VW Golf hybrid price in US after federal income tax credits?

Discussion in 'VW e-Golf, Golf hybrid, and Audi A3 e-tron forum' started by voltron, Mar 5, 2014.

  1. voltron

    voltron Administrator and Defender of the Universe Staff Member

    The VW Golf hybrid specs have been released in Germany and I wanted to guess the price of the car in US dollars after federal income tax credits. Here's my best guess: $29-31,000. Here's how I came to this number.

    First, how much is the tax credit? The federal income tax credit will be between $4,585 if you round up the battery capacity to the nearest whole number, $4,168 if you round down. See http://forum.evwaudi.com/threads/ho...-credit-on-the-golf-hybrid-audi-a3-etron.199/ for the official IRS reference.

    Second, note that VW's German website quotes the number after sales tax (19% in Germany). Prices in general are also higher in Europe vs. the US. Then, convert Euros to US dollars.

    In the US, the gas Golf is $20-23,000 depending on equipment. You can no longer equip them to highline trim because these are mostly leftovers - the mk7 Golf has taken over the production lines and the mk6 Golf for the US were built only in Germany on the same lines. It's hard to compare US car prices to German cars because they don't offer the equivalent model so I'll just guess between 10-15% lower for the US. I calculated the difference between the GTI prices but similar car costs 33% more in Europe which is too much of a discount.

    The e-Golf (NOT the hybrid, the electric only Golf) costs 34,900 Euros in Germany and includes LED headlights, 16" wheels, acoustic park assist, and the highline Discover Pro navigation system. Hybrid pricing is not released yet but they've stated it will be about the same as the e-Golf. Adjusting for VAT, 10-15% down for the US market = $33-36,000 US dollars. After federal tax credit, this reduces the price down to $29-31,000 US dollars.

    This is comparable in price to a loaded GTI and TDI so I feel this will probably be the target price.

    Considering that the hybrid and e-Golf comes with the highline navigation (it uses the larger screen for the hybrid display) and LED headlights (at least the German spec one does), this is a pretty good price for options that you can't get or pay extra on other cars.

    If you're lucky enough to live in the few states that have bonus tax credits for hybrids and electric vehicles with a minimum battery capacity, you can reduce the price even more.
    Last edited: Mar 7, 2014

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