Tesla Model Y Standard Range in Canada Won’t Get Federal Rebate, It Appears

For Canadians awaiting delivery of the Tesla Model Y Standard Range Rear-Wheel Drive, it now appears the latter will not qualify for the $5,000 CAD federal iZEV rebate.

According to Dave Pitt from the Tesla Model Y Owners Club Vancouver Facebook group, he says his Standard Range is set for delivery on Wednesday (Feb. 10)—and it doesn’t qualify for the federal rebate.

“Got my call from Tesla. Model Y SR delivery appointment set for Wednesday. No federal incentive. Only for the provincial,” said Pitt on Saturday evening.

The Standard Range Model Y starts at $56,290 CAD. To be eligible for the Incentives for Canada’s Zero-Emission Vehicles program, you have to purchase or lease the following, according to the program’s details:

• a vehicle with six seats or fewer, where the base model (trim) Manufacturer’s Suggested Retail Price (MSRP) is less than $45,000;
  • higher priced versions (trims) of these vehicles, up to a maximum Manufacturer’s Suggested Retail Price (MSRP) of $55,000, will also be eligible for purchase incentives;

Or

• a vehicle with seven seats or greater, where the base model Manufacturer’s Suggested Retail Price (MSRP) is less than $55,000;
  • higher priced versions (trims) of these vehicles, up to a maximum Manufacturer’s Suggested Retail Price (MSRP) of $60,000, will also be eligible for purchase incentives;

You will still be eligible for the incentive even if delivery, freight and other fees, such as vehicle colour and add-on accessories, push the actual purchase price over these set limits, says the Canadian government.

If you add in the 7-seater option at $4,000 CAD, the Model Y Standard Range still doesn’t qualify.

It’s unclear if Tesla will do some arithmetic changes to have the Standard Range Model Y qualify for the rebate, as it did for the Standard Range Model 3 in May 2019. Tesla at the time modified their base Model 3 pricing on the Standard Range model to $44,999, to get into rebate territory by $1. If anything changes, we’ll update this post accordingly.