Relevant Details on the Obama Administration’s Stimulus Package Tax Credit For Hybrid Vehicles

President Obama’s stimulus bill, which is also referred to as the American Recovery and Reinvestment Act of 2009, enables us to claim certain benefits for hybrid vehicles. More specifically, Hybrid vehicles are offered a tax credit as per the stimulus package. All vehicles purchased from the year 2006 are eligible for the hybrid vehicle tax credit. The following includes some of the details of of the stimulus package.

Note that the best person to guide you effectively in this aspect is your tax consultant. Choose a good consultant and check out all possible details before filing your returns. You can also go online and read reviews, analysis and reports on the stimulus tax credit for hybrid vehicles to find more details.

The credit amount depends on multiple factors:

First, you must be the owner of extended range electric vehicles or plug in hybrids. Your hybrid model has drive trains which are powered by both rechargeable batteries and internal combustion engine.

Second, your eligibility depends on the vehicle model and the state where it was purchased. This scheme is also known as the Alternative Motor Vehicle Credit and all vehicles purchased after 1st January 2006 are eligible for this.

Third, if your hybrid vehicle was on road in the year 2008 and you are a taxpayer, then you can certainly claim credit. However, according to the stimulus package, credit will be given only to those who are the actual owners of the hybrid vehicles and not for those who have purchased the vehicle on a resale in the year 2008.

Fourth, the vehicle size and battery pack also plays a role in determining your eligibility for tax credit in the plug-in hybrid range. If you own a Chevy Volt, you should get a credit somewhere around $7,500 if you qualify. If you own a plug-in truck you may even be eligible for credit that can be as high as $15,000.

Finally, if your vehicle is extremely fuel efficient, you may even be eligible for credit worth $3,000.

In addition, there are other factors to consider:

  • Credits will be given to new hybrid vehicles (those models which came out last year). The limit for a manufacturer is 60,000 vehicles. After this number of vehicles is sold, the available credit starts coming down until it is completely eliminated. Vehicle owners must wait for the manufacturer to reach the sales limit and file before the end of third month following the quarter.
  • The manufacturing company is not an eligibility criterion and as of now around 500,000 vehicles are eligible for tax credits.

It is also worth noting that there are other benefits offered in this package, including a $2 billion grant for manufacturing and development in the battery sector. A tax paying buyer who goes in for vehicle conversion will be eligible for up to 10% of the conversion price or a maximum of $4,000.

In conclusion, whether you own a hybrid vehicle, or if you are planning on buying a new hybrid car, you may be pleasantly surprised to find a deduction in your local sales tax and auto loans.

Electric Vehicles

Nowadays people have more varied choices in buying vehicles and cars. As now they have the option of electric vehicles. But what exactly electric vehicle is? In simple words an electric vehicle, or EV, is a vehicle with one or more electric motors for propulsion. Thus, the motion may be provided either by wheels or propellers driven by rotary motors, or in the case of tracked vehicles, by linear motors.

The energy used to propel these kind of can be obtained from various sources such as:

1. From chemical energy stored on the vehicle in on-board batteries: Battery electric vehicle

2. From both an on-board rechargeable energy storage system (RESS) and fueled propulsion power source: hybrid vehicle

3. Generated on-board using a combustion engine, as in a diesel-electric locomotive

4. Generated on-board using a fuel cell: fuel cell vehicle

5. Generated on-board using nuclear energy, on nuclear submarines and aircraft carriers

6. From more esoteric sources such as flywheels, wind and solar

7. From a direct connection to land-based generation plants, as is common in electric trains and trolley buses

Electric vehicles generally use electric motors used to drive vehicles because they can be finely controlled, they deliver power efficiently and they are mechanically very simple. Moreover these electric motors often achieve 90% conversion efficiency over the full range of speeds and power output and can be precisely controlled. Thus it won’t be wrong to say that these electric motors can provide high torque while an electric vehicle is stopped, unlike internal combustion engines, and do not need gears to match power curves.

These days electric vehicle is designed in two ways those are Battery Electric Vehicles and Hybrid vehicles. Battery Electric Vehicles covert chemical energy to electrical energy in batteries; whereas Hybrid vehicles, which convert chemical energy to electrical energy via an internal combustion engine and a generator. However, there is another less established form of electric vehicle which is the ‘plug-in hybrid’. This ‘plug-in hybrid’ attempts to combine the benefits of both these designs and allows the moderate capacity batteries of a hybrid vehicle to be recharged not only from the internal combustion engine and generator.

Electric Vehicles include electric wheelchairs, the Segway HT, electric motorcycles and scooters, motorized bicycles, golf carts and neighborhood electric vehicles. Furthermore some working electric vehicles include heavy work equipment, fork lifts, and numerous other service and support vehicles. Thus, if you are an environment conscious then electric vehicle is best for you.

Electrifying Facts on Electric Vehicle Conversion – All You Need to Know

Right now, with the gas at prices that we have never seen before, many people are looking for ways to cut down on gas consumption and there are some people who are looking at ways to avoid using gas at all. They are researching electric vehicle conversion which is converting a car or small truck to run on electricity instead of gas. There are many benefits to having vehicle that runs on just electric but an electric vehicle conversion is no simple task. The benefits for the vehicle are, smooth running, low maintenance, low vibration, economical, and totally convenient. An electric vehicle conversion is complicated. As well as no longer using gas the vehicle will no longer use oil, an exhaust, belts, hoses, water pump, coolant, radiator, spark plugs, plug wires, and injectors. So this is not a job that should be undertaken by an amateur.

If you are a mechanic who knows what they are doing, the electric vehicle conversion can be done in your own garage, with few specialist tools. The materials needed for the electric vehicle conversion is of course the electric motor, the motor mount, motor controller, speed controller, system control box, high current shunt, high current fuse, high current circuit breaker, current meter, voltmeter, clutch plate hub adapter, main battery bank, 12V battery charger, 6V golf cart batteries (common choice), battery rack, cable terminal lugs, along with a vacuum pump and switch kit for the brakes.

Other materials for the electric vehicle conversion will include any kind of framework that you would want to use to house the batteries that are needed to run the vehicle. Cars that are most commonly used used in electric vehicle conversion are the Chevy S10, Dodge Colt, Daytona Ford Escort, Porsche 914, Honda Civic, Mazda B2000 pickup, Datsun pickup, Plymouth Sundance, Pontiac Fiero, Suzuki Samurai, Toyota pickup, and Volkswagen Beetles.

The cost of the electric vehicle conversion will vary and depend greatly on the vehicle that is going to be converted. This can range from $6500 and $9500 dollars and that estimate does not include the cost of the vehicle itself.

Depending on the size of the vehicle and the number of batteries that are used in the conversion, the distance the vehicle can drive on one charge will vary accordingly. The general Chevy S10 which has 16 six-volt batteries and weighs a total of 3700 pounds, will go about 35 miles on a full charge. If you have more batteries on a lighter car, then you will be able to go much further on a single charge.

The weight of the vehicle will also factor on how fast the vehicle will be able to go. The lighter the car and more batteries, the faster it can go. Historically electrically converted cars were slow but now they can achieve speeds of 60 to 80 mph.

Deciding on whether this option is right for you really depends on your mileage, how long you intend to keep you vehicle, and of course your commitment to the environment. Hopefully i’ve sparked enough interest for you to want to find out more.