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You don't need to be rich to get the EV tax credit, especially if they do pass the $4,000 one for used EV's. I'm not advocating that the credits still exist as I feel that EV's can sell on their own merits, but not all EV's are $100K+ Teslas, Lucids or Porsches, some are cheaper little Fords, KIA's and Chevy's. The average price of a new car (ICE, not EV), is $48,000 and some EV's are well below that so it's possible. If they pass the used EV tax credit, that price can get down to half the cost of the average new car, sometimes less depending on where you live.
 

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So people who have to buy cheap vehicles because that's what they can afford will have to subsidize rich people buying expensive vehicles through tax subsidies.
No. A tax credit is not a subsidy, a tax credit reduces the amount of debt you owe. If you owe, say, $5,000 in taxes but buy a used EV you would get a $4,000 tax credit which would lower your taxes owed to $1,000. You do NOT get a check. A subsidy is a direct payment to an individual or corporation, like big farms get for growing corn for ethanol production or like orange grove owners get for growing oranges as a commodity.
 

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As opposed to tax breaks for the 48% of population that does not pay any Federal Income Tax.

Ha ha ha.
Ah, but 81% of us pay payroll taxes so we aren't exactly NOT paying taxes. The reason 57% (for 2021) don't pay FIT is because they fall below the cut-off after they figure their AGI, not because they're cheating (like rich people do). They don't make enough money to have to pay taxes, according to the tax code. But I digress.....this is not what this thread is about.
 

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In other words, a subsidy.
No. You don't get a check for $4,000. It's a credit, a reduction in the taxes you owe, not a cash payment from the Government. There's a big difference between the two. One is an incentive to lower your tax bill, the other is available only to "poor" corporate farmers or oil companies or housing developers as a CASH incentive to keep in business. Big difference.

Subsidies are much different than tax incentives; rather than reducing how much an individual or business owes, which is what a tax incentive does - hence the name "TAX incentive", subsidies directly give money to the individual or business to use as they see fit. Much like tax incentives, subsidies are a way for the government to reduce the cost of doing business. Elon Musk can get subsidies if he wanted, you and I cannot, but we can purchase something that the Government has incentivized by offering to reduce our April 15th bill, not with actual cash money, but a "wiping away" of a set sum or percentage of that debt in exchange for making that purchase that they wish to encourage. Tax incentives can be placed on items built in America to help American workers or placed on certain products to encourage growth in burgeoning markets. Subsidies are usually paid out to reduce the economic effects of fluctuating markets (i.e., the corn/ethanol industry, oil exploration and production, housing development, healthcare, commodities markets such as orange juice, pork and wheat). It's in the name, guys. Doesn't get any easier than that.
 

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Did it get changed to applying the credit at the point of sale or is it still only when you file.
Never at the point of sale, always when you file. I did read that certain dealerships were offering to drop the $7,500 off the price if you signed over the incentive to them but the IRS never allowed the money to come off the purchase price at the point of sale, it always had to be filed with your taxes.
 

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Yes, the bottom half payroll taxes.

Bottom half adults don't pay anything for the the Military. Or the Federal bureaucracy.

That is not their fair share. That is cheating.
Nope. It's not. "Bottom half adults" according to the tax code, do not make enough to pay taxes after their deductions are figured in. That's how it works, is it fair? It's more fair for them than it is fair for Bezos to have a $0 tax bill.

Do you honestly think that the IRS collects our money and divides it up amongst all the bills the Government has? This country would be broke in 5 minutes if that's how it worked. It doesn't. The Fed doesn't operate like a household with "income" and "expenses", heck it's not even like a State or City government. The Government has all the money it needs to pay for the military (not that any of them give 2 poops about the Vets - but I digress....), it's called deficit spending. You and I don't pay the IRS to pay that down either. The IRS is just a big accountant, really. They track what came in, "burn it" and move on. It doesn't get applied to debt, it doesn't get "spent". It just doesn't exist anymore.
 

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So everybody thinks that if my neighbor Bob owes $5,000 in Federal taxes so he buys a $30K used Ford Mustang Mach-E and gets $4,000 of his taxes erased, the other 329,999,999 of us will have to cough up $0.000012121212 to make up for him robbing us blind? Well, I hate to see what happens to all of us when everyone's hero Elon Musk gets out of paying his $25,000,000 in Federal taxes. That one is going to hurt. (insert eyeroll here)
 

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Leases are applied at point of sale. In the previous bill it was said that it would change for all sales not just leases.
I just don't think EV's need the incentive. The sign at the local Shell/Mobil/Bucky's is incentive enough for those that can utilize an EV in their lives. No need for the incentives, just keep giving those subsidies to the oil & gas industry, I say!.
 

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Which gasoline and diesel-powered vehicles in the U.S. market cost "way more" than their BEV counterparts comparably equipped?
Are we really going to pick nits on this? Of course there are ICE cars that cost more than, say, a Nissan Leaf or Chevrolet Bolt. I don't see why this is even a question. Some BEV's are expensive, some ICE cars are expensive. Some BEV's are inexpensive, some ICE cars are inexpensive.
 

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The Tax Credit went to the Manufactures, not the Consumer. Look at the Price Reduuction on the Bolt for an example. Now that the Credit is Gone, GM reduced it's price by nearly the Tax Credit.

Why was the Volt nearly 10K more than a Malibu? Because of the $7500 Credit made it relatively Priced.
???????
 

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:unsure: ???????? :whistle: .
I don't know where InCogKneeToe got that info, but I don't think it's true. The Bolt price was cut to try and get them all sold to make up for the recall and since the new Ultium models are coming they are old tech, NOT because GM couldn't get the full $7,500 on them anymore. GM never received the $7,500....the buyer did. The Volt was $10K more (and it was actually more than that) than the Malibu to offset the investment cost, not because GM got a credit....and since the credit is based on battery size (sort of), the Volt was never able to have the full $7,500 tax credit, it could only get $3,750.
 

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The Volt WAS able to use the entire $7500 tax credit. My 2014 lease "shared" the entire $7500. On my daughter's 2017, the lease company shared roughly $6000 of the tax credit up front.
Oh, my dealer said that since it only had a 17kwh battery it wasn't allowed the full $7,500.....then he realized I was buying a used one and they can't get ANY tax credit. Perhaps he was wrong, but then again, I would have bought it regardless. It also depended on WHEN you bought it. From 2010 to 2019 a new one could get it $7,500, after 2019 it was $3,750. I don't care if a car has the tax credit or not, that's not a determining factor for me on whether or not I buy one.
 
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