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EV and Battery Credits
- Thread starter Buckminster
- Start date
I don't know what he is thinking...
To get $3,750 Tesla would need to remove all Chinese sourced components, but then only meet one of the mineral or component sourcing limits which can be evaluated on a factory output basis.
So likelihoods for what will be in a USA made Highland M3SR in July 2024:
35% China made 2170s ($0 credit)
15% China made 4680s ($0 credit)
5% partly USA made 4680s ($3750 credit)
5% partly USA made 2170s ($3750 credit)
15% USA made 4680s ($7500 credit)
25% USA made 2170s ($7500 credit)
What is less wrong?
My thinking is $0 or $7,500 are possible, but $3,750 would be really hard to pull off.
3 P will be $7,500 as will Y, so 2170s are $7,500. 4680s are even more Tesla so those are $7,500. China content is $0, so there would need to be a new, non-China, lower free-trade content cell to only qualify for half credit.
There are, what, nine models that qualify for the full $7,500?
And for the folks who don't have $7500 of federal tax liability, they probably shouldn't be buying a $50k+ car, even with $7500 off. They still, likely, have to qualify for financing.
3P, Y, YLR, YP, X, CT
3 RWD and 3LR lose the credit
$7,500 in tax is > $90k gross for married, no kids
With point of sale, a Y is effectively $36.5k after 18% down.
Ah, the old lie to our customers to boost Q4 sales strategy.
What are you even talking about?
Tesla's web site as of yesterday warned 3 RWD and 3 LR would lose the credit... and they did.
Tesla signals Model Y also losing full $7,500 tax credit
Tesla is signaling that along with two trims of Model 3 losing all their federal tax credit next year, Model...
electrek.co
Assuming hypothetical couple has 18% to put down, a 5 year loan for $36.5k at 6.5% (that's assuming they even qualify for some of the best rates) is $714/month.
How many couples making <$90k can afford that / would be qualified?
I think people are vastly overstating how many new customers the POS credit will bring in.
And again, it's not the >$90k income crowd this is supposed to impact. It's, per Sawyer, everyone making less than that.
Since when does a Fred interpretation/ extrapolation of Tesla's website have anything to what Tesla has told customers?Tesla signals Model Y also losing full $7,500 tax credit
Tesla is signaling that along with two trims of Model 3 losing all their federal tax credit next year, Model...
"Customers who take delivery of a qualified new Tesla and meet all federal requirements are eligible for a tax credit up to $7,500. Reductions likely after Dec 31. Only for eligible cash or loan purchases." was accurate, 3 RWD and 3LR lost credits. The message even specifies "qualified" not "Y". Did the site every say Y was going to lose credits?
If anything, Tesla was over-optimistic (under selling) in thinking the 3 credit would only get cut in half.
The 18% is the point of sale credit, the buyers don't pay anything out of pocket.
$48k a year, $1.2k/ month rent, and a good credit score qualifies for $40k car loan per https://www.thecarconnection.com/car-loans/loan-estimator/
And the >$90k was indicating where taxes exceed $7,500, thus demonstrating that the people below that level benefit from the point of sale decoupling from tax liability.
Oh I thought you were being sarcastic. Some people thought the notice on the Model 3 tax credits was a sale tactic by Tesla and I thought you were making fun of them.
The point was threshold for loan eligibility, not practicality.
The only incorrect statement was Model 3 getting half credit in 24 rather than zero. That would reduce demand, not increase it (your original claim).
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