The 700 Billion dollar bailout bill just passed the house, and automakers got $25 billion in low interest government loans, and plug-in tax credits have now been passed by both the House and the Senate, making the Chevy Volt $7,500 cheaper.
This provision provides a tax credit for buyers of plug-in electric vehicles and provides a base of $2,500 plus an additional $417 per kwh for batteries greater than 4 kwh. For the Chevy Volt, that works out to $7,500 per car.
But act quick, the credit will be applied to the first 250,000 plug-in cars sold in the US and will be phased out to 50% for the following two quarters, and 25% for the two quarters after that before ending. The total cost of the credits will be $758 million.