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Showing results for tags 'tax'.
Found 4 results
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EV Tax Credit Survives Tax Bill Reconciliation
Drew Dowdell posted an article in Automotive Industry
As lawmakers continue to work on comprehensive tax reform, one item related to the automotive industry on the table was the tax credit for electric vehicles. The credit, which can be up to $7,500, was dropped in the House version of the bill but kept in the Senate version. The credit was started in 2009 as part of the economic stimulus package as a way to encourage investment by auto manufacturers in the development of electric powered or assisted vehicles. The the current version of the bill in reconciliation keeps the credit. Analysts estimate that scrapping the credit would save $200 million over the next 10 years. The credit is capped at 200,000 qualifying vehicle per manufacturer, which no automaker has yet reached. Most manufacturers have announced billions of dollars in investment for sweeping changes to their lineups with many models gaining plug-in hybrid variants over the next 5 to 7 years. Related: GM Launching 20 EVs by 2023 -
As lawmakers continue to work on comprehensive tax reform, one item related to the automotive industry on the table was the tax credit for electric vehicles. The credit, which can be up to $7,500, was dropped in the House version of the bill but kept in the Senate version. The credit was started in 2009 as part of the economic stimulus package as a way to encourage investment by auto manufacturers in the development of electric powered or assisted vehicles. The the current version of the bill in reconciliation keeps the credit. Analysts estimate that scrapping the credit would save $200 million over the next 10 years. The credit is capped at 200,000 qualifying vehicle per manufacturer, which no automaker has yet reached. Most manufacturers have announced billions of dollars in investment for sweeping changes to their lineups with many models gaining plug-in hybrid variants over the next 5 to 7 years. Related: GM Launching 20 EVs by 2023 View full article
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Automakers go to great lengths to avoid being hit with the 25 percent chicken tax when they import trucks or vans into the U.S. Mercedes-Benz takes the cake for the most absurd method. For the past decade, Mercedes-Benz would build Sprinter vans fully in Germany before disassembling them and shipping the pieces to South Carolina. Workers in a small assembly building would put the vans back together. This method allowed Mercedes-Benz to claim the vans as "locally made". "I really couldn't believe it. To build up and tear down, that's really something that hurts me, personally. And the costs!" said Volker Mornhinweg, worldwide head of Mercedes-Benz Vans. Mornhinweg first learned about this back in 2010 and like us, found himself wondering 'WHY?!' Thankfully, Mornhinweg began working on making this process not seem like Rube Goldberg machine which will fully culminate with a new assembly plant in South Carolina that will be tasked with building the next-generation Sprinter, most likely in 2018. Source: Automotive News (Subscription Required) View full article -
Mercedes-Benz's Absurd Way Of Avoiding the Chicken Tax
William Maley posted an article in Mercedes Benz
Automakers go to great lengths to avoid being hit with the 25 percent chicken tax when they import trucks or vans into the U.S. Mercedes-Benz takes the cake for the most absurd method. For the past decade, Mercedes-Benz would build Sprinter vans fully in Germany before disassembling them and shipping the pieces to South Carolina. Workers in a small assembly building would put the vans back together. This method allowed Mercedes-Benz to claim the vans as "locally made". "I really couldn't believe it. To build up and tear down, that's really something that hurts me, personally. And the costs!" said Volker Mornhinweg, worldwide head of Mercedes-Benz Vans. Mornhinweg first learned about this back in 2010 and like us, found himself wondering 'WHY?!' Thankfully, Mornhinweg began working on making this process not seem like Rube Goldberg machine which will fully culminate with a new assembly plant in South Carolina that will be tasked with building the next-generation Sprinter, most likely in 2018. Source: Automotive News (Subscription Required)
