The Republican Tax Bill Exacerbated Tesla's Drop Yesterday
In addition to disappointing earnings, shares of Tesla (NASDAQ: TSLA) also fell on Thursday after Republicans unveiled a tax bill that would promptly kill off the federal tax incentive that maxes out at $7,500 for electric vehicles (EVs) at the end of 2017 -- less than two months away. The federal incentive applies to all EVs and manufacturers, and is not specific to Tesla. Manufacturers do not directly receive the credit, which consumers can claim on their federal tax returns.
It's too early to say if the bill will pass, but it has some possible implications for Tesla's business.
Image source: Tesla.
Source: Fool.com
Tesla Inc Stock
€284.20
2.490%
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