Congress Extends Tax Breaks for Electric-Car Owners, Motor Speedways
Most of the tax breaks were extensions or restorations of already existing benefits that were expiring. They weren’t included in a massive tax-cut bill passed in December, because that legislation had to cost less than $1.5 trillion to pass the Senate with a simple majority of 51 votes.
Dealership tips: The best place to have your car serviced
Among the benefits for electric-car buyers:
- Buyers of new hydrogen fuel-cell vehicles are eligible for a tax credit ranging from $4,000 to $40,000.
- Buyers of plug-in electric motorcycles or three-wheeled electric vehicles can receive a credit worth 10 percent of the amount paid, up to $2,500.
- Taxpayers who buy and install electric-car charging stations for their homes can also claim a credit for 30 percent of the cost, up to $1,000.
Meanwhile, “motorsports entertainment complexes”—or race tracks—will get about $37 million in tax breaks. Those savings stem from the extension of a rule that allows speedway owners to write down the value of their assets over a shortened period of seven years, thus trimming their overall taxes.
The race-track tax break got strong support from senators in states that are home to major speedways, such as Michigan, Nevada, Kansas, and North Carolina.