Tag Archives: electric vehicle credit

Proposed Tax Plan would kill the $7500 electrical vehicle credit

The tax plan proposed by House Republicans has hiding in it the repeal of a $7,500 tax credit that has arguably been one of the main drivers of electric vehicle purchases. Removing the credit would almost certainly adversely affect sales of electric cars just as they are beginning to get affordable to the general public.

Quite clear, isn’t it! Section 30D is the part of the Internal Revenue Code that offers a credit to purchasers of qualifying electric cars. Assuming the credit has been used in the case of purchase of most electric cars, it has saved taxpayers around a billion dollars since it took effect in 2010.

One could argue that $7,500 isn’t going to make much difference when a fully loaded Model S pushes a hundred grand, but it has certainly helped those cars become competitive at the same prices as other luxury vehicles. And cheaper options like the Leaf would likely never have taken off if they sold for their full price of around $40K rather than being closer to $30K.

read more at: https://techcrunch.com/2017/11/02/that-proposed-tax-plan-would-kill-the-7500-electric-vehicle-credit/

disclaimer: for information and entertainment purposes only