posted on May, 20 2011 @ 10:25 PM
Originally posted by Dilligaf28
reply to post by jibeho
Originally posted by jibeho
reply to post by TheImmaculateD1
Hey get your story straight!! This is no way a cash for clunkers program that you stated incorrectly. THis is just another tax credit scam that can
only be claimed when you file taxes....
That statement seems to me to indicate that you feel this is a tax credit scam that can only be claimed when you file your taxes; in other words you
have to pay taxes to get the money.
I am curious whether or not you plan to address my rebuttal of your statement that the automakers are using this as a way to record full sales prices
for vehicles. After you have addressed my rebuttal I will be happy to address your question regarding the money staying in the system.
I feel like I'm addressing a brick wall. The current program is a tax credit program that can only be claimed when you file taxes. They discovered
$30 million in fraudulent claims. Obama wants to turn the program into a rebate program to avoid the tax credit problems.
Of course they are recording full sale price to pump the numbers. You list a nissan leaf for $32700 the $7500 current credit is issued and the
customer now pays $25000. The dealer gets the credit and posts a $32700 sale. He's not eating anything and the sales numbers look good.
The whole $7500 tax credit idea came about from GM's lobby to get it for the Volt. For example GM gets to pump up their sales figures and bottom line
whenever they sell a new Volt. They will show the full $41,000 sales price on their income statement, and also record the additional $7,500 as
profit, which is above and beyond what they are making if they sold it at the post credit price of $33,500.
The federal government will then absorb the $7,500 in the form of issuing additional debt. It's circular accounting especially when you consider who
owns GM. This was done solely for GM and yet it applies to all electrics included Golf Carts!! Which people have also gotten for FREE! in this
program. Its a scam and now they want to turn it into cash at the dealer essentially. Paid for by the tax payers directly and not by adding to
the never ending debt.
Will that suffice for ya.... In federally backed programs designed to boost sales the dealer won't get the shaft. When taxes increase on a business
they don't absorb the cost they simply increase their pricing so the customer can pay for it.