Buy an EV, Get the Federal Rebate on the Spot

There's a giant tidal motion rocking the automotive industry these days, as the world is getting ready to make room for a flood of electric of hybrid vehicles. The manufacturers are ready, the dealers likewise, and the governments are more than willing to give future buyers the promised rebates for their role in supporting the reshaping of our planet.

In the US, however, the problem is that, even with the rebate in place, you'll still have to pay the entire price of the car at the moment you buy it. Some months later, after you have filed your federal income tax return, and provided the Internal Revenue Service is happy with the numbers, you'll get your $7,500 back.

Fortunately, starting 2012, and provided transportation Secretary Ray LaHood has it his way, that will no longer be the case. In a bid to further boost the appeal electric vehicles might have, LaHood says that the involved parties are in discussion to come up with a solution for the rebate to be granted on the spot, by the dealer from where the purchase in being made.

"We're doing a lot of talking about it," LaHood said according to Autonews. "When you give people that incentive to buy a battery-powered car, they'll do it. We know these incentives help."

Of course, it is to be expected that it all will not be as easy as LaHood hopes. With all that money to be transferred to the dealers, and then to the new owner of electric or hybrid vehicles, problems are more than likely to occur. Just think at the mess the 2009 scrappage scheme made for dealers and car buyers alike.