in response to the economic effects of the corona pandemic. Among other things, the catalog includes funding for the expansion of the private charging station infrastructure and a significant increase in the purchase premium for electric cars and plug-in hybrids in the form of an innovation premium. But who actually benefits from the funding, what is the maximum amount and what should be taken into account?
What is the maximum environmental bonus for 2020?
Since July of this year, pure electric cars will be subsidized with up to € 9,000 until the end of 2021. There is a maximum of € 6,750 for plug-in hybrids. This is made possible by the innovation bonus issued as part of the economic stimulus package. In addition to the environmental bonus of a maximum of € 6,000, which is shared equally by car manufacturers and the federal government, the purchase of an electric car will be subsidized with a further € 3,000 innovation bonus until the end of 2021. The maximum purchase premium is only granted when purchasing a purely electric car with a list price of up to a maximum of € 40,000 net.
| Drive | List price net | Environmental bonus until 12/2021 | Environmental bonus from 01/2022 |
| Battery / fuel cell | up to € 40,000 | 9,000 € | 6,000 € |
| Battery / fuel cell | 40 – 65,000 € | € 7,500 | € 5,000 |
| Plug-in hybrid | up to € 40,000 | € 6,750 | 4,500 € |
| Plug-in hybrid | 40 – 65,000 € | € 5,625 | 3.750 € |
Who gets the environmental bonus?
Individuals, companies, companies with municipal participation, foundations, corporations and associations are eligible to apply for the environmental bonus and the new innovation bonus. The federal government itself, the federal states as well as their institutions and municipalities, all public institutions of the state, automobile manufacturers who participate in the financing of the environmental bonus and applicants whose assets have been filed for or opened for insolvency proceedings are left with nothing. The new bonus is only partially received automatically.
How do you get the environmental bonus?
When purchasing an electric car or a plug-in hybrid, buyers usually automatically receive the automobile manufacturer’s share of the subsidy of € 3,000. The other maximum possible € 6,000 from the state, however, is only available on request. The Federal Office of Economics and Export Control (BAFA) is responsible for processing the application. The application is made online using a form, which can be found here. The increased funding can be applied retrospectively to everyone from June 4, 2020 registered e-vehicles can be applied for. The federal government is making their acquisition and use more attractive now and in the long term.
VAT reduction, charging point promotion and elimination of vehicle tax
While all individuals and companies benefit equally from the VAT rate of 16%, which will be reduced by the end of 2020, the federal government made a further commitment to climate-friendly and affordable mobility in mid-June. With the new regulation of the vehicle tax, all-electric cars are now tax-exempt until 2030. Before the decision, the exemption was valid until 2025. In addition, around 500 million euros from the future package will be used to expand the private charging station infrastructure. In order to give more people access to electric mobility solutions, in future tenants will have easier access to e-mobility and a legal right to a charging point should be created. The initiative is funded by the Federal Ministry of Transport (BMVI), among others.
Image source: Orths Medien