Happy Friday Elio’ers! Five days until tax day, are you ready? What are you doing with your refund this year? Mine went to an upgrade. The average refund is expected to be over $2,800 this year¹. That $2,800 would pay for a big chunk of your Elio or maybe some fun toys to add on to one!
This year “Tax Freedom Day” (TFD) is April 24th for the country, three days later than last year. That means that as a country, we need to work until April 24th this year to earn enough to pay our taxes for 2015. There is some good news for several states already: Louisiana (April 2), Mississippi (April 4), South Dakota (April 8) and Tennessee and Alabama (April 9), you have already passed your Tax Freedom Day! Kentucky, tomorrow your TFD will be here and gone too. That is the good news. The other side of the coin has New York (May 8th) and New Jersey and Connecticut (May 13th) bringing up the rear. Elio fans in Connecticut and New Jersey will need to work 41 days longer to satisfy their tax burden than our fans in Louisiana.
Elio can help though! We have discussed the tax benefit of buying an Elio in a previous blog. The big savings is in sales tax. Most of the US will receive significant tax savings because of the expected sales price of $6,800. Here is a quick recap:
- Elio will save you, on average, over $470 on sales tax when you buy an Elio instead of a “low cost” alternative ($15,000)
- The Elio will save you over $1,300 versus an “average” new car priced at $30,000
That savings will slide your Tax Freedom Day forward over a week. That is progress!
There is another way that Elio can and will reduce your tax burden and help your TFD too: gasoline taxes. The average tax on a gallon of gas³ in the US is $.4885. That is almost fifty cents a gallon for every gallon of fuel you purchase. The swing from one state to another is pretty wide too. If you live in Pennsylvania, you are paying $.70/gallon. California almost, $.66/gal. Florida is $.548/gal. There are some states on the low side too, led by Alaska with $.297/gal and New Jersey with $.329/gal. Vermont, you are the “averagest”, at $.4886/gal.
So, what does that mean to the TFD? If you drive 1,200 miles a month at 22 mpg you pay around $27 a month in gas tax, on average, today. The Elio would be around $9.70. Not a ton of money on a monthly basis, but that’s $115 a year, which would move your TFD in the right direction which is all good.
Many of us will experience even more savings depending on our miles, current vehicle, tax rates etc. Even if you are at the bottom of every category, every little bit helps!
The Elio Preview Tour:
Through April 12, New York City for the New York Auto Show, Jacob Javitz Center; show hours; this is a P4 show
April 17-19, West Palm Beach, Florida; Barrett Jackson Auto Auction, South Florida Fairgrounds; Friday, Saturday and Sunday 9 am to 5 pm, P4 Show
Remember to check the website for future locations for the Preview Tour here.
Thank you for your continued support.