Once the 200,000 vehicle limit is reached, the computation changes to time periods. All that matters is when you receive delivery of your car. As an example, if the 200,000th car is sold on 1/15/18, the full credit is allowable up to 6/30/18. During that 5 1/2 month period, it doesn't matter if Tesla sells 1,000 cars or 1,000,000 cars; they would all receive full credit.
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Tax Credit Clarification
- Thread starter SmarterMotors
- Start date
Once the 200,000 vehicle limit is reached, the computation changes to time periods. All that matters is when you receive delivery of your car. As an example, if the 200,000th car is sold on 1/15/18, the full credit is allowable up to 6/30/18. During that 5 1/2 month period, it doesn't matter if Tesla sells 1,000 cars or 1,000,000 cars; they would all receive full credit.
model3fan
Member
Created this post with help of prior TMC posts (thanks especially to @dhanson865)
Incentives
Does anyone know how many US sales there have been in March?
Incentives
Does anyone know how many US sales there have been in March?
There are no caps or limits. It is as many as Tesla can deliver during that time period
.More importantly, you can keep the heat on and go to sleep without risking your life or spending a fortune like you would in a gas car. If you're going to live in a car, a Tesla is absolutely the best car to live in. Talk someone into letting you plug into their outdoor outlet, even at trickle-charging levels, and you have safe heat.
I was actually discussing this hypothetical with someone a few years ago. I think once there are enough old used plug-in cars on the market (which will probably take more than 10 years) this will actually start being a thing.
True that. You can probably just plug at a local supercharger and sleep there through the night. Free heat and power. Stick a power plug adapter into the cigarette lighter and power your devices. There is no carbon monoxide so you don't have to worry about dying from poisoning. Also the car looks pretty sexy so people won't think your homeless and kick you off the premises.
You could totally save big $$$ living in the tesla. Rent free, no power bill.
There are people who camp in EVs. Back in the early days, Teslas used to "camp" at RV parks to do cross country trips. Several people who have Volts sleep in them when they travel. An RV park and an electric spot is cheaper than a hotel. And warmer than a tent.
You should check your state laws - here in CA you can transfer cars between family members with little hassle.
At the end of the day, an internet car forum is not where you should be getting tax advice. I'd suggest finding a tax advisor in the next year or so who can look at your particular situation and offer advice on how to maximize the tax credit.
I'd suggest finding a tax advisor in the next year or so who can look at your particular situation and offer advice on how to maximize the tax credit.
Darryl
ModelXTracker.com Co-Adm
There is no $250k income limit on the tax credit. On the other hand it is exactly the opposite. If you don't generate after decductions enough income to generate at least $7500 in tax liability then you may get none or only a part of the credit. Whether you earn enough or not it still goes against the 200k car limit.
I too feel the 200k limit will be consumed with Model S and Model X as I doubt that any model 3 will be delivered before mid-2018. This would mean may be one to two quarters of Model 3's will get the reduced credit and it would be limited to the fully loaded cars ($75k+). Also Tesla in the past has had to limit production over the first few months to minimum number of cars. For example they started X production in September and by January they were still only producing around 200 cars per month. They then had to shut production down for six seeks to resolve production line issue. It wasn't until March they were able to produce around 1500 cars. This mean there was a six month ramp up. If it rakes this long to ramp up the Model 3 very few Model 3 owners will be eligible. They will be lucky to produce $50k -100k cars in the first six months and many of them may be going to other countries in this region. (Like Canada)
SageBrush
REJECT Fascism
I'll add a couple other societal benefits from your purchase:
- Your Tesla purchase is keeping money in the US. I have read that a newly printed dollar goes through 9 iterations of sales tax on average during its lifetime.
- Your Tesla purchase is keeping manufacturing in the US. Ask CA and NV if they appreciate the Fremont and Giga factories.
- You are purchasing electricity (in one form or another) that is mostly or entirely a domestic product, which is a triple benefit: money stays in the US; money does not flow to OPEC; and downward pressure on OPEC prices.
Oh, and one other point: this entire notion of paying taxes is part of being a good citizen is not quite as clear cut as we often think. I increasingly view taxation as a redistribution of wealth mechanism with a lot of corruption, inefficiency, and friction built-in. Personally, I'm fine with redistribution, but not so much with the other baggage that government carries.
I think a better question than 'do you pay taxes' is 'what do you do with your money?'
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Scannerman
Member
I am completely new to this forum, and to a large degree, new to all forums. And if my question has already been addressed, please assist me in finding that info.
My question is: How will sequencing for the Federal Rebate be determined? Will it be the time stamp on the reservation, (adjusted for one's local time zone, and employee/owner status), or the time the order is signed, the time the financing is finalized, or the time the vehicle is delivered.
Regarding income requirements, it appears some of you are overlooking the option of leasing, in which case the rebate flows directly to Tesla. And your lease rates should be adjusted accordingly. At least that is the case with Ford Motor Co sale of PHEV's. I know this from first hand experience.
Scannernan
SageBrush
REJECT Fascism
A minor point - I don't think there's ever been a cigarette lighter in a Tesla, but there are USB ports you can draw power from.
It doesn't fundamentally change your point though.
Delivered. The date that is relevant to the IRS form is the vehicles in-service date.
Its going to be a wild ride for those counting on the tax credit. you most likely will have to choose your options and confirm the car without a good status as to what level tax credit you will get if we are close to the phase out period when that happens. I recommend not making any critical financial decisions based on getting the full $7500. treat it like a bonus discount if you get it.
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AZ Desert Driver
Rare combination
More benefits of electric:
Catalytic converters can start grass fires.
Platinum in cat-converters is a theft target (cost me and my insurance co $4,500 two years ago + inconvenience factor).
Will resale of EV depreciate as fast as ICE? fear timing belt vs replacement battery.
Modern car (electronic upgrades) vs worn out ICE?
Are you drowning polar bears with your exhaust? (climate change)
My "Conductor" avatar is a chin strap penguin. Saw lots of melting 'bergs in Antartica.
Catalytic converters can start grass fires.
Platinum in cat-converters is a theft target (cost me and my insurance co $4,500 two years ago + inconvenience factor).
Will resale of EV depreciate as fast as ICE? fear timing belt vs replacement battery.
Modern car (electronic upgrades) vs worn out ICE?
Are you drowning polar bears with your exhaust? (climate change)
My "Conductor" avatar is a chin strap penguin. Saw lots of melting 'bergs in Antartica.
James Anders
Member
Clearly this artificially imposed limit of 200K will have to be extended. Not to do so would be a tacit admission that climate change is no big deal. I really can't see this happening at this crucial time in EV adoption - and when affordable EVs will be sold to the masses.
I've said this in other places, but I strongly prefer replacing the existing credit with a more robust incentive program in lieu of extending the existing program. Obviously, if the choices are nothing or extending it, I'm in favor of extending it. But I really feel like it could be much more effectively structured as a rebate program instead of a credit, despite the fact that the public optics favor credits.
Just so you know Tesla doesn't finance or lease vehicles. They do have partners that do that for them. However, as been covered elsewhere in this thread, the current Tesla leasing partner, for the Model S/X, keeps the tax credit for themselves while increasing the residual value. So it reduces your monthly payment but makes the buyout at the end too expensive. (i.e. If you buy it at the end you get none of the tax credit.)
Of course that could change with the Model 3, but I doubt it.
dgpcolorado
high altitude member
While it is true that my car didn't come with a cigarette lighter insert, it does have the circular 12 V port — located just below the USB ports — that was originally designed for cigarette lighters... I keep a little flashlight insert in mine when I'm not using it for something else. I'd be pretty surprised if your S didn't have one also, but perhaps they eliminated it in later cars.A minor point - I don't think there's ever been a cigarette lighter in a Tesla, but there are USB ports you can draw power from.
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