Company: TOGIW
Filing Date: 2025-04-23
Form Type: 10-K
Source: 0001214659-25-006296
Chunk: 32

Company: TurnOnGreen, Inc.
Filing Date: 2025-04-23
Form: 10-K
Item: Item 1A
Chunk 32
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 impose additional obstacles to the purchase
of EVs or the development of a more ubiquitous EV market. Finally, the current litigation between the state of California and the National
Highway Transit Safety Administration could impact California’s ability to set fuel economy standards that encourage the adoption
of EVs and are followed by many other states. If any of the above causes or contributes to consumers or businesses to no longer purchase
EVs or purchase them at a lower rate, it would materially and adversely affect our business, operating results, financial condition and
prospects.

The EV market currently benefits from the availability
of rebates, tax credits and other financial incentives from governments, utilities and others to offset the purchase or operating cost
of EVs and EV charging stations. The reduction, modification, or elimination of such benefits could cause reduced demand for EVs and EV
charging stations, which would adversely affect our financial results.

Although energy costs for EVs are generally lower
than for similar conventional vehicles, purchase prices can be significantly higher. Prices are likely to equalize with conventional vehicles,
as production volumes increase and battery technologies continue to mature. Also, initial costs can be offset by fuel cost savings, federal
tax credits, and state and utility incentives. The federal Clean Vehicle Tax Credits are available are available to consumers, fleets,
businesses, and tax-exempt entities investing in new, used, and commercial clean vehicles including all-electric vehicles, plug-in hybrid
electric vehicles, fuel cell EVs and EV charging infrastructure. Some states and electric utilities also offer incentives.

The U. S. federal government, foreign governments
and some state and local governments provide incentives to end users and purchasers of EVs and EV charging stations in the form of rebates,
tax credits, and other financial incentives, such as payments for regulatory credits. The EV market relies on these governmental rebates,
tax credits, and other financial incentives to lower the effective price of EVs and EV charging stations to customers. However, these
incentives may expire on a particular date, end when the allocated funding is exhausted, or be reduced or terminated as a matter of regulatory
or legislative policy. For example, on August 16, 2022, President Biden signed the Inflation Reduction Act, which includes thousands
of dollars in tax credits and rebates for consumers who buy electric vehicles, install solar panels or make other energy-efficient upgrades
to their homes. However, makers of EV’s may well increase their prices for such vehicles by an equal amount, thereby removing