Washington state’s electric-vehicle sales tax break to end

[206er]

There goes WA's only EV incentive (unless I've overlooked something)...

The 7,500 total EV max (not manufacturer-dependent) should be reached this summer... so much for anyone in WA holding out hope of snagging the SR Model 3 and being able to utilize this incentive.

 

[Mariner022]

Maybe not. A current bill wipes out the cap and extends the break to 2021...

Washington State Legislature

 

[ChadS]

That bill did not pass. This year's session is over.

 

[boiler81]

That bill did not pass. This year's session is over.

And to think I wrote my WA state representatives to support the bill.

 

[ChrisH]

Yep. They blew it. Hopefully they will see that the lack of incentive results in a slowing of EV sales in the state and they will re-up on an incentive from the 2019 session. I don’t know if sales will actually stall because the Model 3 will actually start to be available enough to most of us by the time a new incentive might be considered. Super annoyed though...Both bills seemed to pass the first steps easily and then stalled. Fail.

 

[ChadS]

Much more discussion here: [URL="https://teslamotorsclub.com/tmc/posts/2606504/"]WA State EV Sales Tax Exemption Updated[/URL]

 

[ww73]

Or another way to look at it.. Snag a LR/PUP now and get both the federal $7500 and $3200 state incentives!

Personally, I think range is King and I would always opt for the larger battery.

 

[Ken Roach]

To my knowledge, we have the February 2018 count of eligible vehicles (6843), and the average rate of new EV registrations in Washington is 275 per month.

The tax exemption expiration is triggered by that 7500-vehicle report from DOL to DOR, and then it switches to a sunset date: the end of the month after the trigger month.

So if we hit 7500 vehicles in April, the exemption will expire at the close of business on May 31 (a Thursday).

My understanding is that you become exempt from the sales tax at the time that you would pay it, which is when you apply for title and registration of your vehicle. New vehicles have that application made by the dealer.

So my question is: could I take my VIN number to the DOL agency office and apply for a registration ? Or is this totally out of my hands and I have to hope Tesla files the paperwork the same day I take delivery ?

 

[graphix25]

The sale tax for me was computed at time of sale/delivery. The sales tax line on the bill of sale excluded the first 3200 in sales tax. It was done automatically by Tesla. Hence the sales tax on the car was around $2300 rather then $5500.

To my knowledge, we have the February 2018 count of eligible vehicles (6843), and the average rate of new EV registrations in Washington is 275 per month.

The tax exemption expiration is triggered by that 7500-vehicle report from DOL to DOR, and then it switches to a sunset date: the end of the month after the trigger month.

So if we hit 7500 vehicles in April, the exemption will expire at the close of business on May 31 (a Thursday).

My understanding is that you become exempt from the sales tax at the time that you would pay it, which is when you apply for title and registration of your vehicle. New vehicles have that application made by the dealer.

So my question is: could I take my VIN number to the DOL agency office and apply for a registration ? Or is this totally out of my hands and I have to hope Tesla files the paperwork the same day I take delivery ?

 

[graphix25]

Exact numbers.
Cash Price for Vehicle $56,000
Sales Tax $2,472

The first $32,000 is not taxes so I just paid tax on $24,000. Good luck. Sucks the legislation could not muster the will to get this great program extended for the year.

The sale tax for me was computed at time of sale/delivery. The sales tax line on the bill of sale excluded the first 3200 in sales tax. It was done automatically by Tesla. Hence the sales tax on the car was around $2300 rather then $5500.

 

[Ken Roach]

Turns out that this spring's sales push was bigger than expected, and we've hit the 7500 vehicle threshold, so the sales and use tax exemption (10.1%) on the first $32,000 of the vehicle price will end on May 31, 2018.

WA State Licensing (DOL) Official Site: Alternative Fuel Vehicles and Plug-In Hybrids Washington State Tax Exemptions

 

[gearchruncher]

Technically, it's up to the DOR to tell us when the tax break will end, not the DOL. The DOR is legally required to put the end date on their website as early as practical once they are aware, and they haven't yet. As long as they were notified after April 5th, the break should end June 30th, not May 31st. Given DOL didn't put it on the site until April 16th, it appears it didn't happen before April 5th.