(By Karl Denninger) Only in Obamaland....
General Motors has announced a 60 day money back guarantee policy for all new Chevy models, including the Chevy Volt. The move sets up a scenario where purchasers can buy a Volt, claim the $7,500 federal tax credit (and most likely state credits) and return the vehicle for a refund within 60 days. Did GM really not consider this glitch, or is this just another way for Government Motors to prop up politically important Volt sales leading up to November elections?
IRS tax form 8936, for plug-in motor vehicle credit, does not have any minimum time requirement for buyers to own their qualified vehicles. The vehicle only has to be new and purchased during the tax year being claimed. Buyers of Volts will have documentation and VIN numbers for qualifying vehicles. The 60 day return policy lays the groundwork for a very easy way to scam the IRS out of $7,500. Buyers will most likely have to eat registration fees and sales tax paid that will be deducted from refund. So, in an effort to save taxpayers millions of dollars on the potential scam and save GM and its shareholders from losing more millions of dollars on the Volt, I suggest the Volt be exempted from the return program.
Never a union member that shouldn't get the benefit of taxpayer rape, right?
I'll bet this was not an oversight.
We'll see if Obamamation fixes it pronto now that I'm helping to make sure a lot of people know about it.
Ps: As noted in the original article, sales tax on a returned item is refundable, so it's even better. Title and registration fees would not be, but those are relatively minor compared to what you can "grab" from Daddy Gubbermint, uh, I mean "the rich", uh, I mean Turbo Timmy and ultimately you as all debt-financed government spending comes right out of your hide.