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While some electric vehicle companies are floundering, AMP Electric Vehicles has just been cleared by the IRS to give a federal tax credit to its customers.
With the prices of gas steadily increasing, the timing of AMP’s qualification is right on point. Jim Taylor, AMP CEO says “Given the recent increase in gas prices and the low operating cost of an EV, more buyers are turning their attention to EV alternatives.”
Buyers of AMP’s electric vehicles can now get up to $7,500 off in federal tax credits, and additional tax credits of up to $5,000 are also available depending on your state.
AMP provides all-electric versions of Jeep Grand Cherokees and Mercedes-Benz MLs. With the tax credits, it means that buyers could get into an AMP EV for $49,000.
The vehicles both claim a range of at least 80 miles on a single charge, and still boast the same cargo space and passenger room as the standard gas variants, even with the batteries.
The new year is rapidly approaching and with it a host of new vehicles begging to be driven are sitting in dealer lots waiting to wow shoppers. When it comes to new cars, those shoppers often expect more for less as new models hit the showroom, but that wont be the case for electric vehicles like the Nissan Leaf (pictured above).
Next year the government is removing three of the four subsidies available to consumers as incentives to adopt the new technology. The fourth, and arguably most important, will remain in the coming year. A total of $8,500 in tax incentives will get the ax as the ball drops in Times Square, which represents more than half of the total $16,000 in incentives offered this year. Consumers buying EVs next year won’t enjoy this year’s $1,000 maximum to install a home charging station, $2,500 maximum for two- or three-wheeled EVs with 2.5-kWh batteries or larger and the $4,000 maximum for converting either a hybrid to plug-in or a regular ICE to EV power.
People purchasing EVs will still be eligible to receive up to $7,500 in tax credits for buying a new plug-in vehicle, though the subsidy depends on the size of the battery in the vehicle. These incentives are meant to boost the number of EVs sold and will be phased out on a per-manufacturer basis once the individual automakers sell more than 200,000 plug-ins.
It might be good to act before the new year if you’ve been planning on cashing in with those incentives, but don’t worry about losing out on the $7,500 credit that will remain. The 200,000 vehicle figure isn’t likely to be hit any time soon thanks to low selection and relatively high prices for EVs with or without bonuses.
An estimated 14,000 taxpayers claimed $37 million in tax credits meant for buyers of plug-in or electric vehicles, while attempting to pass of vehicles like the Cadillac Escalade, Chevrolet Camaro and “golf cart” as worthy of the credit.
Among the most ignominous offenders were 88 prisoners and IRS employees who attempted to claim the credits. With an estimated $7,500 credit per vehicle, the program is intended to add an incentive to buyers considering the Nissan Leaf or Chevrolet Volt. The IRS said that $130 million of the $163 million given out was legitimate. On the other hand, some claimants listed their vehicle as merely “bicycle”, “taxi” or “golf cart”.
In light of the attempted fraud, the IRS will enact new regulations for trying to claim the credit, including supplying the Vehicle Identification Number on their tax forms, and selecting the vehicle information from a specific list on electronic filing forms.
[Source: The Detroit News]
Hyundai‘s Sonata Hybrid just had its launch in San Diego, and while driving impressions are embargoed until next Monday, we do have a bit of good news to report.
According to Dave Thomas of Kicking Tires, the Sonata Hybrid will be eligible for a $1,300 tax credit from the federal government. The tax credit is a little finicky; the rebate is determined by the vehicle’s city mileage, which means the 36 mpg rated Sonata gets a smaller rebate than the 41 mpg rated Ford Fusion Hybrid, but the credit is only available on the first 60,000 hybrid vehicles sold by the manufacturer. Ford, as well as Toyota, have sold far more than that number, leaving them ineligible for the credit.
[Source: Kicking Tires]