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Some residents qualify for a local rebate of $3,000

The state pushing the hardest to transition drivers from gasoline-powered vehicles to electric vehicles and hybrids is California. Part of the state’s push to get people to adopt electric vehicles has come by way of tax credits and rebates (which are in addition to rebates available at the federal level).
 
All of those rebates can be combined making for a significant discount off the purchase price of an electric vehicle. The state of California offers a $2,500 rebate on the purchase of an electric car. The federal tax credit for buying an electric vehicle is $7,500. However, the San Joaquin Valley Air Pollution Control District recently announced that it is offering drivers in the district another $3,000 to purchase an electric vehicle.
 
When combined the local, state, and federal tax rebates, this represents a total of $13,000 off the price of an EV. To compare, in the state a new gasoline-powered Toyota Corolla has a sticker price of just under $18,000. By comparison, the electric Mitsubishi iMiEV has a sticker price of $29,975. That is a huge difference between factory MSRPs for the vehicles, but when you knock off the $13,000 in credits, the purchase price of the Mitsubishi EV is a more palatable $16,975.
 
Despite the significant discount, most drivers still stay away from electric vehicles. The biggest reason is range anxiety and long charging times. However, electric vehicles can be cheaper to operate. An example would be to drive the gasoline-powered Corolla mentioned before with a travel distance of 40 miles a day with gasoline at $3.95 per gallon would cost the driver $150 a month. Charging the electric car to drive the same distance each day would cost about $50.
 
President Obama is also seeking to expand tax credits for EVs by bumping the federal credit from $7,500 to $10,000, making the price gap even less if approved.

Source: CBS47.tv



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RE: More hanouts for the rich
By Spuke on 8/24/2012 2:16:08 PM , Rating: 2
quote:
1) these programs are for people that make $35k a year. If at the end of the year you've paid $10k in taxes to the federal government you get a refund check BACK. a credit is different from a deduction people. why is this so hard to understand?
Jesus people! THERE'S NO REFUND!!!!!!!!!!!!!!!!!!!!!! If you owe $4000 in taxes (someone making $35k is NOT going to owe anywhere near that much...you're still in the refund bracket), you get $4000 APPLIED to your $4000 liability. There is no check to cash, no refunds, and no rebates.


By BifurcatedBoat on 8/24/2012 8:32:42 PM , Rating: 2
You cannot come out net-positive for the year on federal taxes via this credit.

However, if you've been making estimated Federal income tax payments all year - and if you work a normal job they've automatically been deducting it - then you can get up to all of that money back in the form of a refund check.

So if your tax liability for the year is $7,500 or more, and that tax has already been given to the government in the form of estimated withholdings, then yes you would get a refund check for the full $7,500.

Only if your Federal liability is less than $7,500 would you not be able to get the full amount. Chances are though, if you're even considering buying a new car, you probably owe more than $7,500.


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