All Mercedes and VW clean diesels earn tax credit
Click above for a high-res gallery of the ML320 BLUETEC
We already knew that purchasers of VW's new clean diesel-powered Jetta for 2009 would be eligible for a tax credit of $1,300, and now more models from Germany get the same treatment from the Internal Revenue Service. All Mercedes-Benz models equipped with the BLUETEC emissions treatment technology will get a rebate. The 2009 GL320, R320 and ML320 BLUETEC are expected to go on sale beginning in October of this year, which should give prospective buyers plenty of time to get ready to prepare for the savings on their taxes. Each of the vehicles will get a different rebate ranging from $900 for the ML to $1,800 for the GL due to the process the IRS uses to determine how much fuel will be saved by the vehicle. As with other similar systems, each manufacturer is limited to 60,000 units sold before the rebates come to an end.
[Source: Automotive News - sub. req'd]
Reader Comments (Page 1 of 1)
1985 Gripen 12:06PM (8/11/2008)
This is yet another sign that government is broken. Now we taxpayers are subsidizing fellow Americans to buy a German luxury SUV? Like people buying a Mercedes SUV really need a tax incentive?
And it brings up the question if we're rewarding people for buying an SUV which even with a diesel engine gets poorer fuel economy than many gasoline-powered passenger cars, why don't we simply subsidize buyers of high-efficiency non-hybrid cars like the Honda Fit, Toyota Yaris, and smart ForTwo? On somehow incentivize people for downsizing from one vehicle to a more fuel-efficient one?
Take a look at the Mercedes-Benz E320 BlueTEC (a diesel car sold in California on waivers from CARB). With the diesel powerplant the vehicle yields a combined mpg (as determined by the EPA) of 26. That only seems good when you weigh it against its gasoline-powered counterpart, the E350, which yields only 19 mpg combined. Who buys a sedan which gets truck-like fuel economy? Oh yeah, Mercedes-Benz buyers...
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Joseph 11:10PM (8/11/2008)
If the tax credit is based on how much fuel is saved, then the Tesla should get a HUGE tax credit. A 100k car with a tax credit, too funny.
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Rob 2:57PM (8/11/2008)
@1985 Gripen
You miss the point. They're getting the tax credit due to the emissions - not the fuel efficiency. Same goes with natural gas burning vehicles (like the natural gas Ford Crown Victoria - it does not get good mileage, but it also doesn't pollute like other cars.)
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ryan 9:15PM (8/11/2008)
And what 1985 Gripen is ACTUALLY saying is that awarding people simply based on their new car's emissions is WRONG. Lowering our country's demand for foreign oil (through high FE cars) should be the goal of policy makers. In most cases, you naturally achieve lowered emissions in this case as well.
Looked at in the above fashion, a $50,000 car/SUV would see a 2.6% price reduction from a $1300 rebate.
A $13,000 car would see a 10% price reduction from the same rebate.
I will withhold judgment as to whether these would be enough to sway purchase decisions. The $13,000 car would most likely be the one that uses less fuel.
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Anon 5:38AM (8/12/2008)
There is no such thing as "clean" diesels.
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Jesse 11:59AM (8/13/2008)
Anon, what’s your point? There is no such thing as Clean Gasoline or Hybrid cars either. Both burn fossil fuels.
104wb 6:43PM (8/25/2008)
Incredibly, you've all missed the point. The reward is not for good emissions, although that is a prerequisite. The reward is not for fuel economy. The reward is for superior fuel efficiency. Not how many miles can be traveled per gallon, but how much work can be extracted from a unit of fuel energy. Developing more efficient engines should be encouraged. Electric vehicles like the Tesla are not fuel efficient. Considering the cycle from where the fuel energy is extracted from the earth to where the work is generated on the road, diesels are more efficient than electric cars. Electric cars have their advantages, but fuel efficiency is not one of them.
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