by Gabrielle DeSantis

Like other automakers, Volvo is steadily going green with hybrid and all-electric vehicles. In fact, Volvo created a new company, Polestar, to roll out hybrids and EVs, such as the Polestar 2. It also recently debuted the Recharge lineup of EVs. And thanks to these efforts, consumers can get $7,500 back when they buy certain Volvo models.

Some automakers, including Volvo, sell cars eligible for the federal EV tax credit

Some Volvo customers can get up to $7,500 back thanks to the federal tax credit for electric vehicles and plug-in electric vehicles. It’s commonly known as the federal EV tax credit. The federal government uses a formula based on the size of the car’s battery pack to determine the size of the tax credit. As such, all-electric vehicles qualify for the maximum amount, while it’s a bit different for PHEVs.

There’s also a sales limit, too. Automakers such as Tesla and General Motors have already sold the 200,000 eligible units under the law. So consumers who purchase Tesla and GM PHEVs and EVs can no longer take advantage of this tax credit.

And though the government may expand the tax credit, Volvo customers are on the clock. The more PHEVs and EVs that Volvo sells, the closer it comes to selling the 200,000-unit limit.

The Volvo models that qualify for the tax credit

Luckily, quite a few Volvo models qualify for the federal tax credit. That said, not all can get up to $7,500 off, but they can still get a big discount. For example, the XC40 Recharge, Polestar 1, and Polestar 2 are eligible for the maximum $7,500 tax credit. That’s because the XC40 Recharge and Polestar 2 are EVs, while the Polestar 1 is a PHEV with a big battery pack, Electrek reports.

Other Volvo models, though PHEVs, don’t have a large enough battery pack to hit the max $7,500 credit. For example, the 2021 S60, S90, V60, XC60, and XC90 qualify for a $5,419 tax credit.

With that being said, older years of those models will be eligible as well. But they may be eligible for a smaller amount. However, Volvo customers might not want to shop for an older model anyway. According to Electrek, the tax credit can be used only by the original owner. So used Volvos don’t qualify for this tax credit. 

How can you take advantage of the EV tax credit?

Another caveat, however, lies in the fact that it’s a tax credit, not a rebate or a discount. In particular, this means two things: Customers will need to claim this credit when they do their taxes. Consumers should consult with a professional for advice on how to do this.

The other caveat is how tax credits work. They reduce how much money you owe the government in taxes, but you won’t get the leftovers. For example, if you buy a new Volvo XC40 Recharge, you’ll be eligible for a $7,500 tax credit. But if you only owe the government $5,000 in taxes, the EV tax credit will negate that amount. However, you won’t get the remaining $2,500. You also won’t be able to use that remainder for the following tax year.

All this means that, although consumers can save thousands of dollars, the EV tax credit isn’t like a discount at a grocery store.

RELATED: The 2021 Volvo XC40 Recharge Might Confuse You When You Try to Start It

The post Your Next Volvo Can Be Bought With up to $7,500 off the Price appeared first on MotorBiscuit.

by Gabrielle DeSantis

Lotus sports cars sell in low volumes, but the automaker has finally decided to make its lightweight vehicles more accessible to all drivers. Many Lotus cars offer optional automatic transmissions, making them considerations for drivers not interested in the art or effort of using a manual transmission. In its many decades, Lotus has offered a number of exotic cars, but it’s poised to make a change in its model lineup.

A history of Lotus

Lotus cars are known for their speed and maneuverability, Autoevolution reports. The brand got its start in 1946 when Colin Chapman built his first car in a garage in Britain. He called it the Austin Seven Special and won several races in 1948. Chapman built the first Lotus in 1949, and it packed a more powerful engine from Ford.

Chapman soon turned his attention to developing sports cars to enter the Formula 750. In 1952, Chapman, along with Michael and Nigel Allen, started Lotus Engineering Company. The first production car was the Lotus Mark VI, which had a 1.5-liter four-cylinder Ford Consul engine. The car was successful on the racetrack and with customers. A Lotus car won its first Grand Prix in 1959. Chapman died in 1982 at just 54 years old.

General Motors purchased Lotus in 1986 but sold it to A.C.B.N. Holdings in Luxembourg in 1993. It was sold again in 1996 to the carmaker Proton in Malaysia.

By 2017, Lotus was owned by Geely Automotive and Etika Automotive, Lotus explains. The automaker no longer races in Formula 1, but its sports cars are still well respected.

Today, Lotus produces three street-legal models: Elise, Exige, and Evora. The Elise debuted in 1995, the Exige was added in 2000, and the Evora joined the lineup in 2008. But two new models are on the horizon.

The automatic transmission options in Lotus cars

An automatic transmission was available on naturally aspirated Lotus Evora cars starting in 2012. The 2013 Lotus Evora S also received an automatic transmission option in addition to its standard six-speed manual transmission, Car and Driver reports. The Evora was the first Lotus to offer an automatic transmission since the Excel SA in the late 1980s and the first in the United States since the Eclat in the late 1970s, MotorTrend notes. The move to add an automatic transmission was intended to widen the customer base.

In 2014, Lotus announced an automatic transmission would soon be available on the Exige, Car and Driver explains. The Exige S Automatic was available in a coupe or roadster style, and both offered an optional six-speed Aisin transmission with Evora IPS (Intelligent Precision Shift).

Automatic transmissions remain available on two of the three current Lotus models: the Evora and Exige. In 2021, Lotus confirmed it would stop producing the Elise, Exige, and Evora this year. Several versions of each of the three models remain available, and Final Edition models have been released for the Elise and Exige.

About the Lotus Emira and Lotus Evija

The two latest models from Lotus are the Emira and Evija. According to Lotus, the Emira will be available in spring 2022. This mid-engine supercar draws from the inspiration of the Evija. The Emira offers two gas engines: a 2.0-liter turbocharged inline-four or a 3.5-liter supercharged V6 engine.

The 2.0-liter engine pairs with an eight-speed dual-clutch automatic transmission. The 3.5-liter engine is mated to a six-speed manual transmission with a limited-slip differential or a six-speed automatic transmission.

The Evija, which the automaker unveiled in 2019, is the first all-electric British hypercar, Lotus claims. It features a mid-mounted battery pack, giving it a similar style to other Lotus mid-engine sports cars. The Evija has a reported range of 215 miles. Its battery is connected to four electric motors, which Lotus says “feature integrated silicon carbide inverters and an epicyclic transmission on each axle of the four-wheel-drive powertrain.”

Lotus is at a turning point in the models it offers. But automatic transmissions will remain available for consumers.

RELATED: Lotus Opens Its Very 1st Retail Shop as It Works to Become a Lamborghini Competitor

The post Do Lotus Cars Come in Automatic? appeared first on MotorBiscuit.