Sexy_owner
Member
I think what "Unclepaul" said has some weight on this matter. If they don't pass the new bill, the Chinese EV's would continue to benefit from current $7.5K credit possibly "getting a beach head in USA."
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Tesla EV Tax Credits coming back?
- Thread starter hnguy054
- Start date
Cheap imports would still qualify for $7500 incentive so the only aspects that provide incentives for US-first production would be the $4500 union labor and US made $500 battery credit. So no, I don't agree with the conclusion "everything to do with protection against the pending hordes of Chinese EV's". Those imports will still come, incentives or not, and start carving out the bottom end of the market until Tesla or another US based company starts producing cars that go after that segment in sufficient quantity.
Sexy_owner
Member
The pending legislation would exclude all Chinese EV's from receiving incentives.
GrandEnigma
Member
I agree. Until the old credit is officially sunset there is no reason to do a look back. Jan 1 2022 would be a clear time for that to happen as the tax year is over and the old can be sunset and the new enacted for 2022. No since is complicating the current tax year for people that knowingly bought an EV that was elegible or not based on the current incentive.
Spidey616
Member
If this is accurate potential good news for passing BBB with the ev incentives.
First I've seen that explicitly mentioned. There are proposals and permutations which include additional incentives for US made / union made aspects. but the base 7500 is maintained, irrespective of where it's manufactured.
EV Incentive Hike Faces Tortuous Path Through Congress
A proposed larger $12,500 tax credit to incentivize consumers to purchase an EV has stringent limitations that disqualifies most EVs sold in the U.S.
www.forbes.com
[EDIT] NM I see it here in the Forbes article, good catch!
11. Chinese made EVs would be ineligible for the tax credit.
Senator John Cornyn, the Republican Senator from Texas, introduced an amendment (p. 55) that excluded Chinese produced EVs from the tax credit. In a rare move of bipartisanship, this amendment was passed unanimously.Wow...first I have heard of that as well. I am assuming, if passed, this could cause some of the Chinese EV companies to build factories in the US.First I've seen that explicitly mentioned. There are proposals and permutations which include additional incentives for US made / union made aspects. but the base 7500 is maintained, irrespective of where it's manufactured.
EV Incentive Hike Faces Tortuous Path Through Congress
A proposed larger $12,500 tax credit to incentivize consumers to purchase an EV has stringent limitations that disqualifies most EVs sold in the U.S.
[EDIT] NM I see it here in the Forbes article, good catch!
11. Chinese made EVs would be ineligible for the tax credit.
Senator John Cornyn, the Republican Senator from Texas, introduced an amendment (p. 55) that excluded Chinese produced EVs from the tax credit. In a rare move of bipartisanship, this amendment was passed unanimously.
Sexy_owner
Member
First I've seen that explicitly mentioned. There are proposals and permutations which include additional incentives for US made / union made aspects. but the base 7500 is maintained, irrespective of where it's manufactured.
EV Incentive Hike Faces Tortuous Path Through Congress
A proposed larger $12,500 tax credit to incentivize consumers to purchase an EV has stringent limitations that disqualifies most EVs sold in the U.S.
[EDIT] NM I see it here in the Forbes article, good catch!
11. Chinese made EVs would be ineligible for the tax credit.
Senator John Cornyn, the Republican Senator from Texas, introduced an amendment (p. 55) that excluded Chinese produced EVs from the tax credit. In a rare move of bipartisanship, this amendment was passed unanimously.
11. Chinese made EVs would be ineligible for the tax credit.
Senator John Cornyn, the Republican Senator from Texas, introduced an amendment (p. 55) that excluded Chinese produced EVs from the tax credit. In a rare move of bipartisanship, this amendment was passed unanimously.I googled it for you --> Latest on Tesla EV Tax Credit (November 2021) - Current and Upcoming in 2022
Spidey616
Member
Sexy_owner
Member
They just need to purchase Polestar 2 in 2021 and it's good! Assuming the new bill gets passed...
Rating agencies…. Lol
leaftoy
Member
Is the current proposed legislation written to replace existing legislation or does the old 200k per manufacturer regime continue until each manufacturer exhausts their 200k? i.e., Do people who would have qualified for the credit in 2021 suddenly find themselves excluded because the vehicle they are considering is above the MSRP limit or their income is above the AGI limit?
Yes, I did update my post, super interesting and I'm surely widely supported. Let the EV trade wars begin!
Sexy_owner
Member
Yes, the pending legislation would replace the old one and remove 200k cap.
Chinese vehicles will arguably gain more by removing the cap than US automakers stand to gain by a US-made tax credit that, at best, will lead to issues with trade agreements and, at worst, be nullified in order to comply with those agreements. The Chinese have always been willing to cut prices to undercut competition (and drive them out of business). Why should they do any differently with EVs?
Sexy_owner
Member
If I had to choose between $25000 Tesla 2 and $25000 Chinese EV, I would go with Tesla 2, Thank you!
First I've seen that explicitly mentioned. There are proposals and permutations which include additional incentives for US made / union made aspects. but the base 7500 is maintained, irrespective of where it's manufactured.
EV Incentive Hike Faces Tortuous Path Through Congress
A proposed larger $12,500 tax credit to incentivize consumers to purchase an EV has stringent limitations that disqualifies most EVs sold in the U.S.
[EDIT] NM I see it here in the Forbes article, good catch!
11. Chinese made EVs would be ineligible for the tax credit.
Senator John Cornyn, the Republican Senator from Texas, introduced an amendment (p. 55) that excluded Chinese produced EVs from the tax credit. In a rare move of bipartisanship, this amendment was passed unanimously.
No Senate bill or amendment has any standing if the House passes the BBB boondoggle and sends it to the Senate for consideration under Reconciliation. Only amendments to that bill matter, and there is no current China exclusion in the House bill. If the Senate had passed their own bill, which they didn't, there would be a Conference Committee to deal with the difference, amendments to a bill under discussion have zero standing if the Bill isn't passed. In fact, a Senate bill never would have gone to a vote because of the filibuster.
*exacerbates the problem. I didn't know of 'exasperates' or forgot, thanks for refresher.
So this bill will harm the williness of anyone/family above the income limit to choose an EV. Once someone purchase the EV without getting the tax credit, then the net resale value will decline sharply. Especially this person would not consider the cheaper EV, since the majority of the buyers would get the tax incentive on a new EV.
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