These bureaucracies are out of control.
The law as passed required certain requirements to be met to receive this $7500 tax credit.
"The new rules state that in 2023, at least 40% of the car batteries’ minerals must be extracted or processed in the U.S. or in a country with which the U.S. has a free-trade agreement. That percentage goes up to 80% by 2027.
On top of that, in 2023, 50% of the battery components must be manufactured or assembled in North America. That percentage goes up to 100% by 2029. Final assembly of the vehicle must also take place in North America."
The Treasury department has decided on it's own to ignore some of these requirements.
"Three days before the new EV tax credit policy was set to take effect, the Treasury announced it was delaying the mineral and battery component requirements until March so it could have more time to figure out how to measure those percentages to determine which vehicles would qualify under the terms.
But it wasn’t delaying credits from taking effect, so starting Jan. 1, people could score the extra $7,500 tax credit by buying a vehicle that met the other guidelines, battery requirements not included."
straightarrownews.com
IMO this completely undercuts the intention of the law... to incentivize the use of US and US ally produced batteries and battery components including ore.
Should a federal bureaucracy be permitted to ignore the law?
The law as passed required certain requirements to be met to receive this $7500 tax credit.
"The new rules state that in 2023, at least 40% of the car batteries’ minerals must be extracted or processed in the U.S. or in a country with which the U.S. has a free-trade agreement. That percentage goes up to 80% by 2027.
On top of that, in 2023, 50% of the battery components must be manufactured or assembled in North America. That percentage goes up to 100% by 2029. Final assembly of the vehicle must also take place in North America."
The Treasury department has decided on it's own to ignore some of these requirements.
"Three days before the new EV tax credit policy was set to take effect, the Treasury announced it was delaying the mineral and battery component requirements until March so it could have more time to figure out how to measure those percentages to determine which vehicles would qualify under the terms.
But it wasn’t delaying credits from taking effect, so starting Jan. 1, people could score the extra $7,500 tax credit by buying a vehicle that met the other guidelines, battery requirements not included."
The $7,500 EV tax credits are being handed out for vehicles that don't qualify
The new $7,500 EV tax credit went into effect Jan. 1, but at least one Senate Democrat wants to temporarily yank back the perk.
straightarrownews.com
IMO this completely undercuts the intention of the law... to incentivize the use of US and US ally produced batteries and battery components including ore.
Should a federal bureaucracy be permitted to ignore the law?
