smurf2k

honda fit

GinoGT

Correct me if I'm wrong, but isn't saying the car is $7500 cheaper due to the federal tax credit a bunch of bullshit? A tax CREDIT is where your taxable income is just reduced by whatever amount, in this case saving you from paying tax on $7500. A tax REBATE is where you would be getting a check for $7500. This is a tax credit, not a rebate (unless this is the exception: a refundable tax credit).

In other words: you're still paying 30-some grand and not this "oh, it's only $25,000 after all the tax credits".

I bought a new car a year back and there was a program for a tax credit for the sales taxes and dealer fees paid for the car. As it was a credit, I didn't get a refund for that money, I just had my taxable income amount reduced.

As far as the states go, I've read that California has a $5000 tax rebate, Georgia a $5000 tax credit, and Oregon a $1500 tax credit. Notice one being an actual rebate and the others credits (like broke-ass California can afford to pay people $5k for buying an electric car )

rockville

I thought it was a federal tax credit in that you got your income tax reduced by $7500, not your stated income reduced. However, I could be wrong as I've never looked into the mater too carefully. You are very right to point out the very large difference between "your tax bill is reduced by $7500" and we cut your stated income by $7500. If we assume income tax at 33% then a $7500 credit saves you just $2500. Nothing to shake a stick at but not as good as $7500.
I was currious and found this. This suggests that tax credits mean your taxes are reduced by up to the credit amount. However, if your federal taxes are say only $5000 then you don't get the rest of that $7500. With a tax rebate you will get a refund check for the last $2500.
http://www.publicradio.org/columns/marketp...tax_rebate.html

fishfryer

The Leaf can be a third car, it makes sense for local errands only, and it needs garage space which it isn't worthy of. Get a scooter with a basket instead, save the rest of the $$$ for strippers, vodka and memories.

Chris S

Tax credit = $ for $ reduction in your tax bill. Equal to a discount or rebate, aside from any time value of money differences

Tax deduction = reduction in your taxable income. Cuts your tax bill by (the deduction x your marginal income tax rate)

kix

its not going to be fun being stuck behind one of these in the carpool lane... or any lane

WolfpackS2k

Leave it to California to do this when their state is on the verge of bankruptcy. What a bunch of idiots; they can't pay for their public education but they've got no problem propping up a glorified golf cart.

Randizzle88

I know that cali sucks I live here and hate it. but how many people really drive over 100miles a day?? Even if this car can go up to 300miles people will still hate this technology. People hate everything new that comes out but years later people will have it.

rob-2

It's a good first step which is all this car really is.

Swift GT

Most people don't drive over 100 miles per day on average, but this is America and people do not under any circumstances like to give up their freedoms, whether or not they actually use them. People don't want to give up being able to drive wherever they want to easily regardless of if it is polluting the environment. This is why the Volt is essentially the best of both worlds, electric in situations that are 90% of most people's driving and can run on gas for those occasional trips.