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Fed tax credit

Discussion in 'Model 3' started by mrtian97, Jul 29, 2017.

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  1. mrtian97

    mrtian97 Member

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    How do we know if we qualify for the tax credit rebate when we place the order or take delivery for Model 3?
     
  2. AlanSqB

    AlanSqB Dog Chauffeur

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    You should absolutely consult a tax professional to answer that. You can look up the details for the EV deduction on the IRS website, but you'll need to determine if you have enough tax liability to qualify. There are literally hundreds of posts on this website covering all the details.
     
  3. JVL

    JVL Member

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    I am sure the question is not if HE qualifies under his unique individual circumstances but rather if the car he buys will fall under eligibility for the tax credit.

    I have the same question.

    I have read all about the tax credit phase out etc - but with all of the new information out there on production rates - when does everyone think the phase out is going to happen?

    Thanks.
     
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  4. mrtian97

    mrtian97 Member

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    that's correct, that's my question. When I took delivery for my MS, Tesla did not mentioned about my # (I wasn't asking also since I am comfortable that I will qualify)
     
  5. Troy

    Troy Member

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    Hi. Currently, the most likely scenario looks like this:

    $7,500 for deliveries until Jun 30, 2018
    $3,750 for deliveries until Dec 31, 2018
    $1,875 for deliveries until Jun 30, 2019
     
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  6. mrtian97

    mrtian97 Member

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    thanks Troy
     
  7. JVL

    JVL Member

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    Anybody else agree or disagree with Troy?
     
  8. AlanSqB

    AlanSqB Dog Chauffeur

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    I still contend there will be some political motion, perhaps unsuccessful, to figure out a way to not put the American car company employing American workers at a disadvantage compared to foreign companies who sat comfortably by. Would be great if Tesla either got an extension or the whole thing got canned.
     
  9. Zaphod

    Zaphod Galaxy President (former)

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    Yes, but Tesla is evil and is for snobby rich people /s.

    I don't see this administration doing damn thing for Tesla even though it is an American company. Elon did "snub" the one who shall not be named on his advisory council because of the whole Paris accord deal.
     
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  10. No2DinosaurFuel

    No2DinosaurFuel Active Member

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    I say:
    $7500 before 2018
    $3750 between Jan 2018 and June 2018
    1875 between July 2018 and Dec 2018
     
    • Disagree x 7
  11. deonb

    deonb Supporting Member

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    You think Tesla already delivered 200'000 US vehicles at the end of last month?
     
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  12. No2DinosaurFuel

    No2DinosaurFuel Active Member

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    Next quarter. By Dec 2017. 2nd Quarter after that is half.

    So anything sold on and after April 2018 will be 1/2. So i guess my estimate is off by 3 months.

    Revised:
    7500 before April 2018.
    3750 between April 2018 and Sept 2018.
    1875 for next 2 quarters
    And gone after April 2019.
     
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  13. mrtian97

    mrtian97 Member

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    I would agree with Troy, I don't think Tesla will have the production capacity to exhaust any faster
     
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  14. Troy

    Troy Member

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    Here is a little more detail:

    As of today, Tesla has sold 134,735 cars in the USA and they are expected to hit 200,000 USA sales on 20 Jan 2018 based on my calculation. According to the rules, if they hit 200K sales on any day in Q1 2018, full tax credits will continue until the end of Q2 2018. Therefore, the most likely scenario looks like this:

    $7,500 for deliveries until the end of Q2 2018
    $3,750 for deliveries until the end of Q4 2018
    $1,875 for deliveries until the end of Q2 2019

    In the future, for the latest info on this issue, you can open this page and scroll all the way to the right. If you want to check out the rules, open this page, scroll down and expand the phaseout section.
     
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  15. montreid

    montreid Member

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    Yeah they don't want to ramp up too fast for that reason alone.

    The other factor they can fudge is x and s deliveries to the us in the last quarter and shift those to overseas. But that defeats his goal in upselling us to s and x away from 3.

    So it actually is needed to keep the ramp up suppressed to stay under 200k with a margin of a few weeks like Troy shows.....Jan 20 is cutting it pretty close
     
  16. mrtian97

    mrtian97 Member

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    I think this is reasonable projection, and I think sales for Model S will slow down a bit (I don't think sales of MX is impacted). Some people will wait for their M3 now instead jump to MS
     
  17. ofsvegas

    ofsvegas New Member

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    My wife and I both have day 1 M3 reservations and our tax liability is $11,600 meaning we wouldn't be able to claim the full $15,000 rebate.

    Our hope is to have 1 claimed in December and 1 in January to be able to claim $7,500 over each of the next 2 years.

    Does the tax rebate apply at the time you pay for the vehicle or upon delivery?
     
  18. mrtian97

    mrtian97 Member

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    I think upon delivery
     
  19. MP3Mike

    MP3Mike Active Member

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    I think it applies upon registration. But the expiration of the credit applies based on deliveries. (Which are probably the same, or at least very similar.)
     
  20. Thomas Edison

    Thomas Edison Member

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    My question is, how long after they hit the 200,000 US sales will we know to try and plan accordingly?
     

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