The Volvo C40 Recharge appeals to consumers mostly thanks to its sloping roofline which differentiates the EV from the XC40, but can owners get tax credits for purchasing the vehicle? The C40 is a coupe-like rendition of the luxury SUV, XC40 Recharge. Although the C40 was launched last year, the vehicle is Volvo’s first all-electric model. This may confuse some people, considering that the XC40 has been around for longer. To clarify, the XC40 was initially offered with a handful of engine options like traditional gasoline and petrol. A plug-in hybrid model was also released. It was in 2020 that fans of the XC40 got a battery-electric version.
While the U.S. and most parts of Europe are witnessing an unprecedented acceptance of EVs, there has been some pushback from the public. A survey found that some Americans view the cost of a new EV as a major reason why they don't want to switch. However, incentives like tax credits help electric automakers attract new customers. Admittedly, EVs are developed with new technologies, and given an ongoing chip and parts shortage, automakers have been forced to raise prices. Driving range is a major selling point for EVs, particularly because a car with more range can be used for city drives and interstate travel. A car with low range numbers is likely to be restricted to the city and will need frequent charging. These realities may scare potential buyers.
While the federal tax credit is considered an EV credit, not all models are eligible. The credit is capped at 200,000 units, and upon selling more than that number, the automaker is unable to promise buyers eligibility for the incentive. Currently, Tesla, Toyota, and GM have had their right to the tax credit taken away because each manufacturer has sold over 200,000 units. A Senate bill being formulated may revive the tax credit for the affected automakers, though. The Volvo C40 qualifies for the federal tax credit worth $7,500 and promises buyers some other benefits. However, intending buyers will need to validate their eligibility using the services of a certified tax professional.
Volvo C40 Recharge Offers Impressive Range
Aside from the federal tax credit which lowers the crossover’s retail price, buyers can qualify for state incentives. However, these incentives are exclusive to the state where the EV is bought and are subject to change. The conventional EV benefits like low maintenance costs, reduced tailpipe emissions, and time savings also apply to the C40 Recharge. The C40’s EV credentials are quite impressive. Equipped with a 75.0 kWh battery pack, the electric crossover can run for up to 225 miles before needing a charge. Charging can be done at home or on the go, with fast charging supported.
The C40 also comes with the latest Google Android-based infotainment system offered by Volvo. The system also supports regular OTA updates, enabling drivers to enjoy the latest software and an improved experience. Navigation is handled by Google Maps with voice commands offered by Google Assistant. The Google Play Store is available for owners to get the latest versions of applications and even download new ones. For an immersive sound experience, the Volvo C40 Recharge features a high-end Harman Kardon stereo system.
Source: Volvo