Finance under business

[N33raj94M3]

Im ordered a Model x LR.

I know under your personal name the cap for msrp is $80k.

Is that the same if you finance it through your business company? Or is there no cap? Theres a Model x in stock locally for $81000

 

[ewoodrick]

Are you talking about tax credit?

Insurance may be much more expensive if it is in the name of a company.

 

[N33raj94M3]

Are you talking about tax credit?

Insurance may be much more expensive if it is in the name of a company.

Yes the $7500 tax credit. Is it the same msrp cap of $80,000 for the tax credit.

Or can it be more

 

[cgell]

Yes the $7500 tax credit. Is it the same msrp cap of $80,000 for the tax credit.

Or can it be more

The cap is $80k for SUVs, no exceptions. $7,500 max. There is a different tax credit for commercial vehicles that goes up to $40k, but SUVs don't even come close to meeting the requirements.

 

[Madmacs]

Are you sure about that? I’m looking at the IRS website and it states “The maximum credit is $7,500 for qualified vehicles with gross vehicle weight ratings (GVWRs) of under 14,000 pounds and $40,000 for all other vehicles.”

There’s no limit on cost, just on the credit.

I’m citing this page:

Commercial Clean Vehicle Credit | Internal Revenue Service

Businesses and tax-exempt organizations that buy electric vehicles and mobile machinery may qualify for clean vehicle tax credits up to $40,000.

www.irs.gov

 

[cgell]

You're looking

Are you sure about that? I’m looking at the IRS website and it states “The maximum credit is $7,500 for qualified vehicles with gross vehicle weight ratings (GVWRs) of under 14,000 pounds and $40,000 for all other vehicles.”

There’s no limit on cost, just on the credit.

I’m citing this page:

Commercial Clean Vehicle Credit | Internal Revenue Service

Businesses and tax-exempt organizations that buy electric vehicles and mobile machinery may qualify for clean vehicle tax credits up to $40,000.

www.irs.gov

Looks like you're right. Maybe it really can get the $7,500 for commercial use.

 

[ewoodrick]

Are you sure about that? I’m looking at the IRS website and it states “The maximum credit is $7,500 for qualified vehicles with gross vehicle weight ratings (GVWRs) of under 14,000 pounds and $40,000 for all other vehicles.”

There’s no limit on cost, just on the credit.

I’m citing this page:

Commercial Clean Vehicle Credit | Internal Revenue Service

Businesses and tax-exempt organizations that buy electric vehicles and mobile machinery may qualify for clean vehicle tax credits up to $40,000.

www.irs.gov

Doesn't "all other vehicles" then indicate over 14,000 pounds?

For which it would take 3 Model Xs to be?

 

[DrSmile]

Are you talking about tax credit?

Insurance may be much more expensive if it is in the name of a company.

This. I looked into buying a Model X through my company to qualify for the credit, but $7500 worth of savings translate to less than a year of commercial insurance. Back to the drawing board...

 

[Unclepaul]

If you own a profitable small business, you can purchase a base Model X and get the instant $7,500 Federal Tax credit. Also qualify for any available Utility or State incentives.
You can also use Section 179 (SUV Loop Hole) plus accelerated depreciation allowance to write off the entire purchase price the first year.
Does not matter if you purchase in the company or personally.
My accountant had me buying a new X every two years. The tax and benefits more than offset the depreciation, fees etc. Add in lower fuel and maintenance costs and it became a financial no brainer.
Was less net expensive for me to buy a Model X than a Model 3.

 

[Jayskywalker21]

If you own a profitable small business, you can purchase a base Model X and get the instant $7,500 Federal Tax credit. Also qualify for any available Utility or State incentives.
You can also use Section 179 (SUV Loop Hole) plus accelerated depreciation allowance to write off the entire purchase price the first year.
Does not matter if you purchase in the company or personally.
My accountant had me buying a new X every two years. The tax and benefits more than offset the depreciation, fees etc. Add in lower fuel and maintenance costs and it became a financial no brainer.
Was less net expensive for me to buy a Model X than a Model 3.

Yes to all this make sure you have a "good" accountant who helps you with all this

 

[Madmacs]

I just went through this with Tesla and be prepared to provide more documentation than normal.

 

[Mdubz]

I only had to provide articles of incorporation and proof of ownership stake.

 

[momo3605]

If you own a profitable small business, you can purchase a base Model X and get the instant $7,500 Federal Tax credit. Also qualify for any available Utility or State incentives.
You can also use Section 179 (SUV Loop Hole) plus accelerated depreciation allowance to write off the entire purchase price the first year.
Does not matter if you purchase in the company or personally.
My accountant had me buying a new X every two years. The tax and benefits more than offset the depreciation, fees etc. Add in lower fuel and maintenance costs and it became a financial no brainer.
Was less net expensive for me to buy a Model X than a Model 3.

If the business tax credit doesn't have an msrp limit (like stated above), can you get a plaid with the $7500 as well?

 

[Madmacs]

I only had to provide articles of incorporation and proof of ownership stake.

I had to provide articles of incorporation and 2 bills addressed to my corporation at the address. This was hard because my corporation address is not our main office which….gets all of our mail. But this was Indiana requiring it.

 

[Madmacs]

If the business tax credit doesn't have an msrp limit (like stated above), can you get a plaid with the $7500 as well?

Yes.

 

[Jayskywalker21]

Yes.

Wait wait wait are you 100% sure because $7500 off a brand new plaid would be amazing actually

 

[Madmacs]

Wait wait wait are you 100% sure because $7500 off a brand new plaid would be amazing actually

Read this: Commercial Clean Vehicle Credit | Internal Revenue Service. I just bought a Plaid myself.

 

[momo3605]

Read this: Commercial Clean Vehicle Credit | Internal Revenue Service. I just bought a Plaid myself.

Do you get the rebate upfront like for personal, or is it the old tax credit type of rebate

 

[Jayskywalker21]

Do you get the rebate upfront like for personal, or is it the old tax credit type of rebate

Good follow up question I would assume it's gotta be end of year but lets let him tell us

 

[Madmacs]

Do you get the rebate upfront like for personal, or is it the old tax credit type of rebate

EOY when you file your taxes is what my accountant told me. There’s a form to submit.