Arizona Individual Vehicle Purchaser/Driver
High Occupancy Vehicle (HOV) Lane Exemption
Contingent upon approval from the federal government, qualified low-emission and energy-efficient vehicles are permitted to use HOV lanes, regardless of the number of passengers. Qualified vehicles must meet specified fuel economy requirements and are required to display the low-emission and energy-efficient vehicle license plate. However, use of HOV lanes may be restricted if certain traffic volume and speed criteria are not met. A low-emission and energy-efficient vehicle is defined as a vehicle that has been certified by the U.S. Environmental Protection Agency in accordance with U.S. Code Section 166, or that is part of a federally approved pilot program. (Reference Senate Bill 1320, 2009, and Arizona Revised Statutes 28-337 and 28-2416)
Alternative Fuel Vehicle (AFV) License Tax
The initial annual vehicle license tax on an AFV is lower than the license tax on conventional vehicles. The vehicle license tax on an AFV is $4 for every $100 in assessed value. The assessed value of the AFV is determined as follows: during the first year after initial registration, the value of the AFV is 1% of the manufacturer's base retail price (as compared to 60% for conventional vehicles); during each succeeding year, the value of the AFV is reduced by 15%. The minimum amount of the license tax is $5 per year for each motor vehicle subject to the tax. (Reference Arizona Revised Statutes 28-5805 and 28-5801)
Alternative Fuel Vehicle (AFV) Parking Incentive
An individual driving a vehicle powered by an alternative fuel may park without penalty in parking areas that are designated for carpool operators. (Reference Arizona Revised Statutes 28-877)
Neighborhood Electric Vehicle (NEV) Access to Roadways
NEVs may not operate at speeds greater than 25 miles per hour (mph) but are allowed access to roadways with speed limits of up to 35 mph. NEVs must display a notice of the operational restrictions (either painted or otherwise permanently attached) on the vehicle in a location that is in clear view of the driver. (Reference Arizona Revised Statutes 28-966 and 28-2157)
Electric Vehicle (EV) Parking
An individual is not allowed to stop, stand, or park a motor vehicle within any parking space specially designated for parking and recharging EVs unless the motor vehicle is an EV and has been issued an alternative fuel vehicle special plate or sticker. A person who is found responsible for a violation may be subject to a civil penalty of at least $350. (Reference Arizona Revised Statutes 28-876)
Alternative Fuel Vehicle (AFV) Emissions Test Requirement
All AFVs, except electric, solar, and hydrogen powered vehicles, registered in, or used to commute into, the metro areas of Phoenix or Tucson are required to complete emissions testing before the vehicle can be registered. An alternate fee may be paid for Model Year 2007 and newer original equipment manufactured AFVs instead of having the emissions test performed. New AFVs being registered for the first time are not required to be tested, but emissions testing will be required before an updated registration is granted in subsequent years. For more information, visit the Arizona Department of Environmental Quality Web site. (Reference Arizona Revised Statutes 49-542)
Alternative Fuel Vehicle (AFV) Special License Plate
AFVs must display an AFV license plate. State or agency directors who conduct activities of a confidential nature and have a vehicle powered by an alternative fuel are exempt from the requirement of displaying an AFV special license plate. The Arizona Department of Transportation has the authority to issue regular plates to AFVs that are used by law enforcement and the federal government. (Reference Arizona Revised Statutes 28-2511 and 38-538.03B)
Electric Vehicle (EV) Equipment Tax Credit
A tax credit of up to $75 is available to individuals for the installation of EV charging outlets in a house constructed by a taxpayer. (Reference Arizona Revised Statutes 43-1090 and 43-1176)
Idle Reduction Requirement - Maricopa County
Heavy-duty diesel vehicles operating in Maricopa County with a gross vehicle weight rating of more than 14,000 pounds must limit idling time to no more than five minutes. Exemptions apply for emergency vehicles, certain traffic or weather conditions, driver accommodations, and idling necessary for refrigeration equipment. (Reference Arizona Revised Statutes 11-876 and Maricopa County Vehicle Idling Restriction Ordinance)
Alternative Fuel and Alternative Fuel Vehicle (AFV) Tax Exemption
The Arizona use tax does not apply to the following: natural gas or liquefied petroleum gas used to propel a motor vehicle; AFVs, if the AFV was manufactured as a diesel fuel vehicle and converted to operate on an alternative fuel; and equipment that is installed in a conventional diesel fuel motor vehicle to convert the vehicle to operate on an alternative fuel. (Reference Arizona Revised Statutes 42-5159)
Idle Reduction Weight Exemption
A heavy-duty vehicle that is equipped with qualified idle reduction technology may exceed the Arizona weight limitations specified in Arizona Revised Statutes 28-110A by up to 400 pounds or the weight of the idle reduction technology, whichever is less. (Reference Senate Bill 1320, 2009, and Arizona Revised Statutes 28-1100)
