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Tesla EV Tax Credits coming back?

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Recognizing this is only a proposal but deserves more credit than the other prior proposals because it made it out of committee, I would assume that the removal of the cap would only qualify Teslas for the $7500 Tax Credit if the buyer took delivery after May 24th, not prior to May 24th.

"The elimination of the per-manufacturer-cap is effective for vehicles sold after May 24, 2021" Is the exact wording in the proposal. However, on May 26th the committee already modified this with the following statement:
"The changes to credit amounts are effective for vehicles acquired after December 31, 2021."

The way I read this is the Proposal eliminates all Tax Credits for buyers of Tesla cars in the year 2021. So if this is passed it would only affect buyers of Tesla cars in 2022, not 2021.


It essentially is a plan that has no value to current Tesla buyers at all. Of course, I repeat, It's only a proposal and still needs to pass Senate vote which it probably will, and then has to go to the House for it's review and modifications. Adding the bit about showing favoritism to special auto workers and not others is a favorite theme of the President so that alone will get him to sign it. I actually would be surprised if the USSC would allow such language in a law that gives tax benefits to people who are a member of a favored organization of the Democrats. It violates equal protection.

So how does this benefit those of us who are buying a Tesla this year? Not much but I can see those who also invested in Tesla stock will likely do much much better than the little $10,000 tax credit. I continue to buy the stock and it is better than the car. If the House makes a change and changes the target effective date to Jan 1, 2021 then so much the better. I still think the President will sign it.
Where can I find the proposal to read?
 
Can you order and request delay until the bill pass?

I ordered Model X, but 100k vs 40k is no brainer so I will switch once the $10k rebate is effective.
Same question.

1. how long can I keep delaying my order, I'm about to place one, and I plan on delaying as possible hoping the tax credit bill passes)?
2. What happens while you wait for your car or while you delay, if the price goes down but the car is not yet ready or you're delaying, I assume you can't lock in that price, correct? Does the new, obviously lower price, only get locked in if it is actually lower than the order price WHEN you go to take delivery?
 
Can you order and request delay until the bill pass?

I ordered Model X, but 100k vs 40k is no brainer so I will switch once the $10k rebate is effective.
The bill proposed is only for EVs less than $80,000. The base MX is $89,990 and will not qualify. There isn't even a purchase price phase out, so it qualifies for $0.

You can 100% delay order for 90 days. If you email [email protected] then they may work with you depending on your situation.
 
Same question.

1. how long can I keep delaying my order, I'm about to place one, and I plan on delaying as possible hoping the tax credit bill passes)?
2. What happens while you wait for your car or while you delay, if the price goes down but the car is not yet ready or you're delaying, I assume you can't lock in that price, correct? Does the new, obviously lower price, only get locked in if it is actually lower than the order price WHEN you go to take delivery?
1. 100% can delay 90 days. If you email [email protected] then they may work with you depending on your situation. The bill proposed is only for EVs less than $80,000. Also as written Teslas under $80,000 purchased after May 24, 2021 will retroactively qualify for a $7,500 non-refundable tax credit.

2. If the price goes down, you need to actively ask either your SA or [email protected] to adjust your order due to the price decrease and they will honor it. No, anytime before delivery if the price goes down and you ask to adjust your order, then they will honor it. And it doesn't matter how long your order has been on hold. There are some people who have had orders on hold for over a year and they have reduced their price. However, you get the current prices for all added options so keep that in mind. If wheels or FSD goes up, make sure you take that into account for base price going down. In addition, if you change the color or any options except adding FSD, then you change your order to all current prices.

Tesla is getting more strict with their hold policy. It used to be officially in the terms and agreements as 6 months, but people were getting 1-2+ years on holds. Now it is officially 90 days, but people are still getting hold longer than that, not sure what they actually max "allow".
 
1. 100% can delay 90 days. If you email [email protected] then they may work with you depending on your situation. The bill proposed is only for EVs less than $80,000. Also as written Teslas under $80,000 purchased after May 24, 2021 will retroactively qualify for a $7,500 non-refundable tax credit.

2. If the price goes down, you need to actively ask either your SA or [email protected] to adjust your order due to the price decrease and they will honor it. No, anytime before delivery if the price goes down and you ask to adjust your order, then they will honor it. And it doesn't matter how long your order has been on hold. There are some people who have had orders on hold for over a year and they have reduced their price. However, you get the current prices for all added options so keep that in mind. If wheels or FSD goes up, make sure you take that into account for base price going down. In addition, if you change the color or any options except adding FSD, then you change your order to all current prices.

Tesla is getting more strict with their hold policy. It used to be officially in the terms and agreements as 6 months, but people were getting 1-2+ years on holds. Now it is officially 90 days, but people are still getting hold longer than that, not sure what they actually max "allow".
Thank you! Exactly the info I was looking for. I’m new here and for that reason I don’t think I can “like” a post yet.
Looking at M3 or MY LR, no FSD. Have frankly been waiting for the tax Bill for some months, don’t really need a new car, ok with current car, but also due for a new car upgrade. Was going to keep waiting on the tax Bill, but these price hikes are kind of defeating the purpose. So I think we’ll order one this weekend, and then plan on delaying as long as possible until the bill (hopefully) gets passed.

Any other trips or tips for ordering? Is it better to go through a SA at our local Tesla “dealership” or just order online? We have friends that recently bought so was going to use their referral. Anything else I should know. Thanks again!
 
Thank you! Exactly the info I was looking for. I’m new here and for that reason I don’t think I can “like” a post yet.
Looking at M3 or MY LR, no FSD. Have frankly been waiting for the tax Bill for some months, don’t really need a new car, ok with current car, but also due for a new car upgrade. Was going to keep waiting on the tax Bill, but these price hikes are kind of defeating the purpose. So I think we’ll order one this weekend, and then plan on delaying as long as possible until the bill (hopefully) gets passed.

Any other trips or tips for ordering? Is it better to go through a SA at our local Tesla “dealership” or just order online? We have friends that recently bought so was going to use their referral. Anything else I should know. Thanks again!
I scheduled a test drive which assigned an SA to me. The ordering process is 100% online. If you go to a showroom or service center they will either direct you to your phone or a computer/tablet they have on site. Only tip I can give is order by this Wednesday night. There have been $500 price increases every 2 Thursdays and this week upcoming another one is "due".
 
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I scheduled a test drive which assigned an SA to me. The ordering process is 100% online. If you go to a showroom or service center they will either direct you to your phone or a computer/tablet they have on site. Only tip I can give is order by this Wednesday night. There have been $500 price increases every 2 Thursdays and this week upcoming another one is "due".
Thanks. Will do. These price increases as freaking BS! We were ready to buy the car 4-6 months ago for the then price, but only waited for the tax rebate. Any thoughts on whether we should expect these prices to come down? I know that no one knows, but are there any thoughts in the community?
 
I wish people would take a class on how to do a Google search.

The wording is somewhat ambiguous and today many are applying their own interpretation. I rest on the fact that this is not law and will likely be modified before it is law. So meanwhile everyone has to decide if their incentive is to own a Tesla or get a tax credit, maybe. If you wait long enough you will probably get more Tesla for your money as they keep improving but they also keep raising prices.

Tax credit or not, I added the FSD package yesterday before it goes up to $15,050 (includes my sales tax) I paid $10,675.
 
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Thanks. Will do. These price increases as freaking BS! We were ready to buy the car 4-6 months ago for the then price, but only waited for the tax rebate. Any thoughts on whether we should expect these prices to come down? I know that no one knows, but are there any thoughts in the community?
They had a price decrease earlier in the year. They may have one near the end of a quarter to incentivize people to order if they anticipate having inventory. However, right now demand is outstripping supply. It is definitely possible another temporary decrease happens again this year.
 
Thanks. Will do. These price increases as freaking BS! We were ready to buy the car 4-6 months ago for the then price, but only waited for the tax rebate. Any thoughts on whether we should expect these prices to come down? I know that no one knows, but are there any thoughts in the community?
Tesla is raising their prices because of basic economics- Law of supply and demand. They have far more demand for their Teslas than they can make. So they raise prices. The tax credit will only increase demand. Michael Eisner, former CEO at Disney said it best. We will keep raising our prices 10% until attendance falls off by 10%.

People should stop depending on the government to save them. If you need the government to help pay for a Tesla then you shouldn't be buying a Tesla. There are plenty of good reasons to buy a Tesla if you can afford one, but FOMO is a fools errand.
 
People should stop depending on the government to save them. If you need the government to help pay for a Tesla then you shouldn't be buying a Tesla. There are plenty of good reasons to buy a Tesla if you can afford one, but FOMO is a fools errand.
There's a different between "need[ing] the government to help pay for a Tesla" and taking advantage of current and pending offers including tax credits and tax planning.
I don't disagree with you on the supply vs demand, and I am well aware of what's happening in the automotive market overall.
 
I delayed my decision to buy the MY for two reasons. Neither was me depending on the Government's shallow promises. I know the tax game and have many ways that are law to avoid taxes. I delayed my M Y purchase for stuff that pertained to the car I wanted.
1. The new console design
2. The track record of panel gap quality control. Waiting as I did got me the car I wanted before the price increases save for one.

If the government comes through, then that is a bonus and I will probably spend it on more Tesla stock. :) But I don't bank on them keeping any promises and won't be holding my breath.
 
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I wish people would take a class on how to do a Google search.

The wording is somewhat ambiguous and today many are applying their own interpretation. I rest on the fact that this is not law and will likely be modified before it is law. So meanwhile everyone has to decide if their incentive is to own a Tesla or get a tax credit, maybe. If you wait long enough you will probably get more Tesla for your money as they keep improving but they also keep raising prices.

Tax credit or not, I added the FSD package yesterday before it goes up to $15,050 (includes my sales tax) I paid $10,675.
Thanks for the video link! I didn't realize the bill is broken into 1st 5 years and 2nd 5 years (it is clarified at 2:40:30). In the 2nd 5 years if an EV is not assembled in the US, then it does not qualify for any tax credit at all. This does not impact Tesla directly, but it will keep American made more competitive with foreign manufacturers.
 
I am not sure if much weightage can be given to the current proposal from the Dems, Republican's are offering $4B out of $174B Dems were looking for.

  • The Senate Republican infrastructure counteroffer includes just $4 billion dedicated to electric vehicles, far below President Joe Biden’s proposal.
  • Biden wants to spend $174 billion on initiatives including installing charging stations and providing tax incentives for EV buyers.
 
Thanks for the video link! I didn't realize the bill is broken into 1st 5 years and 2nd 5 years (it is clarified at 2:40:30). In the 2nd 5 years if an EV is not assembled in the US, then it does not qualify for any tax credit at all. This does not impact Tesla directly, but it will keep American made more competitive with foreign manufacturers.
I hadn't watched the video of the session, just read the pertinent parts of the PDF files in the links. I watched some of the proceedings this morning and found some of it rather humorous. Like the question from Sen Langford who asked if Union workers make EV's with lower carbon footprint than non-union workers, or why is there a $2500 bonus for union workers? I was thinking maybe I should ask my senators to propose a $2500 bonus for NRA members. :)