After applicable tax credits you can get an electric low speed vehicle for free. A low speed vehicle (max speed under 25 mph) is similar to a golf car, but it is street legal on streets with a posted speed limit of 35 mph or less. There is a federal tax credit available and some states have tax credits available as well. I live in Oklahoma and they have a tax credit that equals 50% of the purchase price on a fully electric vehicle. You can combine the two credits to essentially cover the price of the vehicle. I know of one mfr, www.tomberlin.net that has received a verification letter (posted on their website) from the IRS stating that a number of their vehicles qualify and another mfr, www.rtev.net say they should be receiving their letter soon. www.adaelectriccars.com has the tax credit information on their website.
I have an email into the Oklahoma Tax Commission to clear a few questions up and I will post updates as I receive them if I see that this thread is active.
so its only true if you live in OK? maybe you can update the title. No go for CA>
scha2707
New Member
posted: Aug. 26, 2009 @ 3:25p
The federal tax credit is available in any state. Some states, like OK, have additional state tax credits.
I'm in the process of verifying if the federal tax credit is refundable or non-refundable. If it is non-refundable, then it cannot make your tax liability less than $0.
prastogi said: so its only true if you live in OK? maybe you can update the title. No go for CA>Why no go for CA? CA gives $2500 credit for such vehicles.
Can we legally drive this car In New York City? Do we have to buy insurance for the car?
Nukeworker
New Member
posted: Sep. 8, 2009 @ 8:34p
Just got one from www.starelectricvehicles.com Got the hunting buggie (Star-48L-22F) http://www.starelectricvehicles.com/pdfs/Star-48L-22F%20or%206SF... with upgraded aluminum wheels for $7700 with a $5335 federal tax credit nd a $1066 SC state credit.. They have one that isn't lifted with smaller tires that looks more like a regular golf cart for $6700 with $5335 federal tax credit... They also have the IRS certification letter listed on their website with detailed info on what credit is available for each of their 10 vehicles that qualify. Their credit is more than Tomberlin because their cars have 8-6volt batteries and Tomberlins have 6 8volt batteries.... Plus Tomberlin doesn't offer the fold down backseat... The Star hunting buggie gives you the ability to drive off road with the larger 22" tires and being lifted.
There is a big difference between not owing any tax and not owing additional tax beyond that which you've already had withheld, which is probably why forbin4040 asked you to "define not owing tax".
The credit can't reduce your tax liability to less than zero. If your tax liability last year was $10,000 but you had $10,000 withheld out of your salary, you will not owe any additional taxes, but you still have paid $10,000 in taxes. If you been able to claim a $6,000 tax credit, your tax liability would have been $4,000 and you would have received a refund of $6,000 since you over-withheld by that amount. If you had been able to claim a $15,000 tax credit, your tax liability would been $0, so you would receive a refund of $10,000, which is the amount that your over-withheld.
chuckster said: There is a big difference between not owing any tax and not owing additional tax beyond that which you've already had withheld, which is probably why forbin4040 asked you to "define not owing tax".
The credit can't reduce your tax liability to less than zero. If your tax liability last year was $10,000 but you had $10,000 withheld out of your salary, you will not owe any additional taxes, but you still have paid $10,000 in taxes. If you been able to claim a $6,000 tax credit, your tax liability would have been $4,000 and you would have received a refund of $6,000 since you over-withheld by that amount. If you had been able to claim a $15,000 tax credit, your tax liability would been $0, so you would receive a refund of $10,000, which is the amount that your over-withheld.
Thanks for that answer... I was just trying to decide if I should look deeper into gettign one of these electric carts/cars.
SlamminMOFO said: Will it be sent as a refund check?non-refundable, but mock-prepare your 2009 taxes now to see if and how you might benefit, as poster said above
Can this credit be applied against the AMT for 2009 tax year? I thought it could not be.
okgilbert
New Member
posted: Sep. 12, 2009 @ 6:30p
How long did it take you to get your car?
Nukeworker
New Member
posted: Sep. 12, 2009 @ 7:25p
We ordered it on Friday afternoon and picked it up at the Star factory the following Friday afternoon. Since we live in SC and the Star factory is also in SC, we saved a little money by picking it up and probably got it a little quicker that way.
I got all exited when I saw the 50% thing for MA, but then I read the details, and realized that the 50% thing in MA is only for plug in HYBRID vehicles, AND you have to put >10k/year on the vehicle, AND go through an application process, AND there's only $400k total for the program. This is probably the 1 time I will ever wish I was in Oklahoma.
scha2707 said: The federal tax credit is non-refundable, but the portion that is not used this year can be carried over to the next year.
Sorry to bring this back up, but are you guys certain this is correct? The reason being is I'm getting $1500 back for my furnace and AC, then probably another $1000 back for paying my wife's college tuition this year, and we just had a baby so I'll get $1000 back for that. I'm guessing we'll only have about $3000 in tax liability this year, but will have a lot more next year.
tiffannylane8
New Member
posted: Oct. 20, 2009 @ 7:33p
Thanks for the updated info on the tax refund for CA! I want one!
helplessjr
New Member
posted: Oct. 20, 2009 @ 8:02p
Nukeworker, I'm in SC and am interested in the state tax credit you mentioned. I can't find anything about it. There is a $2000 state tax credit for hybrid electric vehicles but nothing on all-electric vehicles. Can you tell me more about where you got your information. Thanks!
Nuke please respond to my PM about your source for the SC tax credit and the form you plan on filing with you SC state tax. I e-mailed SC DoR Tax office and they sent back the following negative response:
***
-----Original Message----- From: xxx Sent: Wednesday, October 21, 2009 12:40 AM To: Individual Income Tax Subject: Tax Question - ALTERNATIVE MOTOR VEHICLE CREDIT - TC-35
Dear Sir/Ma'am,
I am in the market for an electric vehicle. The one I am planning to buy
soon qualifies for the "Qualified Plug-In Electric Vehicle" federal nonrefundable tax credit which stemmed from the Emergency Economic Stabilization Act (EESA). The IRS in process of developing a new form 8936 for this (currently in draft form). This is very similar to the Alternative Motor Vehicle Credit form 8910 which SC DoR Tax Form TC-35 references in line 3. I have heard that dealers in SC have stated that SC will be matching the federal credit up to 20%, however have not been able to get referenced information for them nor find any information myself on the SCTAX website. This may affect my purchase decision if I can get my below question answered.
Can you please clarify if SC will be giving a state tax credit which equates to 20% of the federal "qualified plug-in electric vehicle" nonrefundable tax credit and that the SC DoR Tax Form TC-35 will be updated to reference the new IRS form 8936?
I realize that this represents your personal opinion, and is not the official position of the SC Department of Revenue. If you believe this is the case, could you please estimate a time frame that a binding decision may be issued by the Department of Revenue through formal policy documents, revenue rulings, and/or private letter rulings. Thank you for your time.
SC does not conform to this federal provision under SC Code Section 12-6-50. It is similar to the TC-38 but it is a different IRC section that we do not recognize. If you have additional questions regarding this matter please feel free to contact our research analyst Maggie Glass at glassm@sctax.org.
Thank you,
Katie Snelgrove Tax Examiner SCDOR
lincolnindiana
New Member
posted: Nov. 7, 2009 @ 6:38p
If I pay my local dealer in full as of next week for one of his "Star" Golf Cart" that is eligible presently for the Federal Tax Credit advantage and deliverly was not until after Decdember 31st,2010 would I still be eligible to recieve the Federal Tax Credit. He has been having a delay in recieving his new odrers only getting 6 or so per week and he has a waiting list?
dentista11
New Member
posted: Nov. 11, 2009 @ 7:38p
In Kentucky is the federal tax credit available for the UTV? Also must the vehicle be registered and insured to qualify?
doyle59
New Member
posted: Nov. 16, 2009 @ 2:21p
do you have an update for the tax credit for OKlahoma? Harold
Disclaimer: By providing links to other sites, FatWallet.com does not guarantee, approve or endorse the information or products available at these sites, nor does a link indicate any association with or endorsement by the linked site to FatWallet.com.
Members of our community may attach files to a post in accordance with the User Agreement. FatWallet is not responsible for the content, accuracy, completeness or validity of any information contained in any attached file. Files have *not* been scanned for viruses. Be especially wary of Excel files which may contain malicious content.
