Senate tax plan does not kill electric vehicle credit

Reuters

WASHINGTON (Reuters) - A U.S. Senate tax reform proposal unveiled on Thursday does not eliminate a $7,500 electric vehicle tax credit as Republicans in the U.S. House of Representatives have proposed.

Killing the credit could hurt automakers like General Motors Co, Volkswagen AG, Tesla Inc and Nissan Motor Co. Current law allows automakers to use the credit, which phases out after an automaker hits 200,000 plug-in vehicles sold. Electric vehicles have expensive batteries that make them pricier than gasoline-powered vehicles.

(Reporting by David Shepardson; Editing by Peter Cooney)