Subsidies will have to increase as the downsides of Net Zero and "All-Electric Everything" become more obvious. That was the whole point of the "Inflation Creation Act".
Excellent article, Ed. Very well written. Unfortunately, most people will never make the connection, or even care about the connection. Just "show me the money" either in tax credit or flag waving. Do you know whether the 'tax credit' is in addition to any other 'deductions' or is it included in 'deductions'? If it is included in deductions, I wonder how much effect the 'tax credit' will actually have on a lot of folks' tax amount with the standard deduction at $27,000.
As far as I can tell, hunting through the applicable forms, the EV credit is applied directly to 'taxes owed' after all other deductions and reductions have been taken. Same appears to be true for other residential energy related tax credits such as your solar farm or your wind turbines. No incentive there for us old fogeys who don't pay taxes and are living on 'fixed incomes.' Doesn't matter to me. We have one vehicle, a 26 year old Honda, that will hopefully take us all the way through to the hearse.
I'm betting "clean energy" subsidization will increase as a direct result of GOP mismanaged debt limit negotiations. What say you Ed?
Subsidies will have to increase as the downsides of Net Zero and "All-Electric Everything" become more obvious. That was the whole point of the "Inflation Creation Act".
Excellent article, Ed. Very well written. Unfortunately, most people will never make the connection, or even care about the connection. Just "show me the money" either in tax credit or flag waving. Do you know whether the 'tax credit' is in addition to any other 'deductions' or is it included in 'deductions'? If it is included in deductions, I wonder how much effect the 'tax credit' will actually have on a lot of folks' tax amount with the standard deduction at $27,000.
Thanks, Bob.
I don't know how it is treated. It could make a real difference.
As far as I can tell, hunting through the applicable forms, the EV credit is applied directly to 'taxes owed' after all other deductions and reductions have been taken. Same appears to be true for other residential energy related tax credits such as your solar farm or your wind turbines. No incentive there for us old fogeys who don't pay taxes and are living on 'fixed incomes.' Doesn't matter to me. We have one vehicle, a 26 year old Honda, that will hopefully take us all the way through to the hearse.