CHARGING STATION

Individual, Business Electric Vehicle Charging Station Tax Credits Turn Off at Year End

December 3, 2013 by admin 1 Comment

Electric vehicle enthusiasts are likely familiar with the $7,500 federal tax credit for purchasing a new EV. That credit1 will eventually be phased out manufacturer by manufacturer as each one’s quota is reached, but it will still be in effect in 2014 and probably well beyond.

What won’t be around much longer is a federal tax credit for individual and business charging stations, tax credits that come to an end on Dec. 31, 2013. And if you think Congress is in the mood to extend these credits, don’t count on it. When 2014 rolls around, you just may find yourself having lost out on a lucrative, but time-restricted offer.

Electric Vehicle Owners

Bosch Power Max Level 2 Charger.

EV owners looking to upgrade from their standard home charging station to a 240-volt fast charging station, can receive a tax credit of 30 percent (capped at $1,000) to convert by Dec. 31, 2013. This US Department of Energy program was set to expire in 2011, but it was later granted an extension.

Moreover, there is some good news here too: pricing for charging stations has come down considerably with Bosch leading the way by offering its Power Max Level 2 240V charger for under $450 reports Green Car Congress. Add several hundred dollars for installation to run new wiring and you may find yourself paying $800 or more for a new charger. However, with the federal tax credit, your final cost for this example would fall to $560 ($800 x.30 = $240; $800-$240=$560).

Of course, your savings will vary and you may not be eligible for the full amount of the tax credit, depending on your income. Your accountant can help you there.

Business Tax Credit

Businesses also have a tax credit available, one that expires on Dec. 31, 2013, as well. That credit is for up to $30,000 per property for qualified equipment installed at each location.

The credit also applies to businesses installing fueling equipment for E85 (ethanol blend), liquified petroleum gasoline (propane), natural gas, and diesel blends containing at least 20 percent biodiesel, according to the Alternative Fuels Data Center. Thus, if you are a service station owner, you will need to take action immediately to remain eligible for the tax credit.

Related Tax Forms

There are two federal tax forms related to the various EV tax credits available. For qualified plug-in electric and electric vehicles, IRS Form 8834 should be used. For both the home charging station and business/investment use part of refueling property, IRS Form 8911 (Alternative Fuel Vehicle Refueling Property Credit), should be referenced.

EV owners should also keep tabs on the various state and local incentives still available. The Plug In America website provides a state-highlighted chart that magnifies those details, including a 75 percent charging station credit for Oklahoma residents.

Los Angeles residents are eligible for a $750 rebate when they purchase and install a wall-mounted charger. That incentive is part of a Los Angeles Department of Water and Power program: “Charge Up LA! – Home, Work, and On the Go,” that includes incentives for workplace charging and public charging. The L.A. program expires on June 30, 2015, with the city setting a goal of 2,000 rebates.2

References

1 IRS: Plug-In Electric Drive Vehicle Credit (IRC 30D); Sept. 3, 2013.

2 Los Angeles Board of Water and Power Commissioners: LADWP Officials Announce Expanded Electric Vehicle Program: “Charge Up LA! – Home, Work and On the Go”; July 17, 2013.

Photo courtesy of Bosch Automotive Service Solutions.

Tesla Motors Unveils Supercharger Network

September 27, 2012 by admin 1 Comment

EV maker seeks to eliminate range-anxiety completely.

The problems with electric vehicles go beyond high prices and basically boil down to two significant issues: restricted range and long charging intervals. For commuters, an electric vehicle is an ideal option, but for everyone else EVs can be a major inconvenience. If you travel more than 70 miles with most vehicles you’ve hit the end of your range — that isn’t acceptable if your trip takes you two hours or more away from your starting point.

Supercharger Network

Tesla Motors does not produce cars that give short-term range anxiety. Its Tesla S sedan has a standard range of 160 miles when outfitted with its standard 40 kWh battery system to as much as 300 miles with an extended-range 85 kWh performance system. Those numbers are far and away much better than what other companies are offering, but Tesla wants to make long-range driving a possibility through its recently announced supercharger network.

That network was announced by Tesla this past Thursday and includes six of what the company promises will eventually be more than 100 quick charging stations that will located throughout California and in parts of Nevada and Arizona.

Solar Power System

The electricity for each supercharger station is garnered from a solar carport system provided by SolarCity, an arrangement that will allow Tesla owners to enjoy free, long distance travel without restrictions. Each solar power system will produce more solar power throughout the year than what Tesla owners will use, with the excess electricity sent back to the electrical power grid. These superchargers can complement the solar-powered systems that electric car owners may have installed in their homes, enabling Tesla owners to enjoy a power boost and send unused electricity to the grid.

The first six supercharger stations will be the model for additional stations located in the southwest U.S. and later across the continent. Tesla says it will install more stations to allow drivers to travel from Vancouver to San Diego, from Montreal to Miami and even coast to coast from Los Angeles to New York. The company will also begin installing superchargers in Europe in Asia beginning in the second half of 2013.

Extended Range

Tesla says that it supercharger is “substantially more powerful than any charging technology to date” as it offers nearly 100 kilowatts of power to the Tesla S, with a reach of 120 kWh at some future date. What this means is that Tesla S drivers can get three hours of driving at 60 mph in about 30 minutes, which is generally the time drivers will spend getting a meal before returning to the road.

Said Elon Musk, Tesla Motors co-founder and CEO, “Tesla’s Supercharger network is a game changer for electric vehicles, providing long distance travel that has a level of convenience equivalent to gasoline cars for all practical purposes. However, by making electric long distance travel at no cost, an impossibility for gasoline cars, Tesla is demonstrating just how fundamentally better electric transport can be. We are giving Model S the ability to drive almost anywhere for free on pure sunlight.”

Range-Extended Driving

In effective, Tesla raises the bar for pure electric driving, one that other manufacturers will need to follow if they’re to offer range-extended driving. The EV market is still quite small and likely will not rise without further innovations. On the recharging side, Tesla is showing leadership and is removing one more problem associated with electric vehicles in the process.