[msahin]

Hello Everyone,
My Pro order is scheduled for production in late October. Realizing that I don't qualify for the rebates, I am planning to sell it after I get the delivery sometime in November 2022 - barring any delays.
Any suggestions how to get the best value when selling it is appreciated.
Thank you.
Murat

 

[Voltz]

Realizing that I don't qualify for the rebates

If the truck is delivered in 2022, I'm curious what condition disqualifies you?

 

[msahin]

If the truck is delivered in 2022, I'm curious what condition disqualifies you?

Income level. If your adjusted income is above certain amount for the year, you are not allowed to claim the 7.5K EV credit, based on what I read.

 

[bmcons]

If it is delivered this year, there is no income limit, the only thing that would make you not qualify for the full $7500 is not paying at least that much in federal taxes. The new rebate starts January 1st 2023, and that will have income limits.

 

[msahin]

If it is delivered this year, there is no income limit, the only thing that would make you not qualify for the full $7500 is not paying at least that much in federal taxes. The new rebate starts January 1st 2023, and that will have income limits.

Really!!!! Thank you so much. It is the biggest factor in my decision.

 

[Leaf to Lightning : )]

there is no income limit for 2022 deliveries... only that you have $7,500.00 of 'income tax to pay'(or else you are basically not getting all of the credit)... Ford will not be setting any 200,000 sales maximum, under the current law, that will impact anything in 2022.

 

[Txxthie]

Really!!!! Thank you so much. It is the biggest factor in my decision.

Remember 🧐 a written binding agreement or purchase agreement was required with your dealership prior to Aug 16th, to be grandfathered into the previous EV tax credit. Even though this exception is stated in the new law, it’s interpretation might be tricky come tax time.

A section from Rivian’s Binding Contact to Purchase:

4. Disclaimer of Tax Eligibility. Rivian cannot guarantee that you will be eligible for any tax credits because you signed this Agreement. You are responsible for your own personal tax situation and determination of eligibility for credits and incentives for Federal, State, and Local taxes. Rivian does not guarantee the actions or determinations of the Internal Revenue Service or any other tax authority, and Rivian is under no obligation to defend you in disputes with any tax authority. Rivian makes no representations under this Agreement as to pending or future legislation.

 

[Voltz]

You needed to have entered into a written binding agreement/purchase agreement with your dealership prior to IRA being signed in August, to be grandfathered into the previous EV tax credit.

That is for North American-assembled vehicles delivered after 12/31/22. The only thing that changed for 2022 delivered BEVs upon POTUS signature is they must have final assembly in North America to qualify for the tax credit.

 

[Txxthie]

That is for North American-assembled vehicles delivered after 12/31/22. The only thing that changed for 2022 delivered BEVs upon POTUS signature is they must have final assembly in North America to qualify for the tax credit.

Yes, missed that additional paragraph.

For vehicles purchased on or after August 16, 2022, and for which delivery occurs by the end of 2022, the requirement regarding final assembly in North America applies, but otherwise the law prior to enactment of the IRA applies, including the vehicle caps that disallow the tax credit for vehicles manufactured by Tesla or General Motors.

That being the case, Ford has been thrown a bone that most other EV manufacturers haven’t. Are they ramping up EV production to grab more sales before years end, doesn’t seem so! The opposite effect is happening with Tesla. It had 5% lower Q3 deliveries most like due to reservation holders delaying purchases till 2023.

 

[joereask]

I bought my EV in May. Do I qualify?

 

[bmcons]

I bought my EV in May. Do I qualify?

If it was a Ford Lightning (or any other Ford EV), and you paid at least something in federal tax, than you should eligible to claim up to $7500 on your 2022 tax return (eg. if you paid $3000 in federal income tax you will be able to claim $3000; if you paid $7500 or more, you will be able to claim the full $7500). Check with you tax advisor as well.

 

[THEsocalledfan]

So, I'm a Sept 9, wave 3 MY '23 order date. I doubt I'll take delivery by Dec 31. I can do the binding agreement thing, correct? Hopefully, Ford will have their poop in a group and be able to help dealers figure this out.

 

[bmcons]

So, I'm a Sept 9, wave 3 MY '23 order date. I doubt I'll take delivery by Dec 31. I can do the binding agreement thing, correct? Hopefully, Ford will have their poop in a group and be able to help dealers figure this out.

I believe that the binding agreement should have been done before the president signed the bill into law, so it might not be an option right now.

 

[joereask]

If it was a Ford Lightning (or any other Ford EV), and you paid at least something in federal tax, than you should eligible to claim up to $7500 on your 2022 tax return (eg. if you paid $3000 in federal income tax you will be able to claim $3000; if you paid $7500 or more, you will be able to claim the full $7500). Check with you tax advisor as well.

I thought as long as you owe at least $7500 you could get the full credit. In other words it’s tax liability, not how much you paid in ?

 

[jimfigler]

I bought my EV in May. Do I qualify?

If you took delivery in may then doesn’t matter what EV it was as they all qualified before august 16th . Other than Tesla and GM of course

 

[jimfigler]

I thought as long as you owe at least $7500 you could get the full credit. In other words it’s tax liability, not how much you paid in ?

Yes it is tax liability. It is a confusing subject. So whatever total federal taxes you were required to pay for 2022, that amount needs to be greater than $7500. some people including myself initially get it confused with tax refund amount. I think it’s the term non-refundable tax credit that gets it confused with the April tax refund when in fact there is no connection

 

[joereask]

Maybe someone can answer this. Say you paid in $7,000 in withholding. But your tax liability is $8,000. How much would your refund be from the government?
Thanks in advance.

 

[Voltz]

Maybe someone can answer this. Say you paid in $7,000 in withholding. But your tax liability is $8,000. How much would your refund be from the government?
Thanks in advance.

$6,500

 

[jimfigler]

$6,500

Agreed

 

[bmcons]

I thought as long as you owe at least $7500 you could get the full credit. In other words it’s tax liability, not how much you paid in ?

Correct, it’s how much you owe.