Is the Louisiana tax rebate incentive not capped at $1,500?

[Lsutiger]

Hi All.

I've had a Model 3 reservation for over a year now and was contemplating just pulling the trigger on a Model S. I know I will qualify for the Federal $7,500 rebate however I'm not clear on what the Louisiana rebate is. Did it just recently drop to a maximum of $1,500? I know previously it was much higher.

Thanks.

 

[xyeahtony]

I qualify for about $6900 for a Model S 60. Its based off the cost of turning the car into an alternative fuel (or the flat rate $1500 cap). They calculate it some whacky way and Tesla will provide you with the necessary information. If you order a model S your owner advisor will give you all that info.

What i'm unclear is if the tax credit is like the federal ones where it simply reduces your tax bill and if it exceeds your taxes due you lose it. (i definitely am not paying $6900 in state income taxes for 2017) but i guess my accountant will find out next year.

 

[Hojo]

I qualify for about $6900 for a Model S 60. Its based off the cost of turning the car into an alternative fuel (or the flat rate $1500 cap). They calculate it some whacky way and Tesla will provide you with the necessary information. If you order a model S your owner advisor will give you all that info.

What i'm unclear is if the tax credit is like the federal ones where it simply reduces your tax bill and if it exceeds your taxes due you lose it. (i definitely am not paying $6900 in state income taxes for 2017) but i guess my accountant will find out next year.

Actually, the Louisiana credit is much better than the Federal credit. Louisiana treats the credit as a "payment", so if your Louisiana tax liability is less than the credit ($6900 in your case) Louisiana will send you a refund check for the difference.

 

[Hojo]

A word of caution however. The legislature is in session and there are a few bills which seek to alter the "alternative fuel" credit. You may want to keep a eye on developments to see if anything changes for 2017 tax year.

 

[xyeahtony]

Actually, the Louisiana credit is much better than the Federal credit. Louisiana treats the credit as a "payment", so if your Louisiana tax liability is less than the credit ($6900 in your case) Louisiana will send you a refund check for the difference.

best news i've heard all year. I remember seeing something like $6900 for a S60 but $8000 for a S75. I originally bought a 60 but upgraded to a 75 so idk im gonna try and get the 75 credit

 

[Hojo]

best news i've heard all year. I remember seeing something like $6900 for a S60 but $8000 for a S75. I originally bought a 60 but upgraded to a 75 so idk im gonna try and get the 75 credit

$8640 credit for a 2016 Model S 75

 

[xyeahtony]

$8640 credit for a 2016 Model S 75

oh snap thats right, i was looking at the 70 whoops lol. Even better, that basically nearly pays for the 60 -> 75 upgrade i did

 

[Lsutiger]

So I'm confused. Is it caped at $1,500 now or not?

 

[xyeahtony]

So I'm confused. Is it caped at $1,500 now or not?

its capped at $1500 if you do not calculate the cost of conversion to alternative fuel. Tesla has calculated this cost for you and will provide you with the information you need when you take delivery of the car.

As stated above, its a $8640 for a Model S 75.

 

[Lsutiger]

its capped at $1500 if you do not calculate the cost of conversion to alternative fuel. Tesla has calculated this cost for you and will provide you with the information you need when you take delivery of the car.

As stated above, its a $8640 for a Model S 75.

Thanks. That makes my decision tough. Get ($8640+$7,500) in tax rebates now on an S or wait for a 3 and take a change on getting much less.

 

[xyeahtony]

Thanks. That makes my decision tough. Get ($8640+$7,500) in tax rebates now on an S or wait for a 3 and take a change on getting much less.

Yeah the tax incentives will most likely be gone come late 2018/2019. I dont think the louisiana ones will last because this state is broke and they'll vanish as quickly as those solar ones did. And Tesla is for sure going to hit 200,000 cars sold in 2018 and the federal one will phase out then as well.

I chose an S vs an 3 because i wanted a bigger car and liked having a driver dashboard. Wasn't a fan of the one-screen option model 3.

 

[Darmie]

A word of caution however. The legislature is in session and there are a few bills which seek to alter the "alternative fuel" credit. You may want to keep a eye on developments to see if anything changes for 2017 tax year.

Have there been any update for 2017 that anyone is aware of?