In 2023, the Wisconsin Legislature clarified the status of EV chargers, allowing businesses to own and operate the chargers without being regulated as a “public utility.” While the changes authorizing the commercial installation of those chargers began in March of 2024, a new excise tax of 3 cents per kilowatt hour (kW/h) became effective on January 1, 2025.  

The law allowed the state to take advantage of the $78 million in federal funds allocated to Wisconsin's Electric Vehicle Infrastructure (WEVI) fund, through the National Electric Vehicle Infrastructure (NEVI) program. Wisconsin has distributed some of the funds already but expects a round two request for proposals to fill in the gaps. 

To prepare for the 2025 tax deadline, the Wisconsin Department of Revenue issued guidelines for owners and operators of EV chargers. Some highlights are: 

Registration is required. Except for individual residences, anyone who “delivers, places, or offers to deliver or place, electricity from an electric vehicle charging station owned, operated, managed, or leased by the person, must register with the department.”

• Registration fee is $20 initially, then $10 every two years going forward. 
• Multiple people may be liable for the tax. 
• Multiple people may be required to register for the tax.

If you offer EV charging services, make sure that the tax and registration are covered in your agreement, otherwise you may be liable. 

Return filing biennially on July 31 and January 31, even if no tax is due. 

Recordkeeping Requirements: 

• The registrant must maintain records indicating all the electricity (in kW/h) delivered into Level 3 chargers, as well as Level 1 and 2 chargers. 
• Failure to provide the records on the request can result in a penalty. 

Penalties: 

• Failure to timely file or pay: 
  • Negligence penalty of 5% of tax due per month return is filed after the due date. 
  • $20 late filing fee. 
  • Interest of 18% annually on unpaid delinquent taxes. 
  • Assessments may be issued, which includes a penalty of 25% of estimated tax.
• Incorrect return:
  • Negligence penalty of 25% of the additional taxes. 
  • Fraud penalty of 50% of the additional taxes due. 

Warning: The per kW/h tax (and reporting and recordkeeping requirements) are required even if the electricity is delivered for free. 

The 3-cent tax is applicable to all “Levels" of EV charging: levels 1-3.  

Level 1: 120V (Standard US outlet voltage) charger. 

Level 2: 208V-240V (Laundry/Oven voltage) charger. 

Level 3: Rapid, “Direct Current” (DC) fast charger. 

Sales Tax Exemption: 

Because imposing a sales and use tax along with the 3-cent tax would be duplicative, sales of electricity subject to the 3-cent tax are exempt from the sales and use tax. Individuals do not have to obtain an exemption certificate in this case. 

State Agencies & Local Governments: 

State agencies and local governments have specific requirements which should be examined on a case-by-case basis. The Wisconsin DOR's guidance did not rectify disputed portions of the Legislation, for example, relating to a local government unit's ability to deliver electricity for free or charge a reasonable fee. 
 

For more information on this topic, or to learn how Michael Best and Friedrich can help you navigate the new electric vehicle charging landscape reach out to Orrie Walsvik. Orrie was involved with the initial drafting of the bill and testified on several bill issues at the Wisconsin Senate Committee on Utilities and Technology.  He helps various Wisconsin businesses, nonprofits, and government agencies understand, benefit, and comply with the new charging rules.