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Write your governor: Tax free for EV!

Write your governor: Tax free for EV!

When thinking about the cost of the car, one must consider the DMV taxes that will be charged. I wanted to be sure, so I checked the Vermont sales rate on vehicles and it is 6%. This adds on quite a bit to the overall cost, so one thing led to another, and suddenly I've written to the DMV, the governor, as well as writing a proclamation! There is a place to do so on the Governor's website, so I figured, what the heck! My main reason for getting this car is an ecological one. There(hopefully)will be the $7500 federal tax credit, but, when I thought about it, I realized that we are going to be on the cutting edge here. It wouldn't be costing states that much to offer waivers to EV's, and it would bring great publicity to the states that enacted such an idea. I think that we are in an interesting position to take action here. If we all write our congressmen, governors, DMV's, we might actually be able to do something positive. It certainly would be an extra incentive to people considering buying a Tesla. It would add up to thousands saved that wouldn't be saved on ICMs. Any thoughts?

bsimoes | June 10, 2012

I can't believe I spelled governor with an E. I do know better!

youlikeadajuice | June 10, 2012

The state of New Jersey actually already does not charge sales tax on EVs...hopefully others will follow suit!

Sudre_ | June 10, 2012

I am a little more liberal than conservative yet I think EVs should make it on their own. Plasma TVs and CDs players made it without tax incentives and I know plasma TVs cost over 10k when they first came out. I think the first basic CD player I bought in the 80s was $300 almost $400.

However.......

Government that requires EVs should at least have taxes abated. If a government is going to force something on someone, the government doing the forcing should pony up and help with the cost if they think it's that important to make it law. I include forcing manufactures to produce x% of EVs in that group of someones.

If the Federal government, or EPA in this case, raises standards to require EVs in any way the Federal government should subsidize or offer tax incentives for EVs. It's the old put your money where your mouth is train of thought.

It appears that is how things are going for the most part.

Timo | June 10, 2012

@bsimoes, if you are thread starter you can edit the starting message. Edit "button" is partially hidden inside the Tesla logo.

murraypetera | June 10, 2012

NY has a bill pending for some time.

http://legiscan.com/gaits/text/251278

I have registered and cast my vote as well as Facebook like and G+ like.

NY government moves at a snails pace.

History
2012/01/04 referred to ways and means
2011/03/22 referred to ways and means

jerry3 | June 10, 2012

- If a government is going to force something on someone

I think "forcing" is a little strong. No one is forced to purchase an EV. They are not like child seats or seat belts which are mandatory (and also a good idea).

At most they are "encouraging" people. The only unfortunate things about it are:

1. Many of the people that purchase an EV would do so anyway.

2. Many EV purchasers already have vehicles that pollute less than the average.

3. Some manufactures have had a price increase that matches the encouragement.

One thing that might be done is to base the credit on the car that will be taken off the road. That is someone who drives a Prius would get less of a credit than someone who drives a 1990s something. And vehicles that were traded in for this plan and over a certain age would get scrapped to get the worse polluters off the roads. Of course, that would hurt me since I drive a Prius, but it could actually do some good.

BYT | June 10, 2012

On the other hand, like Elon said on his June 6 Shareholders meeting, this government not old does subsidies for non-sustainable fuels that should be completely stopped and moved to a more meaningful and sustainable source like on EV. But they even pay money back to these companies in kickbacks and other means. It's so "bass ackwards" and simple WRONG!

bsimoes | June 10, 2012

Timo, thank you so much. I never would have seen that. Even knowing where to look and hover, I could barely see it.

Sudre_ | June 10, 2012

jerry3, " I think "forcing" is a little strong."

I disagree. California is going to FORCE manufactures to sell a certain percentage of EVs in order to sell cars in CA. Other states are going to do the same. I believe the EPA is going to do the same. That means that those companies are going to be forced to make a product that people may or may not purchase in the quantities they will need to reach quotas or purchase credits from other companies that may not have enough to sell.
If government believes that strongly in the EV they should incentive the residents to buy, subsidize the companies to make them or back off and let the cards fall where they may.

I guess I really didn't mean people were going to be forced to purchase.... although the Supreme Court has decided that companies are people.

That's just my opinion.

cybercop | June 11, 2012

In Virginia, your county can exempt evs from excise tax, but many don't. So add writing the County Board of Supervisors to your list. As someone who lives near a major highway, I would be happy to pay people to use cars that emit less pollutiion and SOUND.

Brian H | June 11, 2012

Yabbut, what about all those used electrons piling up around the highway??

<8-0
/R-p

bsimoes | June 11, 2012

Cybercop, thanks for the tip.

lobstermanat42 | June 11, 2012

Scott Walker is gov where we live, not very good odds here

Gator | June 11, 2012

Maryland currently only provides a $2000 tax credit for EV purchase until June 30, 2013. Gator wishes the libs would give him a tax free EV purchase. But Gator would eventually pay for this in the end via yet another tax. The new mileage tax is being discussed in a few states. Gator hates taxes.

phb | June 12, 2012

I live in Oregon so I'm good on the sales tax front, we don't have one. I'm a little miffed, however, that there's only a $1,500 tax credit to purchase an EV. I would think that Oregon of all places would put more emphasis on EV adoption. Then again, there's a lot of rednecks here too.

bsimoes | June 12, 2012

lobstermanat42--I'm so sorry!
This thread has been very interesting for me, because Vermont presents itself as being such a 'green' state; it is after all the Green Mountain state, but the only break for us here would be the $7500 federal tax credit. There are so many states ahead of us. Now that I am on vacation, I really intend on pursuing this. The information you've all provided will help with my "defense".

olanmills | June 12, 2012

No. Those of us buying this car neither need or deserver a tax break. We're not saving the world or helping anyone besides stockholder's and ourselves.

bsimoes | June 12, 2012

olanmills, how nice that you don't need the tax break; believe it or not, many wanting to purchase this car are doing it partially for starting something that could save the world and who are not wealthy. This car will end up costing me about two years of salary, and that's gross not net. I, myself, am a schoolteacher. Enough said.

ddruz | June 12, 2012

Very big +1 bsimoes. More than +1 if it's allowed. Well said.

Timo | June 12, 2012

Where can I get a governor so that I can write to him/her? Are they on sale in best buy?

BYT | June 12, 2012

They are for sale Timo, just not at Best Buy... ;)

BYT | June 12, 2012

I also am not a wealthy person and work at a school, I have been saving for my Model S for a while now and have a pretty good plan to buy it. I unfortunately had to do what I said I wouldn't and sold almost all of my TSLA stock to get on the Signature list, but I would rather have the car when all is said and done.

A tax break for a true EV like the Model S isn't just good for the consumer trying to buy the car, it makes it just a little bit more available to those who may just be borderline able to afford it who otherwise could not. This is good, not only for the Tesla to sell more cars and get to that Gen III goal, but for our environment and it's sustainable. Let's not forget all the benefits a car like this brings to the market that has been seriously lacking for FAR too long.

The breaks this government gives to BS unsustainable resources is frankly criminal! Why the heck not give even a small portion of that back to a responsible party for a change?

ViewAskew | June 12, 2012

I'm not rich, and will have an active plan to pay of my Model S. However, I don't get why someone would think that if you ARE wealthy you shouldn't get a tax break. It's sad that people feel that someone should be punished for being well off. It's not as if the request is if for something special... just give a break to EVERYONE.

Timo | June 12, 2012

Just to comment about your government, for an outsider it looks really odd: over 300million people and just two opinions (IE. parties) how to run the country? Really? With that few options you can never vote to one that actually would do what you want, you'd need to compromise. As a result to outsider you look like "Religious party and that not so religious party".

murraypetera | June 12, 2012

It would be greate if Tesla could add a auto email generator like I have seen for other efforts like this. They could probably leverage some that already exist.

This would benafit them with greater sales and us the consumer.

The auto email geneartor lets you fill in your personal information: name, address, signature and it sends the email or lets you print out the letter to post to your local reps.

Examples:

https://secure2.edf.org/site/Advocacy?page=UserActionInactive&id=1797

https://secure2.edf.org/site/Advocacy?cmd=display&page=UserAction&id=195...

When you click the link it sees where you are and puts in the appropiate Senators, etc.

MandL | June 12, 2012

@Timo - +1 (And I live in the US). We may be politically stunted, but we're getting our Model S' way before you! ;-)

John56 | June 12, 2012

Maybe someone on this board could write and post an articulate letter to our governors for this purpose. I for one would greatly appreciate it and would send it to our Pa Gov. Corbett.

BYT | June 12, 2012

I also would forward such a letter!

jerry3 | June 12, 2012

Given that most governors are now confiscating your financial institution accounts if you don't access them every few days, I'm not all that hopeful. Right now there is one too many layers of government in the U.S. I'm not sure if it's the county or the state, but one of them should go because they add taxes and bureaucracy without adding value.

bsimoes | June 13, 2012

I am glad that there is, for the most part, support for this idea. I am working on composing some sort of letter, and the information at this site will help greatly. I have a bit more research to do. Give me a few days, and when I'm done with a draft, I will post it for comments so that it can be excellent.
A number of years ago, I decided that I wanted our town to have mail delivery. (!) At that point, we had to go down to the post office to pick it up. The hours were extremely limited and the parking lot was tiny; every day there were near accidents from people in a hurry. I worried for my mom who was nearing her 70's. I composed a letter outlining all of the reasons why I felt that we should have mail delivery and then photocopied hundreds of letters, pre-addressed envelopes and then went door to door, explaining that if people were interested, to please sign the letter, put a stamp on the envelope and send it in. I was told by many that they had tried to get mail delivery in the past, and that it would never happen. Single voices won't get much action, but working together can. Long story short...the PO was inundated with these letters, and a few weeks later, I was putting up a mailbox by the street. I now have a street address rather than a PO box.
I'm thinking that we send many copies to many agencies and governmental committees: state and federal representatives, EPA, county board of supervisors, etc. I'm thinking we can even have the proclamation and then get signatures. I don't know; but I do believe that this is hopeful. Please offer any suggestions as to how best proceed.

murraypetera | June 13, 2012

bsimoes,

http://www.edf.org/action

has the ability to do all this with their exising system.
We just need to get them to post an EV Tax letter.

bsimoes | June 13, 2012

Thanks murraypetera. I'm working on composing something. I'm in the research stage, and I want to gather quotes from various reports, etc. Please, anybody else who would be willing, compose as well. The more, the merrier!

lobstermanat42 | June 13, 2012

Thanks bsimoes, so am I,

We tried getting rid of him but out of state billionaires bought the election, stinks that the people can't wake up. Anyways we are a +1 on the truly finding a state rebate of some sort coming in handy, we are getting the car for environmental reasons, not status. We never pictured spending THAT much on a car, but we will be keeping it for the warranty period plus, and I use a lot of gas for my job, so that will offset things quite a bit.

bsimoes | June 19, 2012

I have written a first draft of a very generic letter so that anyone can use any or all of it. Obviously the salutation is not as it would be, nor the formatting, etc.(Yeah, the formatting really got messed up.) I am putting it out there for comments toward revision. Please be gentle; I am trying to help!
Here it goes:

Dear ________,
It is a good idea to promote electric vehicles(EV’s) in our state. EV’s don’t rely on fossil fuels, which in turn, benefit the environment; they ease our reliance toward the Middle East, and they relieve the consumer of volatile gas prices. It has been an upward battle because of a number of factors. People have “range anxiety” worrying about whether or not they will be able to reach their destination on a single charge. Consumers are leery of the unknown. EV’s are cost prohibitive because of the batteries, new technology and economy of scale. This state needs a proposition which makes the purchasing of electric vehicles exempt from sales tax, so that more people would be willing to purchase such a vehicle.
Range anxiety is a real factor for people considering the purchase of an electric vehicle. One concern is that EV’s lose up to 30% of their charge in winter conditions. Because of this, many models still are hybrids. The Chevy Volt estimates 35 electric miles before needing to be charged again. If they do need to stop and charge, it most likely will take hours to do so. While charging stations are becoming more prevalent, one still needs to consider the time spent charging in order to go any kind of distance. Are people willing to stop an hour in order to drive less than an hour? It is a commitment that people might make if they are offered some real help. The Chevrolet Volt costs nearly $32,000; a Chevy truck can be had for $22,000. Relieving the consumer of sales tax would go a long way to helping one purchase the electric vehicle.
Add to this concern reliability of an unknown. Will the cars continue to be produced? Will the consumer be able to get the vehicle serviced? Will the driver need to be concerned about safety—fire or electrocution? For many, it is safer to stick with the known. Incentives would “sweeten the pot.”
If one wants to be completely free of gasoline, there are options such as the Tesla, which offers a car with 300 miles of range, but in order to get that, one must add on $20,000 to the price of the car for increased battery capacity. While this car is billed as a luxury car, and in fact it is, people will buy it because it has solved the range anxiety issue while totally eliminating the need for gas. It has also gained a five star safety rating. Unfortunately, many of the EV’s on the market today tend to look and feel like toys. The argument has been that if one can afford such a car, then they don’t need a break on sales tax. To read the forums, one would realize that this is not the case; many buyers are committed to getting such a car for safety, environmental and political reasons, even though it will strap them financially.
Many people considering the purchase of an EV are doing so for environmental reasons and to be free of our “addiction to oil.” If one were to look at the cost of solar as an analogy, the argument could be made that the cost doesn’t warrant the expense. People make the investment because they believe strongly in doing their part to make their “carbon footprint” as small as possible. According to the Rocky Mountain Institute, 25 major cities around the globe have been successful in promoting electric vehicles; they all have something in common: they offer substantial financial help to the consumer.
“As the EV City Casebook demonstrates, a number of major cities and regions around the world are committed to making electric mobility a reality. They are actively pursuing ambitious deployment goals through a variety of innovative policy measures and programs. While these approaches are often tailored to each city’s particular circumstances, many common practices emerge. For instance, many cities employ a mix of financial and non-financial consumer incentives to boost demand for vehicles and charging infrastructure. Incentives include rebates or tax credits on vehicles (often paired with national government purchase subsidies), exemptions from vehicle registration taxes or license fees, discounted tolls and parking fares, as well as discounts for recharging equipment and installation.” http://www.rmi.org/Content/Files/EV_City_Casebook_2012.pdf
If we, as a state, are truly serious about overcoming the many obstacles in our path, we need to be serious about helping the consumer purchase and the car manufacturers produce EV’s. If it were made so that the consumer could subtract the cost of sales tax from the purchase of an electric car, while those consumers still buying cars run on gasoline, had to pay the sales tax, it would help to equalize the end cost. This just might be enough to swing the pendulum toward electric vehicles.
Thank you for your consideration to this matter,

Brian H | June 19, 2012

"the argument could be made that the cost doesn’t warrant the expense."

"the argument could be made that the cost benefit/return doesn’t warrant the expense."

lobstermanat42 | June 20, 2012

Thanks bsimoes,

Even with Walker I am gonna try, anybody else in Wisconsin?