Senators propose killing $7500 EV tax credit, adding new $1,000 tax for road repairs

[redtrex666]

Not unexpected but Trump looking to kill the tax credit.....

https://www.reuters.com/business/au...tax-new-ev-sales-pay-road-repairs-2025-02-12/

 

[PMurphy]

Meanwhile, many states continue to raise the 'EV surcharge' vehicle registration fees. I saw one post claiming $500 in one southern state (of course).
Most are flat fees, meaning no proportionality to the mileage driven or vehicle weight.

 

[PMurphy]

I have always had mixed feelings about EV gas tax exemption (roads don’t fix themselves). If you look at truck plates the weight of vehicle determines the registration fee. Can’t really argue that increased weight does not increase road damage and obviously EV’s weigh more than ICE counterparts. Need to figure out a appropriate balance.

 

[Roger 123]

Meanwhile, many states continue to raise the 'EV surcharge' vehicle registration fees. I saw one post claiming $500 in one southern state (of course).
Most are flat fees, meaning no proportionality to the mileage driven or vehicle weight.

It's not only for EV's, VA charges extra for "fuel efficient" vehicles as well, it's called a "highway use fee".

 

[ScoutMagnatta]

Are These federal taxes be used on state roads?

 

[fistswithyat0es]

“EVs can weigh up to three times as much as gas-powered cars, creating more wear and tear on our roads and bridges," Fischer said.

My 4 year old justifies her need for fruit snacks better than these assholes justify legislation FFS.

 

[timmyhil]

Here's how tax credits EV incentives ETC. I look at it like this if you live to age 75 and calculate you start paying substantial federal and state taxes starting at 25 so go 50 yrs you paid federal income taxes average yrly amount 6 k X 50 = 300k so if I can get back 7500 or whatever I can get back from government I'm all in. Scout for most will hopefully keep our minds off of the geniuses currently steering the ship. And make our lives great again buy putting a great vehicle in our driveways and garages and by that time the country will have a better outlook. But anytime I can get a check from government instead of writing them one is good buy me.

Federal income taxes might be going away. He said it on the campaign trail and so far everything that he said on the campaign trail he’s been doing. And a-lot of governors and senators want to put it in action. Where instead we would be getting a check from the government every year.

 

[Roger 123]

Here's how tax credits EV incentives ETC. I look at it like this if you live to age 75 and calculate you start paying substantial federal and state taxes starting at 25 so go 50 yrs you paid federal income taxes average yrly amount 6 k X 50 = 300k so if I can get back 7500 or whatever I can get back from government I'm all in. Scout for most will hopefully keep our minds off of the geniuses currently steering the ship. And make our lives great again buy putting a great vehicle in our driveways and garages and by that time the country will have a better outlook. But anytime I can get a check from government instead of writing them one is good buy me.

I'm all in on starving the beast, i.e., keep as much money out of their hands as possible. They really don't care though, they just print what they "need".

Problem is you're not getting your money back. Your money was spent wasted. The reduction in your taxes today is going on a credit card (national debt) for your great grandkids to pay, because they didn't reduce spending, they just reduced what they took stole from you..

 

[Roger 123]

Federal income taxes might be going away. He said it on the campaign trail and so far everything that he said on the campaign trail he’s been doing. And a-lot of governors and senators want to put it in action. Where instead we would be getting a check from the government every year.

I don't recall a discussion about all federal taxes going away, I do remember discussions of removing certain incomes from taxes (SS, Tips, etc.).

Did I miss something? I'd be excited to see that!

 

[Scout3]

I don't recall a discussion about all federal taxes going away, I do remember discussions of removing certain incomes from taxes (SS, Tips, etc.).

Did I miss something? I'd be excited to see that!

This was mentioned…Replacing income tax with tariffs. Wasn’t a promise (like shutting down the border on day one etc) but was floated as something to look at.

 

[blmtnc]

Even as a beneficiary of the EV tax credit that was in place back in 2017, I don't believe in it. Or any other kind of tax deduction or credit of any kind. I'd just rather pay less tax to begin with. There's an inherent unfairness in deductions and credits. Why should renters subsidize my home ownership with the mortgage interest deduction? Why should ICE drivers subsidize my PHEV ownership? Why should people without children subsidize those who do (child tax credit)? Get rid of all of this, adjust tax rates so they're revenue neutral without them, and do your taxes on a postcard.

 

[Latrant]

This was mentioned…Replacing income tax with tariffs. Wasn’t a promise (like shutting down the border on day one etc) but was floated as something to look at.

only one paying the tariffs are US customers so it’s no different than a tax.

The exporting country does not pay a tariff. The US importer, then wholesaler then retailer then customer pays the tariff in the form of a higher price.

Domestic competing manufacturers often raise prices or keep them just under tariffed price to have their product look more attractive to US customers.

In effect, if you think tariffs are good, you are paying off the federal debt by paying the higher prices.

What is proven is that no more jobs were created the last time tariffs were used, four years ago and off shoring at carrier or Deere or caterpillar or Harley Davidson continued.

McKinley abandoned his tariffs after they didn’t work over 100 years ago.

You will begin to see more and more layoffs for many reasons.

Credit card debt is climbing and auto loan as well as mortgage default rates are increasing.

Next is inflation, recession, depression and deflation, eventually or a lost generation as occurred in Japan.

 

[Interstellar]

I had a Toyota Tacoma pickup truck (TRD Sport) before owning a Rivian R1T (2023 Dual Motor Large pack). The Toyota's curb weight was around 4500 lbs. The Rivian's curb weight is about 7200 lbs. That is a significant increase in weight for a "like to like" vehicle. However, I only drive about 4000 miles a year. So unless the powers that be can come up with an equitable way of charging tax for miles driven (Similar to gas tax for fuel consumed), I don't think a "flat tax" added on to EV owners is fair.

I also don't believe that it's been proven that EV's cause much more wear and tear on the roads. I think it's really the tractor/trailers that destroy the roads. But they have to be there. Here in Chicago, the roads just deteriorate due to the simple volume of traffic.

 

[timmyhil]

This was mentioned…Replacing income tax with tariffs. Wasn’t a promise (like shutting down the border on day one etc) but was floated as something to look at.

https://www.newsnationnow.com/politics/what-happens-irs-abolished-doge-taxes/

 

[joewilk45]

The EV Tax Credit is not refundable. It is a reduction in the taxes you owe. You need a fairly high income to take advantage of it. That is why a large number of people taking advantage of the credit are leasing. The Leasing company has a high enough tax due amount that they can take the full credit for each vehicle they process (purchase and then lease). They usually pass this credit (or most of it) on to the customer leasing the vehicle, making the lease more affordable.

You lease get credits t and buy out lease after one payment that's the way around it did it with my Volvo