From: Green Car Reports
Today, most plug-in electric car buyers qualify for a Federal income-tax credit of $2,500 to $7,500–but Senator Harry Reid thinks those incentives should be expanded.
He proposes to overcome one challenge with that incentive: Buyers must wait up to 15 months to realize the benefit, which they don’t earn until they file their annual income taxes for the year of purchase.
(Leasing an electric car, however, allows the lessee to benefit immediately, with the tax credit generally used by the financier to reduce the monthly payments.)…
President Barack Obama has urged in his last three budgets that the highest credit be raised to $10,000.
Obama has also proposed that dealers be allowed to take the credit, which they could then apply to the purchase cost, effectively making it an immediate rebate–which would let buyers see the benefit immediately.
Congress has taken no action on either of those proposals, nor does it seem likely that it will do so in today’s highly partisan political environment…
Read complete article here.