In Addition to All the Other Reasons To Own an Electric Audi Car, the Federal Government Is Offering Incentives to Buyers.
A lot has changed since Toyota introduced the first mass-produced electric car, the Prius, in 1997. Since then, car manufacturers have competed with each other to streamline production and accelerate the power within these energy-efficient vehicles. Audi in particular has been making waves with it’s incredible electric vehicle engineering, shown through it’s family of Audi e-tron cars.
There are now more than 50 models of electric cars available on the market, and that number is expected to rise sharply in the coming years. In addition to saving you money on fuel and maintenance, electric cars also cut down on energy emissions, and provide a smoother ride with faster acceleration.
To help promote these energy-efficient vehicles, the federal government (and many state governments) offers tax credits to those choosing to go electric. Here are some details and tips to getting your tax credit when you purchase a new Audi car!
Federal Government Credits
Tax credits only apply to the purchase of new electric vehicles from the manufacturer, so used electric cars are not eligible for tax credits. The tax credit is up to $7,500, depending on the model, make, and purchase year of the electric vehicle. Audi eTron and eTron Sportback models are both eligible for the full $7,500 credit.
You’ll need to complete an IRS Form 8936 and meet the income and liability parameters of the credit. The electric car tax credit cannot directly increase your refund, but it could lead to a higher refund. If your tax liability is $20,000, you could get the full tax credit as a refund. But if your tax liability is only $6,000, you would forfeit the remaining credit. (As always, it’s best to consult a tax professional or accountant to see if you qualify for a tax credit and how it affects your overall income taxes.)
Once each electric car manufacturer reaches 200,000 sales of electric vehicles, that manufacturer’s cars are no longer eligible. You may notice that GM and Teslas are no longer eligible as they have surpassed 200,000 electric car sales.
Check out the full list of electric vehicles qualifying for a federal tax credit.
State Government Credits
Not all states offer tax credits for the purchase of an electric car. Though, some states want to provide additional incentive over and above what the federal government is offering. Check out the list of individual states’ laws and incentives. Look up your state, and find out the incentive applicable to you and your purchase.
Bell Audi in Edison, NJ
?Celebrate the many benefits of owning a new or used Audi in New Jersey, and be sure to explore if you’re eligible for the tax credit (federal and state) on your purchase. If you are still not sure about everything stop by our Audi dealership and a representative will be happy to explain all of the tax credit benefits for you. Check out our Audi lease specials today!
