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Will I still get my $7500 Tax Credit if I sell my car within the tax year I bought it

Discussion in 'Model S' started by Rule_of_72, Dec 6, 2015.

  1. Rule_of_72

    Rule_of_72 Member

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    Hello All -

    As my thread title suggests, I unfortunately have to consider selling my 2015 Tesla Model S 70D. I bought my new 70D back in May. I am thinking of selling it, so my question is: Will selling it now prohibit me from receiving the $7500 federal tax credit when I file my taxes next month? I know all the other requirements for receiving the credit, which I meet. I can't find anything that says I would lose it, but wanted to check the collective knowledge of the people on this site to see if I am missing something.

    By the way, great car. Just needs to go for various reasons! It's fully paid for with title in hand for the record.

    Thanks!
     
  2. DougH

    DougH Active Member

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    If you are the first registered owner you will get the credit. But if you sell it you have to, well you don't have to but you should deduct that from the sale price.

    I bought a P85D in April and sold it in July, I am filing for my tax credit on it in Jan.
     
  3. Rule_of_72

    Rule_of_72 Member

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    Thanks Douglas. I appreciate the response.
     
  4. JenniferQ

    JenniferQ Member

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    #4 JenniferQ, Dec 6, 2015
    Last edited: Dec 6, 2015
    Not sure where you live, but here in CA you have to keep the car for 30 months or repay the state incentive rebate of $2500.
     
  5. Rule_of_72

    Rule_of_72 Member

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    Not an issue in my state, which has no EV tax credits. Thanks for looking out though. Definitely something to consider.
     
  6. cpa

    cpa Member

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    I would consult my personal income tax adviser concerning this issue. Section 30D provides for recapture of the credit to be determined by regulations as developed by the Secretary. I am not trolling for business, but an expert tax adviser carries much more credibility than an internet forum! :smile:
     

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