Purchasing a Model 3, and need some quick advice!

[Polar993]

Hey Everyone,

I am a current Model X owner, and I am helping my mom purchase a Model 3 (non-performance, all-wheel-drive, premium). We ordered the Model 3 about two weeks ago, hoping it would arrive before the end of the year to take full advantage of the Federal Tax Credit of $7,500. To our surprise, we received a text message from Tesla in Fremont indicating that our car is ready for pickup! Someone with the same car specification must have backed out of their deal and we were given their allocation.

As everyone on here knows, Tesla has been pushing hard to deliver as many Model 3s as possible before the close of Q3. Our salesman told us that if we cannot take delivery of the car by this Sunday, it's likely they will give up our allocation and give it to someone else who can take delivery by the end of the month. Quite a bit of pressure, but I get it.

My mom lives in CT, and she works for my business which operates out of NJ. We are thinking about registering the car in NJ with the business address to save in sales tax. Currently the is no sales tax on EVs in NJ! The sales tax rate in CT is 7.75%. My mom's Model 3 build comes to $63,500. If we were to register in CT, we would pay $4,921 in sales tax, but we would be eligible to apply for the CHEAPR tax credit.

DEEP: CHEAPR - Home

It looks like there is still over $1.2M remaining to be distributed to applicants. The Model 3, dual motor, non-performance, is eligible.

1st question....Should we register in CT, pay the sales tax, but get the $3,000 CHEAPR credit? We would be paying about $1921 more, but my mom could register the car in CT where she lives, and not drive around town with NJ plates.

2nd question...If we were to register in NJ and save the sales tax, can the car registration be transferred to CT at a later date? Would we need to pay CT sales tax when doing that if the ownership never changes?

3rd question....Regarding financing, if we went with Tesla financing, have they been honoring their rate match to credit unions? What is the process for this? I have a credit union to work with in CT, but I don't have one in NJ....any recommendations for a NJ credit union who provides good rates?

Thank you for any advice you can provide. Time is of the essence at this point, with delivery scheduled on Sunday morning!

-Tom

 

[Polar993]

Bump.

Really could use your help guys!

 

[Drax]

Register the car in CT. The taxes you’ll pay can be deducted, and your moms car will look local. You can also get that extra tax credit.

Hope that helps!

 

[DannyHamilton]

This question has more to do with taxes and financial decisions than the Model 3. You'll probably get a better answer by talking to an accountant that is familiar with all the local laws as well as being familiar with your mothers personal finances (as deductions and credits often depend on the specifics of an individual's situation). You may get lucky here and just happen to stumble upon another Model 3 owner that also happens to live in CT and also happens to have a business in NJ that also happens to have already talked to their own accountant about it... But seriously, the odds are pretty low.

Good luck with your decision!

 

[Polar993]

This question has more to do with taxes and financial decisions than the Model 3. You'll probably get a better answer by talking to an accountant that is familiar with all the local laws as well as being familiar with your mothers personal finances (as deductions and credits often depend on the specifics of an individual's situation). You may get lucky here and just happen to stumble upon another Model 3 owner that also happens to live in CT and also happens to have a business in NJ that also happens to have already talked to their own accountant about it... But seriously, the odds are pretty low.

Good luck with your decision!

Thanks Danny!

 

[ebmcs03]

For $1900 just do it right.

If you get pulled over there’s only so many times you can say I just moved here. You’re technically suppose to get a in state plate 60 days after moving.

You’re using CT roads and they need the tax to up keep.

Honestly. I see a lot of out of state cars here in CA. There’s actually a place to report them to the CHP and they will make them register their car to CA. Not sure if it’s a warning or fine depending how long the cars been running out of state plates.

My officemate got in an accident. She had trouble squaring things away because she moved here from Atlanta and didn’t want to pay the higher CA registration fees. Just continued to use her parents address in GA. Guess what, after her whole ordeal was over. She now has CA plates.