Featured $100,000 income and $40,000 sales-price limit on EV tax credit

IIRC, their headquarters is in Texas.

The OP article made it sound like any EV credit revisions were taken out of the infrastructure bill.

 

There are 3 diametrically opposed versions of bill floating around, one is horrifying
the others increasingly good

This reminds me of Wisconsin’s hybrid tax bill that was worded in a non-enforceable way got passed then 3 years later started being enforced randomly on vehicles that weren’t supposed to be affected by the increases

 

This bill, indicative of what a mess things are at the federal level.
.

 

No one knows. I think a tax credit is likely for the prius prime but it all depends on what the house does and negotiations in reconciliation. This would kill the tax credit for the more electric miles rav4 prime, or toyota and its dealers would need to drop the price to the customer.

My bet is Washington will screw this up, but the original proposal was screwed up already.

 

Similar to taking a food for orphans bill and changing it to a jail and deport orphans to Antarctica bill instead

 

I am not really into following tax codes but wanted to confirm that this new rule applies for 2022 and beyond. If I ended up purchasing a new BEV this year I can still get $7500 tax credit assuming what I buy qualifies.

One last question is this law now or still up in the air?

Thank you.

Scott

 

I have not noticed any EV specific “Law” pass both houses and the President so all heresay until it’s on the tax form.

No EV tax credit if you earn more than $100,000, says US Senate | Ars Technica

 

someone is not happy

toyota-says-it-will-fight-us-house-electric-vehicle-tax-plan-2021-09-11

 

This is exactly what I said it would be

understand that the whole bill will likely have a lifetime limit in how many rebates you can claim

 

It's still tax credits, which excludes buyers. They make it so the program is only usable by wealthier people.

The only thing I like about it is that it removed the 200k manufacturer limit. The current system rewards those that enter the market later, while there is already advantages to doing so.

The used car incentive seems nice, but I don't think the used EV prices warranted it.

The price limit by market segment isn't needed, but I guess we can't have the Model 3 getting something. really, it awards less efficient models.

I'm ambivalent on the union credit. I think giving more for more American content would help jobs better.

If the proposal was for a minimum wage equal to UAW shops, they'd still complain. Toyota isn't happy that hybrids aren't included.

 

Like Trollbait, I'm reading it as still a tax credit, not as a point-of-sale rebate or discount:

"Of course, it’s important to remember that these are tax credits, not immediate discounts at the point of sale. So, you’ll still be paying the original price for your electric vehicle when you buy it and will have to wait for a tax rebate during tax season."

 

As I was reading this, I'd prefer dumping the money into expanding the electric grid resiliency, security and funding charging stations. People who are spending more than $50k on a car are well off enough to value convenience and will be encouraged to buy EVs when there is a charger or two at every gas station.

The tax credit is nothing more that a gift to the rich, poorer folks won't benefit. But they would when they buy that used EV down the road and the infrastructure is there to support the growing number of EVs..

 

I haven’t been keeping up with this, but as of a month ago:

The bill does provide $73 billion to modernize the nation’s electricity grid so that it can carry more renewable energy, the single largest federal investment in power transmission in history.​

https://www.google.com/amp/s/www.nytimes.com/2021/08/02/us/climate-electricity-infrastructure.amp.html

 

If the tax credit would attack WITHHOLDINGS + Tax Liability with the ability to roll year to year EVERYONE but the most poor could use it.

It should be at purchase with lower income limits because many people could then swing the payments, even if it drives a purchase limit on # of cars.

Even I can’t fully use the full $12,500 in a year without foolishly taking $$$ out of a 401k, I might see $8600 due to not being able to touch ssi/social security withholdings

This would only help bail out states that have made terrible decisions to save a buck.

If expanding grid resilience would mean minimum universal federal nationwide building code requirements similar to Northern Wisconsin regardless of your zone
With a clause that if you don’t up your code to require water mains more than a foot under the soil (as an example) no water supplies through uninsulated garage ceilings similar to the northern state requirements
That the fed could then remove all highway and other funding sources for non-compliance
Then I might support

 

AGI $800,000 limit... OK, if I have that much income, I would not be sweating about the purchase of my next car regardless of the amount of tax credit. The good news is that it seems at least my PP purchased this year should still qualify for a base tax credit for next year's tax return, although it is not clear what the base is going to be for a car purchased in 2021. I will think about replacing it with a BEV when all the dust settles and laws are in place.