The End of 2011 Brings the End of Three EV Tax Credits

The political climate in Washington D.C. right now is contentious these days, to say the least. Chief among these debates is that about the budget deficit and wasteful spending. So it should come as no surprise that, just as electric vehicles and plug-in hybrids start gaining market share, the Fed’s have decided to let three generous tax credits expire at the end of 2011.

The up-to $7,500 tax credit for purchasing an electric vehicle or plug-in hybrid will remain intact through 2012. However, the maximum tax credit of $1,000 for installing a home charging station is set to expire on Sunday, January 1st. Also expiring is the tax credit for two-or-three-wheeled electric vehicles with battery packs of at least 2.5 kWh. This credit was good for up to $2,500. The final credit to expire is one that offered up to $4,000 for converting a gas-powered vehicle to either an EV or plug-in hybrid.

The timing is pretty awful as EV’s just begin to hit that critical mass…but on the same token, there is an argument for making this EV’s stand on their own two legs, right now. But I wonder how much money this is actually going to save the government, as I don’t personally know of anyone who has taken advantage of any of these tax credits. Maybe it is best to just sweep them under the table, giving EV haters less ammo for their arguments.

Thoughts?

Source: DOE | Autoblog Green