Federal Tax Credit Up To $7,500!

Plug-in hybrid-electric vehicles (PHEVs) purchased in or after 2010 may be eligible for a federal income tax credit of up to $7,500. The credit amount will vary based on the capacity of the battery used to fuel the vehicle.

Small neighborhood electric vehicles do not qualify for this credit, but they may qualify for another credit.

Vehicle Make & Model	Full Credit	Phase Out		No Credit
		50%	25%
General Motors	Jan. 1, 2010	TBD	TBD	TBD
2011 Chevrolet Volt	$7,500 $4,000 (state)	--	--	--

To be certified for the credit by the manufacturer, the vehicle must meet the following requirements:

The following requirements must also be met for a certified vehicle to qualify:

• The original use of the vehicle commences with the taxpayer—it must be a new vehicle.
• The vehicle is acquired for use or lease by the taxpayer, and not for resale. (The credit is only available to the original purchaser of a new, qualifying vehicle. If a qualifying vehicle is leased to a consumer, the leasing company may claim the credit.)
• The vehicle is used mostly in the United States.
• The vehicle must be placed in service by the taxpayer during or after the 2010 calendar year.

For more details on the Federal Tax Credit, visit: http://fueleconomy.gov/feg/taxphevb.shtml

STATE OF ILLINOIS VEHICLE REBATE UP TO $4,000

For the purchase of a new alternate fuel vehicle, such as a natural gas, propane, E85, electric, or hydrogen vehicle (used or pre-owned vehicles and vehicles that are leased and not purchased are not eligible for this program).

Alternate fuel vehicles eligible for a Vehicle Rebate must be legal to be driven on all public roadways in Illinois. Low-speed or Neighborhood Electric Vehicles and any other type of vehicle that has restrictions confining them to only certain types of streets or roads are not eligible.

• Eligibility

• The vehicle must be purchased from an Illinois dealership and the purchase invoice must show that the business is located in Illinois. No out-of-state vehicle purchases are eligible. The only exception is for heavy-duty specialty vehicles (i.e., natural gas transit buses) in which an Illinois company does not sell that particular type of vehicle.
  
  
• New E85 flexible-fuel vehicles (FFV) that have a distinct “upcharge” for the E85 engine are eligible Note: Many E85 vehicles do not cost more than their gasoline-only counterparts and would not be eligible for a Vehicle Rebate. Consumers that pay extra for a new E85 vehicle because of the added costs of a flexible-fuel engine can apply for a Vehicle Rebate, in lieu of a Fuel Rebate, if they choose to do so. See below regarding needed documentation for the E85 engine up-charge for this type of rebate.

What You Need to Submit in your Application for a Vehicle Rebate:

1. 1. A completed Vehicle Rebate Application form.
   
2. 2. A copy of the purchase invoice documenting the purchase of the alternate fuel vehicle. “Proof of payment” needs to be included. Acceptable forms of “proof of payment” are a copy of a canceled check (front and back), or the customer purchase invoice stamped as “Paid” or otherwise showing the vehicle purchase transaction. Paperwork showing only cost estimates without demonstration that the vehicle was purchased is not acceptable.
   
3. 3. A copy of the manufacturer’s MSRP window sticker or other document that shows the total cost of the vehicle or “upcharge” of the alternate fuel vehicle or engine compared to the conventional model (if applicable). Note: An E85 FFV engine that is listed as part of an “upgrade package” with other add-on options reflected as one overall cost amount on the MSRP sticker is not acceptable. The MSRP information must distinctly itemize the additional cost of the E85 FFV engine, separate from other add-on options. Please contact the Illinois EPA for assistance on whether a new E85 FFV purchase is eligible for a Vehicle Rebate.

4. 4. Completed W-9 Form

Vehicle Rebate Amount

• For a new alternate fuel vehicle that has a conventional gasoline or diesel make and model counterpart, the amount of the rebate is 80 percent of the incremental cost of the alternate fuel vehicle versus its conventional counterpart (same make, model, and model year) up to $4,000.
  
  
• For a new alternate fuel vehicle that does not have a conventional make and model counterpart, but does have an increased cost due to the alternate fuel engine/motor and fuel system versus a comparable conventional engine/motor, the amount of the rebate is 10 percent of the base retail price of the vehicle as reflected on the MSRP, not including add-on equipment options, up to $4,000. At the current time, the only vehicles that would be eligible for a 10 percent rebate amount are new electric vehicles purchased from an Illinois dealership. See "Eligibility" section above.

Application Deadline for a Vehicle Rebate

Vehicle Rebate applications are due 12 months after the date of vehicle purchase. The postmark date must be by the last day of the twelfth month after the purchase date (i.e., a vehicle purchased on August 23, 2011 must have its application postmarked by August 31, 2012).

For more details on the Illinois State Rebate, visit: http://www.illinoisgreenfleets.org/fuels/index.html

Additional Information

 Internal Revenue Service (IRS)

Concerns About The Chevy Volt?...CLICK THE LINKS BELOW

• Volt Q & A
• Letter From the President of GM to Chevy Volt Owners
• NHTSA (National Highway Traffic Safety Administration) Investigation into Volt
• GM Volt News
• Volt Update - January 5, 2012
• Volt Lease Specials

DISCLAIMER

The information on this page should not be viewed as an official or legally binding document. Other requirements or exceptions may apply. For more detailed information, please consult an IRS tax representative and/or official IRS publications.