Is my understanding correct?: The Senate passed an "Infrastructure" bill already which includes EV credits back-dated to May 2021 purchases. Therefore, the House could pass that today but are refusing to do so until a "Reconciliation" bill is passed alongside?
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Tesla EV Tax Credits coming back?
- Thread starter hnguy054
- Start date
Yup, I've been getting a sense of sour grapes with some posters on the forums. Like you said, this has been widely discussed for a long time now and some of us were able to fight our urge for instant gratification and were fortunate enough to not need a vehicle right away and locked in prices from April - June timeframes and have been biding our time since. Given how much prices have risen, I don't even think people should feel all that bitter about any of this unless they ordered recently and took delivery in 2021... which if you chose to do with all this talk of potential for tax credits, it seems like it was an informed decision.
Tax credits are still super uncertain given how things are going so I don't know if it is even worth getting bothered about at the moment.
This is concerning. I'm with the same SC and completed my profile a couple of weeks back feeling secure in my actual delivery not happening till Jan. Current EDD is Feb 22 - Mar 22, but you aren't the first person who has posted on the forums about a drastic change in EDD with car being made available right away. I was hoping to time this with the potential for credits early next year but I'm going to be between a rock and a hard place if they force my hand prior to 2022 as my current purchase price is $6K below current prices.
Fluffhead
Member
MY white, white, Gemini, 5 seater, tow hitch, no FSD on 8/29. $3k increase since then
t.e.s.l.a_dude
Member
The bill the Senate passed was just authorization for a reconciliation bill to move forward. There were amendments passed, but none of the amendments are binding. The House version that hopefully gets passed (the actual reconciliation bill) should make up the bulk of the language for the final tax credit. Though the Senate could amend their version and make changes to whatever the House passes.
Basically, nothing is set in stone right now and everything is written in wet sand. And high tide is coming.
Thank you...makes sense.The bill the Senate passed was just authorization for a reconciliation bill to move forward. There were amendments passed, but none of the amendments are binding. The House version that hopefully gets passed (the actual reconciliation bill) should make up the bulk of the language for the final tax credit. Though the Senate could amend their version and make changes to whatever the House passes.
Basically, nothing is set in stone right now and everything is written in wet sand. And high tide is coming.
thinktwice
Member
Oh crap, I hope I'm not next. I've been stuck on a Jan 21 - Feb 18 EDD for a while now and that would work out perfectly for me. I now don't want to miss out on the tax credit and there are lots of us in the same boat. This is why making it retroactive would've made sense, now no one wants to buy a new ev until 2022!
For those of you who delayed to 1/1/22, was that before or after you were assigned a VIN? If it was before, do you know if you will be at the end of the line once your hold is lifted on 1/1/22, meaning you will likely get your car in June+? I'm guessing maybe before they were willing to delay till 1/1/22 even if you were assigned a VIN but this threat to take delivery or they cancel your order is new because too many people were opting to delay.
We had an EDD of mar-apr 2022. Our account now says prepare for delivery and EDD as TBD. I'm guessing we are going to be assigned a VIN at any moment.
TSLY
Member
thinktwice
Member
I think all of us who ordered before the most recent price hike will get screwed. If my order gets canceled because I decline to take delivery this year I'm going to be pissed. I placed my order with the expectation that I'd be taking delivery next March.
If pressed to cancel, is it better to re-order for an added $2250-3250 in new order fees and price hikes, for the CHANCE that the $8000 credit will not be retroactive and of course actually passes. Basically paying an extra $3250 for the chance to save $4750. Then there's also the benefit of a 2022 VIN (higher resale value?), and the possibility of getting an Austin build.
Damn that fine print in the order agreement....
"Order Process; Cancellation; Changes: After you submit your completed order, we will begin the process of preparing and coordinating your Vehicle delivery. At this point, you agree that any paid Order Fee, Order Deposit and Transportation fee have been earned. If you cancel your order or breach this Agreement and we cancel your order, you agree that we may retain as liquidated damages the Order Fee, Order Deposit and Transportation Fee, to the extent not otherwise prohibited by law. You acknowledge that the Order Fee, Order Deposit and Transportation Fee are a fair and reasonable estimate of the actual damages we have incurred or may incur in transporting, remarketing, and reselling the Vehicle, costs which are otherwise impracticable or extremely difficult to determine. If you make changes to your order, you may be subject to potential price increases for any pricing adjustments made since your original Order Date. Any changes made by you to your Vehicle Configuration, including changes to the delivery location or estimated delivery date, will be reflected in a subsequent Vehicle Configuration that will form part of this Agreement. The Order Fee, Order Deposit, Transportation Fee and this Agreement are not made or entered into in anticipation of or pending any conditional sale contract."
"The estimated delivery date of your Vehicle, if provided, is only an estimate as we do not guarantee when your Vehicle will actually be delivered. Your actual delivery date is dependent on many factors, including your Vehicle’s configuration and manufacturing availability. "
IANAL, but my understanding is once you hit order, you entered into a contract. If you decline to take delivery of the vehicle, you've basically terminated the agreement, and are subject to the terms and conditions of the contract you entered into. The fact that Tesla is willing to allow the pause button is one thing, and somewhat generous of them, since technically they don't need to allow a pause and still honor any of the terms and conditions of the original purchase. But if you've gotten a VIN and refused delivery, it shouldn't be a surprise IMO if they terminate the contract on their side and keep the $250 (really they could collect the $1200 transportation and doc fee too).
We were an original LR RWD deposit holder. We put down $2500 in Nov 2019. We switched to the AWD when they officially canceled the RWD in February this year. Our contract shows this as a deposit that was applied to our purchase price - not an order fee. I wonder if they cancel our order if they will say this $2500 is forfeited, which will obviously be BS.
This depreciation might be buoyed a bit by the $4k in possible used EV tax credits included in the bill. However, this will likely only impact other EVs since the purchase price would have to be >$25k and there are basically no used Teslas at that price.
I do think that the high demand and long waits will keep used Tesla values from falling by the full tax credit amount since there will always be people willing to pay higher to have it NOW- I predict a decrease of about $5-6k rather than the full $8k credit amount.
To play devil's advocate, with interest rates so low, money in this market could make you way more than the interest you save. Most people won't have ~$60k available upfront to pay in full or invest instead, but it sounds like you do.
Disclaimer: People have different risk tolerances, returns are not guaranteed, etc., etc., etc.
| Financed | Interest Paid | Avg. Stock Market Return (6 yr./72 mo.)* | Total Return |
| Self-Financed | -$4500 | $71,007 | -$66,507 |
| Tesla Financing ($60k, 72mo., 2.49%) | $4656 | $71,007 | +$66,351 |
| CU Financing ($60k, 65 mo. , 1.24%) | $2069 | $71,007 | +$68.938 |
Did you read the bill? The $4K is for used is for two year old EVs and some stupid price limit of $25K and incomes under $75K (something like this). When I read it... I figured it applied to nobody except Leaf and Bolt buyers.
Right.. that's in the "soon" timeframe of a few months. In a year? I suspect at least $8K or more in depreciation. In three years with constant $7500+ tax credits - who wants a 2020 Model 3 when the new 2024 one is $7500 cheaper and has 4860 cells? In fact, who wants 2021, 2022, 2023 either... meaning they will have significant depreciation unlike how it is currently.
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