Ah, got ya. I just found out that the $7500 credit is supposed to last until 2032. Who knows what changes may be implemented, but that answers my question, as I thought it was something that could/would be modified quarter by quarter.
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Discussion : All discussion regarding Model 3 and Tax credit in model 3 subforum
- Thread starter mapman
- Start date
Ah, got ya. I just found out that the $7500 credit is supposed to last until 2032. Who knows what changes may be implemented, but that answers my question, as I thought it was something that could/would be modified quarter by quarter.
First post. Hello!
Just thought I'd share that I'm one of those "in the crack" Tesla buyers that either ordered too late or too early. Filed taxes yesterday and was not able to qualify for a tax credit for my M3P delivered on 6/24/2022. With Congress dragging a$$ on doing their job and Tesla slashing prices...I've effectively paid over $20K more in comparison to anyone that has ordered the same config in the past couple of months.
I still like the car...but this is one tough pill to swallow.
F*ck you, Elon!
Just thought I'd share that I'm one of those "in the crack" Tesla buyers that either ordered too late or too early. Filed taxes yesterday and was not able to qualify for a tax credit for my M3P delivered on 6/24/2022. With Congress dragging a$$ on doing their job and Tesla slashing prices...I've effectively paid over $20K more in comparison to anyone that has ordered the same config in the past couple of months.
I still like the car...but this is one tough pill to swallow.
F*ck you, Elon!
I'm not eligible for the tax credit so I'm waiting until the credit turns into a rebate at time of purchase. My understanding is that it goes into effect January 1st 2024. My question is, if I order a M3P in December with a delivery date in January, will I get the rebate? Also, does the credit turn into a rebate automatically as of Jan 1st or is there a waiting period?
Unless your tax situation is different next year you won't be eligible for the time of purchase rebate either. (The qualifications for both are the same, the only difference is when you get the money.)
Sad post in many regards. Without Elon you would not be enjoying the Best EV and Charging Infrastructure available. Please consider editing your last line.
Enjoy the exceptional car you now have (sincerely).
I'm not eligible because I don't have enough tax liability, not because I'm over the income threshold.
It doesn't matter. If you take the point of sale credit, and at the end of the year don't have the tax liability for all of it, you will have to pay the extra back to the IRS. (The only "free lunch" on this is when leasing a vehicle, assuming that they pass the credit on to you.)
you have to have 7500$ federal tax liability to get the full benefit. if you have 3000 then you get 3000. the delivery methodology will change but the requirements will be the same (tax wise).
www.irs.gov
this:
The credit is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.
Credits for new clean vehicles purchased in 2023 or after | Internal Revenue Service
You may qualify for a clean vehicle tax credit up to $7,500 if you buy a new, qualified plug-in electric vehicle or fuel cell electric vehicle.
this:
The credit is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.
King David
Member
Can't find a clear answer on the IRS Website, so looking for some direction- if my wife and I each purchased separate cars (3 &Y) but file jointly, could we get two $7500 credits? From what I've read credit for a single vehicle can't be shared for individuals filing separately, but I'm looking for an answer to the exact opposite. Thx.
Suddenly clear. Commercial customers avoid the IRA restrictions (MSRP Cap, buyer income CAP, battery sourcing requirements) that are applied to individuals. Individuals leasing is typically a "loophole " to avoid the IRA restrictions since the IRA allows a commercial customer to receive the credit. In most cases an automaker's EV is sold to a leasing company who receives the $7500 credit and leases it to an individual. The leasing company has the option to use that benefit reduce (or not) leasing fees to their customer.
In Tesla's case there is no leasing company that Tesla sells the car to, so no one receives the credit.
In Tesla's case there is no leasing company that Tesla sells the car to, so no one receives the credit.
I do not think this will be a problem as long as you have a combined federal tax charge of more than $15,000 and meet all other requirements (income etc). I mean your tax professional should be able to verify.
King David
Member
Thx...was thinking the same. As for my tax professional, guess I'll have to find one, as I take care of it myself 
I understand but for $15k it may worth a try to ask for some input.Thx...was thinking the same. As for my tax professional, guess I'll have to find one, as I take care of it myself
I'm informed that Tesla does have a separate company that performs the leasing and they don’t explicitly pass it on to the customer. They may include it in their internal calculations. Appears that GM does that as well.
so,
has anyone gotten notification that tesla is properly submitting the forms? i have noticed this was being discussed elsewhere and i just picked my car up and they never did provide me anything indicating they reported my purchase to the IRS.
www.irs.gov
has anyone gotten notification that tesla is properly submitting the forms? i have noticed this was being discussed elsewhere and i just picked my car up and they never did provide me anything indicating they reported my purchase to the IRS.
Credits for new clean vehicles purchased in 2023 or after | Internal Revenue Service
You may qualify for a clean vehicle tax credit up to $7,500 if you buy a new, qualified plug-in electric vehicle or fuel cell electric vehicle.
- The seller reports required information to you at the time of sale and to the IRS.
- Sellers are required to report your name and taxpayer identification number to the IRS for you to be eligible to claim the credit.
so,
has anyone gotten notification that tesla is properly submitting the forms? i have noticed this was being discussed elsewhere and i just picked my car up and they never did provide me anything indicating they reported my purchase to the IRS.
Credits for new clean vehicles purchased in 2023 or after | Internal Revenue Service
You may qualify for a clean vehicle tax credit up to $7,500 if you buy a new, qualified plug-in electric vehicle or fuel cell electric vehicle.
- The seller reports required information to you at the time of sale and to the IRS.
- Sellers are required to report your name and taxpayer identification number to the IRS for you to be eligible to claim the credit.
You cant claim this till next year, so you have plenty of time for Tesla to report your sale to the IRS. You would just claim it on your taxes next year, you wont need to get something from tesla saying they submitted anything.
Yes, I realize that you should not ask for tax advice on an internet forum. But lacking a CPA and my lawyer charges money for every minute .... what the heck.....
Could someone buy a qualifiing EV, keep it for 3 months, then sell it and buy another qualifying EV, and then claim both tax credits ($15k) ? Are there any limits other than total tax credit is capped at your tax payment. Any limits on number of transactions ?
Reading the IRS docs and they are clear as mud to me.
and ... just you know asking for a friend...
Could someone buy a qualifiing EV, keep it for 3 months, then sell it and buy another qualifying EV, and then claim both tax credits ($15k) ? Are there any limits other than total tax credit is capped at your tax payment. Any limits on number of transactions ?
Reading the IRS docs and they are clear as mud to me.
and ... just you know asking for a friend...
whisperingshad
Active Member
You can do as many as you want....However...remember this is a non-refundable tax credit....IE if you take zero out of check all year and owe 13k in taxes, getting 15k in credit from this will only net you 13k to zero out the owed tax....
Knightshade
Well-Known Member
While the above is accurate it's also a bit misleading because it mentions "if you take zero out of check all year"
The amount you take out of your check has nothing to do with how much you owe in taxes when filling them out...and no impact on how much (or how many) EV tax credits you can claim.
If your tax burden for the year is $13,000 and you "took out" 0 from your check your burden is 13k, and that's the relevant amount for max amount of EV credit you can use. In this example taking the credit twice would reduce your burden to $0 and you'd get $0 refund and owe $0.
If your tax burden for the year is $13,000 and you "took out" $13,000 from your check your burden is... still 13k, and that's still the relevant amount of max amount of EV credit you can use. In this example taking the credit twice would reduce your burden to $0 and you'd get a $13,000 refund.
The amount you take out of your check has nothing to do with how much you owe in taxes when filling them out...and no impact on how much (or how many) EV tax credits you can claim.
If your tax burden for the year is $13,000 and you "took out" 0 from your check your burden is 13k, and that's the relevant amount for max amount of EV credit you can use. In this example taking the credit twice would reduce your burden to $0 and you'd get $0 refund and owe $0.
If your tax burden for the year is $13,000 and you "took out" $13,000 from your check your burden is... still 13k, and that's still the relevant amount of max amount of EV credit you can use. In this example taking the credit twice would reduce your burden to $0 and you'd get a $13,000 refund.
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