U.S. EV rebate rules do't make any sense

[Richard230]

After reading the attached article that was published in my newspaper yesterday it sure looks like fully battery-powered vehicles are getting the short end of the stick when it comes to the IRS rebate credit for purchasing an EV car. And of course, motorcycles don't even get any part of the stick as they were cut out of the program entirely. If you buy a hybrid car with a 7 kWh battery you can get the full $7,500 rebate, but if you buy a motorcycle with two or three times the battery capacity of a hybrid you get zippo. 

[HadesOmega]

So is it an actual rebate now?  They will give you the actual money back after you purchase an EV?  When I bought my Rav4 Prime all they gave me was a tax credit that didn't help all that much, didn't seem it lowered my taxes a whole lot.

Also they picked the worst PHEV as an example, they should have picked the Rav4 Prime which is still the BEST PHEV out there right now.  18KWH battery pack is a pretty meaty pack.  It get 40 miles EV range and 35-45MPG.  It's like a Prius on crack.  But I guess it doesn't matter because the Rav4 prime isn't made in the US.  Still glad i bought it because I don't have to plane where to charge as much on long trips.  Also towing, it's not possible or terribly inconvenient to charge while towing something which is another reason I'm glad I got a PHEV.  There are no chargers designed to accommodate towing a trailer.

I also think it's none of their business where the manufacturers get the battery material from, they gotta source it somewhere.

[Richard230]

You are right, the "rebate" is a tax credit against your Federal IRS income tax payment and the only way you get actual cash back from the Treasury department is if your EV purchase credit is more than you owed in federal taxes.