Reply to post: Tax Law - I doubt MANY who qualify for the credit can use it.

Tesla share crash amid Republican bid to kill off electric car tax break

Captain Obvious

Tax Law - I doubt MANY who qualify for the credit can use it.

"you're not going to rake in billions by cutting tax credits on those sales because those sales won't be there if you cut the tax credit."

Maybe all of you should ACTUALLY look at how the credit works. If you get a credit, but have NO tax liability or are getting a refund before the credit, you get nothing. I am getting REAL sick and tired of all the news not researching before posting articles. I never read the current news anymore because three days later, the truth tends to finally get out and of course the retractions are ALWAYS buried in small print (true regardless of political affiliation) See below:


What does it mean that a $7,500 credit is allowable for vehicle? Why wouldn’t I get the full amount?

A manufacturer has to certify to the IRS that a particular make, model and model year meets the requirements for the New Plug-in Tax Credit and certify the maximum amount of credit allowable based on that vehicle’s battery capacity. However, although a vehicle qualifies for a certain amount of credit, there is no guarantee the taxpayer will be able to claim the full amount. The New Plug-in Tax Credit is non-refundable so the purchaser can only claim it to the extent he or she has a tax liability that year. For example, if a taxpayer purchases a vehicle for which $7,500 of credit is allowable, but the taxpayer only has a tax liability of $3,000 then he or she won’t be able to use $4,500 of the allowable credit.

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