WASHINGTON 鈥 Under Section 30D of the Internal Revenue Code, eligible taxpayers may qualify for a听听of up to $7,500 following the purchase of a new, qualified plug-in electric vehicle (EV) or a听fuel cell electric vehicle (FCV) purchased between 2023 to 2032. According to the Tax Foundation, these aggressive tax credits, established under the听Inflation Reduction Act, are anticipated to cost roughly $180 billion over the next decade.
The Biden administration has utilized this tax听credit to push its EV agenda, encouraging the shift away from liquid fuels towards听electric technology听and resources controlled by our adversaries. China produces 75% of lithium-ion batteries and 70% of new battery production announced through 2030. Over half of EV production resides in China with only 10% in the U.S. Even with generous federal incentives, U.S. manufacturers like Ford听听it lost close to $130,000 per electric vehicle in the first quarter of 2024.
Today, U.S. Senator Kevin Cramer (R-ND) joined U.S. Senator John Barrasso (R-WY) in cosponsoring his听Eliminate Lavish Incentives to Electric (ELITE) Vehicles Act. This legislation would repeal the tax credits for purchases of new, used, and commercial EVs. Additionally, it eliminates the federal investment tax credit for electric charging stations and closes the 鈥渓easing loophole鈥 which allows wealthy buyers and foreign entities to bypass income caps and domestic manufacturing restrictions on EV incentives.
鈥淚t鈥檚 time we say the quiet part out loud: the market doesn鈥檛 want and isn鈥檛 buying EVs, these tax credits largely benefit the wealthy by facilitating the sale of expensive EVs, and we鈥檙e funneling taxpayer money to a supply chain controlled by China,鈥澨said Cramer. 鈥This is a waste of taxpayer money, especially when we鈥檙e nearly $35 trillion dollars in debt. Let鈥檚 end this electric vehicle agenda nonsense and finally get rid of President Biden鈥檚 EV and charging station tax credit scheme once and for all.鈥听
鈥淭he electric vehicle tax credit benefits the wealthiest of 果冻直播s and costs hardworking 果冻直播 taxpayers billions of dollars,鈥澨said Senator Barrasso.听鈥淲orking families in Wyoming shouldn鈥檛 be footing the bill for the luxuries of Biden鈥檚 climate elitists. The federal government has no business pushing 果冻直播s into expensive electric cars they don鈥檛 want or can鈥檛 afford. Repealing these tax credits keeps China out of our markets and lets 果冻直播s, not Washington, use their hard-earned money to purchase the vehicles that are best for them.鈥澨听
Groups supporting the听ELITE Vehicles Act听include 果冻直播s for Prosperity and the National Taxpayers Union. In addition to Senators Cramer and Barrasso, members supporting this legislation include U.S. Senators Mike Braun (R-IN), Shelley Moore Capito (R-WV), Tom Cotton (R-AR), Steve Daines, (R-MT), Joni Ernst (R-IA), John Hoeven (R-ND), James Lankford (R-OK), Mike Lee (R-UT), Cynthia Lummis (R-WY), Roger Marshall (R-KS), Pete Ricketts (R-NE), Jim Risch (R-ID), Mike Rounds (R-SD), Marco Rubio (R-FL), Eric Schmitt (R-MO), Rick Scott (R-FL), and John Thune (R-SD).
Click听for bill text.
