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Keep an eye on this one:

S.3582 - A bill to amend the Internal Revenue Code of 1986 to establish a new phaseout of the credit for plug-in electric drive motor vehicles.

Sponsor: Sen. Heller, Dean [R-NV]

Introduced in Senate (10/11/2018)
This bill amends the Internal Revenue Code, with respect to the tax credit for new plug-in electric drive motor vehicles, to change the phase-out period for the credit to calendar year 2022.

(Under current law, the credit phases out for a manufacturer's vehicles over the one-year period beginning with the second calendar quarter after the calendar quarter in which at least 200,000 qualifying vehicles manufactured by that manufacturer have been sold for use in the United States after December 31, 2009.)
Write your senators.
 

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That would be good if they did. If it wasn't for that tax credit I would never have purchased mine. I would have ended up just getting a civic or something. Same with a few friends of mine. I convinced them all to go electric so they are either getting a Volt also or a Clarity but only due to the tax credit as that is the only way the car is reasonably priced and affordable.
 

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The tax credit, Federal, and where applicable State (rebate, $2,500, Oregon, or tax credit) is a real incentive for those who qualify.
In our family my nephew purchased a used 2017 Volt,(no tax credit) and my sister and brother in law, purchased a new 2017 Volt in 2016 even though they did not qualify at the time for the Fed. Tax Credit.

So, even without a tax credit people will purchase a Volt or perhaps another plug in electric vehicle. My wife and I qualify for the Fed tax credit, and the State of Oregon $2,500 rebate if we purchased another new Volt ($10,000 off a new Volt). That would be an incentive for us at this time, not so much if no credit or rebate was available.
 

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I can support this - GM and Tesla have done a lot of research on EVs and other companies can see their results just by buying their EVs.
 

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I just did write my senators. This is only fair. Tesla and GM deserve not to be at a competitive disadvantage given their work to expand EVs.


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The tax credit, Federal, and where applicable State (rebate, $2,500, Oregon, or tax credit) is a real incentive for those who qualify.
In our family my nephew purchased a used 2017 Volt,(no tax credit) and my sister and brother in law, purchased a new 2017 Volt in 2016 even though they did not qualify at the time for the Fed. Tax Credit.

So, even without a tax credit people will purchase a Volt or perhaps another plug in electric vehicle. My wife and I qualify for the Fed tax credit, and the State of Oregon $2,500 rebate if we purchased another new Volt ($10,000 off a new Volt). That would be an incentive for us at this time, not so much if no credit or rebate was available.
What do you mean they didn't qualify? As far as I know there is no income restriction for the federal credit. It just has to be a new purchase and your tax obligation must be more than your deductions.
 

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What do you mean they didn't qualify? As far as I know there is no income restriction for the federal credit. It just has to be a new purchase and your tax obligation must be more than your deductions.
That's the restriction. Here in BC and Quebec (and used to be Ontario) you get the deduction even if you don't make enough to have to pay taxes as it's an actual deduction and not a "tax credit".

With the 200,000 car limit, it would seem as Tesla, GM, etc. (the early adopters) would now soon be at a disadvantage compared to those coming in later, you don't want to discourage them either. It would seem that a gradually diminishing deduction based on the difference in price between an EV/PHEV and a comparable ICE would be a fairer rebate for all manufacturers across the board whether they be early adopters or late to the game. They are saying the price will be the same in 2030 (12 years from now).
 

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There is also another proposal to eliminate the credit entirely. The likelihood of either bill making it through is pretty slim right now, because no one can agree on anything.
 

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Well the bill to extend it is actually backed by Republican Dean Heller who is from Nevada, and of course given Tesla’s presence there, I can understand why he’s doing that.


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I'd like to see a bill like this that evens the playing field. By eliminating the 200,000 per manufacturer limit, manufacturers are encouraged to sell as many as they can, not limit the production to stretch out the credit. Alternatively, I wouldn't mind seeing an overall industry limit (combined among all manufacturers) rather than a time frame, to create more competition between manufacturers for those rebates. That's much tougher on the manufacturers though, because it is more uncertain as to the end date.

I'd love to see the government encourage charging station installations too.

If you want more of something, create an incentive for it. If you want less of something, tax it.
 

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This from the Bill Summary
This bill amends the Internal Revenue Code, with respect to the tax credit for new plug-in electric drive motor vehicles, to change the phase-out period for the credit to calendar year 2022.
The description is very short. How do you interpret this?
I read this as, GM and Telsa who have reached or are just reaching their 200k limit can continue to sell vehicles that will qualify for the credit until 2022.

If so, then this sounds good to me.
 

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This from the Bill Summary


The description is very short. How do you interpret this?
I read this as, GM and Telsa who have reached or are just reaching their 200k limit can continue to sell vehicles that will qualify for the credit until 2022.

If so, then this sounds good to me.
Yes that is the intent. Gives them another 3+ years of credit incentives.


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I would agree first come first serve til 2022. And why not those that put up first should continue to benefit but hopefully it puts pressure on the others to engage and provide products.
 

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This from the Bill Summary


The description is very short. How do you interpret this?
I read this as, GM and Telsa who have reached or are just reaching their 200k limit can continue to sell vehicles that will qualify for the credit until 2022.

If so, then this sounds good to me.
Just gotta compare it to the original text referred to to see what it means. The section it's replacing is the whole bit about 200k vehicles from individual manufacturer, and it instead sets it to 2022 FOR EVERY manufacturer. GM and Tesla keep getting rebates and don't have to face Honda EVs being sold at a $7500 tax discount without it.
 

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Just gotta compare it to the original text referred to to see what it means. The section it's replacing is the whole bit about 200k vehicles from individual manufacturer, and it instead sets it to 2022 FOR EVERY manufacturer. GM and Tesla keep getting rebates and don't have to face Honda EVs being sold at a $7500 tax discount without it.
Of course the administration could just put a tariff of $7500 on all EVs not Made in America. ;)
 

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Of course the administration could just put a tariff of $7500 on all EVs not Made in America. ;)
Would that also apply to Tesla where only half of it is "made in America" (less than half if you don't include the part made in Canada)?
 

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Would that also apply to Tesla where only half of it is "made in America" (less than half if you don't include the part made in Canada)?
The whole thing is a joke because most complex products are by nature international. We are already an economically interconnected world, and any effort to decouple and "nationalize" that will ultimately be a failure.
 

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Of course the administration could just put a tariff of $7500 on all EVs not Made in America. ;)
What for? This amounts to the same thing when 2022 rolls around and both GM and Tesla have long and deeply benefitted and other manufacturers haven't had EVs to sell to make up for it.

I'd love to spread the credit over three years, though, to make sure more people could fully use it.
 

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What for? This amounts to the same thing when 2022 rolls around and both GM and Tesla have long and deeply benefitted and other manufacturers haven't had EVs to sell to make up for it.

I'd love to spread the credit over three years, though, to make sure more people could fully use it.
Sarcasm...just sarcasm.
 

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as long as they don't find out we are only using 10 of the 16 Kwh.
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I for one will miss our long threads on what a tax credit is all about.
 
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