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Tax Credit only in first year of ownership?

Discussion in 'Model S: Ordering, Production, Delivery' started by toby_wan_kenoby, Jul 21, 2013.

  1. toby_wan_kenoby

    Jul 20, 2013
    New York
    Hi all,

    would I have to take the tax credit in the first year of ownership or would one be free to take it in any year while owning the car?

    In my case I would be buying the car in Colorado register it there and pay the sales tax (2.9% where we own a home). Then export the car to Europe for a few years while we live there and then claim the tax credit when we move back to the US full time and have a tax liability in the US.

    Thanks for your help
  2. ChadS

    ChadS Petroleum is for sissies

    Jul 16, 2009
    Sorry, but for the US federal $7,500 tax credit, you are required to take it the year you get the car. If there was a way to put it off and take it later, I would have done that - I didn't get the credit last year for my Model S.

    Also note that the credit is intended for cars to be used in the US. I know you said you plan to bring the car back to the US eventually, but if you are planning to take it to Europe, the IRS may or may not have an issue with that - I don't think the law is clear. I'd talk to a tax pro before trying it.

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