Oklahoma U.S. Sen. James Lankford was among those who supported legislation filed this week to bring an end to EV tax credits.
The measure, as filed by Sen. John Barrasso of Wyoming, the Senate Majority Whip, stops taxpayer money from subsidizing luxury electric vehicle for high-income individuals and corporations.
The Eliminating Lavish Incentives to Electric (ELITE) Vehicles Act (S. 541) specifically repeals the $7,500 tax credit for new electric vehicles (EVs), eliminates the tax credit for purchasing used EVs, wipes out the federal investment tax credit for electric vehicle charging stations, and closes the “leasing loophole” that has allowed certain taxpayers and foreign entities to evade restrictions on EV incentives. It also stops China from exploiting loopholes and circumventing guardrails to access U.S. tax credits associated with electric vehicles.
“The hard-earned money of taxpaying Americans should not cover the cost for the luxuries of the nation’s elite. Nor should we be allowing China to infiltrate our markets and undermine our supply chain,” said Senator Barrasso.
“Repealing these reckless tax credits from the Biden administration once and for all will stop Washington from giving handouts to our adversaries and high-income individuals. Wyoming families should not foot the bill for expensive electric cars they don’t want and can’t afford.”
Co-sponsors of this legislation include Senate Majority Leader John Thune (R-S.D.), U.S. Senators James Lankford (R-Okla.), Cynthia Lummis (R-Wyo.), Kevin Cramer (R-N.D.), Tom Cotton (R-Ark.), Shelley Moore Capito (R-W.Va.), Tim Sheehy (R-Mont.), Pete Ricketts (R-Neb.), Joni Ernst (R-Iowa), Bill Cassidy (R-La.), Roger Marshall (R-Kans.), Thom Tillis (R-N.C.), John Hoeven (R-N.D.), and Rick Scott (R-Fla.).
This legislation is supported by the American Fuel & Petrochemical Manufacturers, Americans for Prosperity, National Taxpayers Union, and Heritage Action.
“The EV tax credit was always supposed to sunset, so Senator Barrasso is absolutely right to say, ‘enough is enough’ for taxpayers,” said Chet Thompson, President and CEO, American Fuel & Petrochemical Manufacturers.
“After more than a decade of subsidies worth billions of dollars, it’s time for EVs to compete on a level playing field.”
Agreeing with him was Brent Gardner, Chief Government Affairs Officer, Americans for Prosperity. “Americans are hurting after four years of failed energy policy under former President Joe Biden. The last thing American families and small businesses should be subsidizing is electric vehicles that few can afford.”
Full text of the legislation can be found here.
