Tesla Model 3 qualifies for EV tax credit, shares surge.

In California, the entry-level Tesla Model 3 RWD is less expensive than the Toyota Camry if you deduct the $7,500 federal tax credit as well as the California tax rebate. Those who qualify for both incentives can save $15,000 or 37% of the $40,240 price tag for the Model 3, reducing the effective cost to $25,240 - less than the entry-level Toyota Camry. The Tesla Model 3 is already more popular than the Toyota Camry in California, and when prices between BEV and ICE models become comparable, electric cars are usually winning thanks to lower energy costs than fuel costs.