What a Tesla costs in Massachusetts with the MOR-EV rebate

Facts last checked . Prices and incentives change often; confirm with Tesla and the program before you order.

Massachusetts is one of the few states still paying people to buy an EV. MOR-EV pays $3,500 on a new EV with an MSRP up to $55,000, which covers every Model 3 trim and most Model Y trims at list price. Income-qualified buyers can add $1,500, and trading in a gas car at least 12 years old adds $1,000, up to $6,000 combined.

The rules may tighten. In July 2026 the state energy department proposed cutting the new-vehicle price cap to $50,000, which would push the more expensive Model 3 and Model Y trims out. Massachusetts charges no annual EV fee, but its electricity is the most expensive of any state on this site, so the charging plan you pick matters.

Model 3 Standard RWD with fees and 6.25% tax
$41,044
Home charging, per year
$1,025
Fuel saved vs gas, per year
$667

Tesla prices in Massachusetts with tax

ModelBase priceDestination + order feeTax (6.25%)Total
Model 3 Standard RWD$36,990$1,640$2,414$41,044
Model 3 Premium RWD$42,490$1,640$2,758$46,888
Model Y Standard RWD$39,990$1,640$2,602$44,232
Model Y Premium RWD$45,990$1,640$2,977$50,607

Massachusetts charges a flat 6.25% sales tax on vehicles with no local add-on. Cities and towns also bill an annual motor vehicle excise based on value, which is separate. Base prices are Tesla’s US prices as reported on 2026-10-26 (tesla.com could not be checked directly). Tax is applied to price plus fees, which is a simplification: title, registration and local fees are extra. Every trim and state is in Tesla price by state.

Rebates and incentives in Massachusetts

Federal $7,500 clean vehicle tax credit

Ended

Ended for vehicles acquired after September 30, 2025. Any page still promising $7,500 off a new Tesla is out of date.

Federal car loan interest deduction

Limited

For 2025 to 2028, buyers who finance a new US-assembled vehicle for personal use can deduct up to $10,000 a year of loan interest, phasing out at higher incomes. Model 3 and Model Y sold in the US are assembled in California or Texas. Confirm your eligibility with a tax professional.

MOR-EV Standard (new EVs)

Available

$3,500 for a new EV with an MSRP up to $55,000; you must keep it registered in Massachusetts for 36 months. A July 2026 proposal would lower the cap to $50,000; check MassCEC for the final rules on the date you buy.

MOR-EV+ and trade-in bonus

Limited

+$1,500 for buyers enrolled in a listed assistance program, and +$1,000 for trading in a gas vehicle 12 or more years old. Maximum combined rebate $6,000.

MOR-EV used

Limited

$3,500 on a used EV up to $40,000 from a licensed Massachusetts dealer, for buyers under the income limits ($75,000 single, $150,000 joint). A proposal would lower the cap to $35,000.

More on what replaced the federal credit: Tesla tax credit ended.

Charging costs in Massachusetts

Electricity rate used
31¢/kWh
Cost per 100 miles
$8.54
Gas car, per year
$1,692

Average residential rate, 30.5¢/kWh (EIA, August 2026). Municipal light plant customers often pay much less. Gas: AAA state average for regular, 2026-10-26. Assumes 12,000 miles a year, 0.28 kWh per mile for a Model 3 including charging losses, and a 30 mpg gas car at about $4.23/gal. Prices last checked October 26, 2026; we refresh them monthly. Run your own numbers in the savings calculator.

Utility plans worth knowing

  • •Eversource: EV time-of-use rate, managed charging payments and home charger wiring rebates
  • •National Grid: EV time-of-use rate, Level 2 and make-ready rebates
  • •Many municipal light plants offer their own EV rebates and cheaper power

Owning a Tesla in Massachusetts

  • •No annual EV registration fee in Massachusetts.
  • •Residential electricity averages about 30¢/kWh, the highest on this site. Managed or off-peak charging programs can cut the cost noticeably.
  • •EVs are exempt from the emissions portion of the annual inspection.
  • •Massachusetts allows Tesla to sell directly, following a 2014 court ruling.

Tesla delivers across the state, including Boston, Worcester, Springfield, Cambridge, Lowell and Natick.

Massachusetts Tesla questions

How much does a Tesla Model 3 cost in Massachusetts?

The Model 3 Standard RWD starts at $36,990. Add Tesla's $1,640 destination and order fee and the 6.25% state rate used on this page and it comes to about $41,044 before title and registration. Massachusetts charges a flat 6.25% sales tax on vehicles with no local add-on. Cities and towns also bill an annual motor vehicle excise based on value, which is separate.

Does a Tesla qualify for MOR-EV?

Under the current rules, yes for any new Tesla with an MSRP up to $55,000, which covers the Model 3 and the Model Y up to the Premium AWD at list price. A proposal filed in July 2026 would lower the cap to $50,000, so check MassCEC on the day you buy.

How much is the Massachusetts EV rebate in 2026?

$3,500 for a new EV, plus $1,500 for buyers in a listed assistance program and $1,000 for trading in a gas car 12 years or older, up to $6,000.

Is there an EV fee in Massachusetts?

No. Massachusetts does not charge an extra annual registration fee for EVs, though the local motor vehicle excise applies as it does to any car.

What does it cost to charge a Tesla at home in Massachusetts?

At 31¢/kWh, a Model 3 costs about $9 per 100 miles to charge at home, or roughly $1,025 a year, versus about $1,692 for a comparable gas car.

More answers in the Tesla FAQ.

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