Finance
Co-Sponsors: 3 – 1 Democrat, 2 Republicans
This bill increases the number of consumers eligible for a tax credit after purchasing a qualifying vehicle. The current law allows consumers to receive a $7,500 tax credit once the cap of 200,000 of vehicles is met. Consumers have through the calendar quarter after the cap is hit to receive the full tax credit, after that the value of the credit decreases to 50% and 25% over the next 12 months and then it is phased out entirely. This bill raises the cap to 600,000 vehicles per manufacturer and allows for a $7,000 credit through the calendar quarter after the cap is reached. The credit value is decreased to 50% and then phased out entirely after six months. Under the new bill, the $7,500 tax credit is still available for first 200,000 vehicles sold. The bill would also allow the hydrogen fuel cell credit to extend for ten years, through 2028. (Summarized from Stabenow press release)