• |
  • |
  • Tax Breaks on Volkswagen TDI Vehicles Scrutinized by U.S.

Tax Breaks on Volkswagen TDI Vehicles Scrutinized by U.S.

Company Lobbied for Tax Incentives for Diesel Customers

Oct 1, 2015
According to a report published in Reuters, U.S. prosecutors could soon begin scrutinizing the tax breaks received by Volkswagen customers in the company’s push to promote its clean diesel vehicles. VW’s campaign could result in civil penalties or criminal charges against the automaker or its officers (one of whom has already resigned) if prosecutors can prove representatives from Volkswagen intentionally misrepresented the cars’ emissions in an effort to secure the tax break.
Photo 2/18   |   2014 Volkswagen Beetle TDI Front Low
The company has set aside $7.3 billion to cover the cost of the scandal worldwide, which we refuse to acknowledge as Dieselgate (we prefer Volkswageddon). However, penalties in America alone could reach up to $18 billion from the Environmental Protection Agency, although most commentators agree that number is extremely unlikely.
In the event that criminal or civil charges are filed against Volkswagen, Reuters reports that the company may be able to drum up a defense. Since VW hasn’t admitted to out-and-out negligent fraud, it’s possible that the devices found on many different VW and Audi models could have been installed not to defeat emissions tests, but to allow the vehicles to be tested by a variety of different overseas regulators. If that’s the case, criminal negligence and fraud charges would likely be dropped, and civil penalties and/or recalls could be the only “punishments.”
Photo 6/18   |   2015 Audi A3 TDI With Diesels
In other VW-related news, the company’s stop-sale has extended to all diesel models until they can be properly retested and certified. Governments all over the world have begun investigations of the automaker, including Japan, Canada, and Germany.
It’s not looking good, folks.
Source: Reuters
Photo 7/18   |   2012 Volkswagen Passat SE TDI Rear Left Side View

POPULAR TRUCKS

MOST POPULAR

Subscribe Today and Save up to 83%!

Subscribe Truck Trend Magazine

Subscribe to:

Truck Trend
Magazine

PRINT DIGITAL
Subscribe Diesel Power Magazine

Subscribe to:

Diesel Power
Magazine

PRINT DIGITAL
Subscribe Truckin Magazine

Subscribe to:

Truckin
Magazine

PRINT DIGITAL
SUBSCRIBE TO A MAGAZINE
CLOSE X
BUYER'S GUIDE
SEE THE ALL NEW
NEWS, REVIEWS & SPECS