It's covered in this video briefly but we'll look at more in-depth in the future! Mechanics are fairly similar to the new credit just lower price cap ($25k) and the vehicle must be two years or older to qualify. In 2024 dealers enrolled with the IRS' transfer program can also offer it at point of sale.
@@outofspecguide thanks for the reply! I think what confuses me is whether or not Chinese sourced batteries will qualify or not. As an example… will I be able to apply this to a standard range model 3 if one came available at this price point? I’ve been waiting for fueleconomy.gov(or whatever it is) to update their website for clarity. It being available at point of sale was another question I was curious about. Thanks again
@@outofspecguideoh sorry… I don’t know how I missed this information. I assume I accidentally clicked to the next video while I was listening and missed the end. You had what I was curious about in there.
99% dealers do not know about it. Make sure they will submit info through irs portal. A lot of them do not know what is it and you could buy it, but do not get tax back
The gov website is a bit confusing for used 2023 > EV's.. If I buy a used 2023 Bolt EUV under 25k price I am not seeing anything listed for it other than a 2022 on the 2023 and newer pages so does or doesn't it qualify for the used 4000.00 rebate ? TY@@outofspecguide
If you could do a video about the used credit at point of sale specifically, I would love that. My local Dodge dealership has three vehicles that should qualify for the credit. However, they know nothing about this program and don't seem to care to learn about it when I talk to them. I don't know if they're trying really hard to sell the vehicles without the credit or what. But I live in northeast Arkansas and EV's that aren't Teslas don't fly off the shelves, exactly. They have a Leaf I drove back in September and loved that is still on the lot. The deal didn't work out in September, but with this 4k point of sale credit, I would love to make it work out. I think if someone made a video about the specifics of just the Used point of sale credit, it would get a lot of views. People are interested and dealerships don't seem to want to try too hard to shed their ignorance.
@Kermoedi77, same situation here in Houston, Tx. I have tried many different places but all are clueless and don’t seem to care. Only people in the finance departments know what I’m talking about and they have no timeline for when the pos will finally work so I’m just waiting for the dealers to get their act together. I mean, it’s their actual job and they can’t get it right, real professionals in that industry…🙄
So I’ve been researching the used EV tax credit at the “point of sale” and hidden dealer fees will count towards the “purchase price” of the vehicle so make sure when you’re shopping for a used EV, that y’all take notice of dealer fees like the one that I came across here in Houston. The dealer stated on the listing page that ALL the cars they sell come with a paint protection and lo Jack system installed that will be added to the final price of the car even if you are paying cash and don’t want it. Only government fees won’t affect the price for the “price cap” such as TT&L but dealer fees will. Read the fine print.
@@joshuasingletary9703 I read this in the official government website for the used EV tax credit info. I believe it’s fueleconomy.gov but if you google “used EV tax credit” you’ll come across the official website easy.
Thanks, Max. Great info. Tax info is always confusing! Eyes glaze over pretty quickly 😅. But it’s great you’ve got all these resources in one place for those interested. 👍🏼
Keep in mind that since this is a "non" refundable tax credit, you can not take the full value of this credit during tax time if your tax lability is not the full amount. However, if you transfer the tax credit at time of sale to the dealer, you will get the full tax credit amount even if you don't normally qualify for this much of a tax lability. The take-away - make sure to get the tax credit at time of sale and don't wait to claim in your taxes UNLESS you are over the cutoff for the credit at time of sale.
Just to clarify, if I i make more than the 75k AGI limit, does that still matter since the dealer is receiving the tax credit, or would I be hit with a bill later on?
As far as the USED EV tax credit goes... Assuming the dealer is enrolled and their car is being sold for 25k. How and when do I receive the 4k incentive?
The problem I am finding is I can't find a dealer enrolled in this program to get the point of sale tax credit. I wish the IRS would give a list of dealers enrolled.
We just bought a used 2016 Nissan Leaf & the Ford dealer where we bought it gave us the Used EV Credit up front (point of sale). Basically you sign the credit over to the dealer & he takes the money off the price. My question is there anything I have to do on my end at Tax time? Are there any forms I need to fill out or send to the IRS or am I done since the credit was signed over to the dealer?
The point of sale is not instantaneous. I have a deposit on a new Chevy bolt. The government has to approve it. They say it could take up to 48 hours. I've been waiting over 24 now, and nothing yet.
My local Chevy dealer said nothing of the sort, at least on a used Bolt. They already ran the VIN and the car qualified, it’s just a matter of finalizing the sale paperwork.
@daveedwards6727 Not sure. I know they took my social security and sent it up with the Vin. Just waiting for them to give the green light. And I can pick the car up.
Hey Max, can a person who is retired able to take advantage of new or used car credit at the time of purchase? They only have social security income. Their income is so low that they don't need to fill out tax returns. They can fill out but they don't have to . TIA
The EV purchase and tax credit is for individuals who pay federal income taxes. Unlike a child tax credit where you can pay no taxes and still get a credit. www.irs.gov/newsroom/who-needs-to-file-a-tax-return
That is my situation, too. When I visit my tax advisor, they do not find anything different than the 023 credits. They say no way. You will have to claim and will be responsible.???????
in a previous video Max said you don't want to transfer your credit to the dealer if you're buying the car to use it primarily for rideshare work. Something about tax form 8936 . can anyone help explain this? Or point me to IRS documents that explain it? Thanks.
It's down to if you use the vehicle for business or personal use. The point-of-sale tax credit (and general consumer credit) isn't meant for vehicles used for more than 49% business use, which would include contract work like ride-sharing.
I believe it is regarding how an asset is depreciated. If you are ride sharing and put on over 9,000 miles or more you would usually claim standard mileage deduction of .65 cents a mile over actual expensive. Most rideshare/gig economy will receive a 1099 and be taxed at personal level.
Planning to get our first EV, question- if we claim the 7.5k tax credit later (traditional way), and if we owe IRS for example only 5k. Will I get the remaining 2.5k in cash return?
I am reading through the IRS FAQ’s and see this that I have questions on: Q1: May a buyer claim the new or previously-owned clean vehicle tax credits it the dealer or seller of the vehicle is not registered with the IRS? (added October 6, 2023) A1. No. Starting for vehicles placed in service January 1, 2024 or later, buyers will only be able to claim credits if the seller has registered with the IRS and successfully submits a seller report through the IRS Energy Credits Online. This submission is done at the time of sale through IRS Energy Credits Online, and the seller must provide a copy of the successfully submitted seller report to the buyer.
So with the $80k msrp limit, could the dual motor foundation series cybertruck become eligible since the dual motor cybertruck is $80k and the foundation series option is an extra $20k for a total price of $100k?
You are able to transfer your credit to a point of sale a limited number of times, I think it’s twice for married filing jointly, but you can have unlimited numbers of tax time tax credits if you are eligible, though only up to your tax liability. At least that’s my understanding; ask your CPA to know for sure.
I bought a used ‘22 Escape PHEV last year and received the $3,750. Can I also qualify for the $4,000 credit this year on a used Bolt at the point of sale?
Can someone help me with this question? Example: Used Chevy Bolt is advertised at dealership for 10,000: but after the sales tax and other fee's from the dealer the cost is more like 11, 500 out the door: but I also I also wish to purchase an extended warranty adding another 1500.00 to the total price bringing the final price to 13,0000, (if I also add the extended warranty) _________________________________________________ Can I say on the IRS EV used car credit program, that the cost of the car was 13,000? or do I have to use only the 10,000 price of the car, excluding the sales tax and dealer fee's and extended warranty cost ?
IRS in its amended guidance statement stated that insurance and extended warranties are not covered in the price. Dealer add ons are to be included. In your case $10K is your basis for the 30%.
@@Tokamak3.1415 Thank you for helping me figure this out more exactly, so if the extended warranty dealer add-on, would not count, what about the sales tax ?
@@flolou8496 Sales tax, registration and title fees are required by government so those don't count towards the $25K basis. Here's the latest IRS PDF - I had to put a space in the url or youtube yanks it: www.irs. gov/pub/taxpros/fs-2024-14.pdf
While it might be available at the point of sale.. very few are doing it (Any?). I would interview used car dealers as well Tesla to figure out why. I would assume the speed of government is a little too slow for them. Also regarding the 'used' ev tax credit.. that requirement that the car had to have been transferred before August of 2022 could be interesting.
I’ve noticed this too while used EV shopping. It appears they’re mostly unaware of up front rebate until you call and ask. It’s still the first week of January so, guess it’s up to us to help them help themselves 😅
I wasn't able to find a dealer in my area that has registered with the IRS but the dealer with whom I've agreed to work says they will get registered before completing the sale. They are not going to creit me the 4k for the used prius prime but I believe I can still claim the credit at tax time with the corect documentation. My question is this: Does the dealer have to submit the time of sale documents before the sale just as if they were giving me those credits on the day of the sale?
No you just need proof of purchase from the dealer on the sale date. The time of sale documents aren’t submitted by then if you’re getting the credit on your return.
Are you sure of this? Would you be able to point to the IRS or clean energy documents that support this? It looks to me like I need the same documents to collect the refunds at tax time as the dealer would need to submit if they were giving me the credit at the point of sale. Thanks in advance.
IRS FAQ Q1: May a buyer claim the new or previously-owned clean vehicle tax credits it the dealer or seller of the vehicle is not registered with the IRS? (added October 6, 2023) A1. No. Starting for vehicles placed in service January 1, 2024 or later, buyers will only be able to claim credits if the seller has registered with the IRS and successfully submits a seller report through the IRS Energy Credits Online. This submission is done at the time of sale through IRS Energy Credits Online, and the seller must provide a copy of the successfully submitted seller report to the buyer.
You can call the IRS and they helped me out. New for 2024 even if not taking the credit at time of sale the dealership needs to be registered in the IRS EV portal and register the vehicle within 3 days of sale and provide you with confirmation. Tesla isn’t doing this for used EV’s and neither is Hertz. IRS says currently you cannot just file the form at taxes that was for 2023. Give them a call they were helpful or it’s on the website
I talked to Tesla reps today and yesterday and was told the $4k point of sale credit doesn’t work for used Evs. Even if they’re under $25k. Has anyone else had this problem?
Matt, I am looking at buying a used hybird. The car qualifies, and I also qualify . I am retired on SS, so no problem $$. When I talk to my tax advisors , they say no way. They are not familar with the Clean VehicalCredit using the Elective transfere credit option. That is exactly what is needed for me. How can I find the paperwork to show them.
Hello Max, I just purchased a Model Y which has the $7500 tax incentive. Is my incentive locked in or is it possible I could lose it if things change during the year?? Totally love your channel, thank you for all you do!! -Scott
I really think the tax credit shouldn't be on earned income if you're retired you don't have a job so why would you get the tax credit even if you didn't owe the text explain that to me
I have heard from multiple people that the Tesla Model Y RWD qualifies for the tax credit including fellow credible youtubers. Even on Tesla's website it states all models qualify. My biggest confusion is that it states on the IRS website that there is a 2023 "All Wheel Drive". There only was a "RWD" or a "Long Range" model. It is hard to tell what the true terminology is for the standard Model Y. But, with that being said I really hope the RWD gets the credit because I ordered it on Dec. 21st of last year and if I wouldn't get the credit when it was supposed to be here by Dec. 29th I will be extremely upset.
There's no reason why that certain someone CAN'T get it with the POS benefit. I just think they're hesitant to clearly spell that out here....but if you're reading between the lines like I am....😉
They may be able to take the PoS credit if the IRS portal allows them to, but if they are above the limit in the sales year or the year before, the IRS's language specifically states that they will have to return a credit they received if they come in above the max income limit. The "no recapture" language is only for claimers without the tax liability.
26 USC 30D: Clean Vehicle Credit 5) Recapture The Secretary shall, by regulations, provide for recapturing the benefit of any credit allowable under subsection (a) with respect to any property which ceases to be property eligible for such credit. "(10) Recapture "In the case of any taxpayer who has made an election described in paragraph (1) with respect to a new clean vehicle and received a payment described in paragraph (2)(C) from an eligible entity, if the credit under subsection (a) would otherwise (but for this subsection) not be allowable to such taxpayer pursuant to the application of subsection (f)(10), the tax imposed on such taxpayer under this chapter for the taxable year in which such vehicle was placed in service shall be increased by the amount of the payment received by such taxpayer." Don't Lie basically.
what happens when the Tesla has to be bought back as a lemon and the $7,500 was used at point of sale? Does Tesla have to provide this back to the purchaser at time of buyback? It wouldn't make sense for Tesla to get to keep the $7,500, that would be unjust enrichment and would not be right to do to the buyer.
Also, this return is occuring after 30 days... which says the tax credit stays with the original buyer as that surpasses the threshold of buying the car without the intent to resale.
EVs need to stand on their own, not depend on government handouts to help. Limited range, time to charge, battery life and cost must be better addressed by the EV makers to gain mass adoption.
How about the insane levels of oil subsidies each year? Without subsidizing the ev transition, there’s a case to also be made that we’re putting the EVs themselves at a disadvantage
@@motoman771 Depends on the car. Some EVs cannot meet EPA rating in the real world, while some can exceed it. Just like gas cars: some cars can meet or exceed their EPA MPG in the real world, some cannot. Second the oil subsidies comment: without the massive actual and effective government subsidies to the oil industry, gas prices would be much higher. The government helps soccer moms drive Ram mega cabs to drop off their one kid at preschool and pick up two bags of groceries from the market...why can't they help people drive vehicles that don't contribute to billions in pulmonary and cardiovascular-related health costs each year?
Can someone do a video on the USED car credit? I’ve been trying to understand it, especially for 2024.
It's covered in this video briefly but we'll look at more in-depth in the future! Mechanics are fairly similar to the new credit just lower price cap ($25k) and the vehicle must be two years or older to qualify. In 2024 dealers enrolled with the IRS' transfer program can also offer it at point of sale.
@@outofspecguide thanks for the reply! I think what confuses me is whether or not Chinese sourced batteries will qualify or not. As an example… will I be able to apply this to a standard range model 3 if one came available at this price point? I’ve been waiting for fueleconomy.gov(or whatever it is) to update their website for clarity. It being available at point of sale was another question I was curious about. Thanks again
@@outofspecguideoh sorry… I don’t know how I missed this information. I assume I accidentally clicked to the next video while I was listening and missed the end. You had what I was curious about in there.
99% dealers do not know about it. Make sure they will submit info through irs portal. A lot of them do not know what is it and you could buy it, but do not get tax back
The gov website is a bit confusing for used 2023 > EV's.. If I buy a used 2023 Bolt EUV under 25k price I am not seeing anything listed for it other than a 2022 on the 2023 and newer pages so does or doesn't it qualify for the used 4000.00 rebate ? TY@@outofspecguide
If you could do a video about the used credit at point of sale specifically, I would love that. My local Dodge dealership has three vehicles that should qualify for the credit. However, they know nothing about this program and don't seem to care to learn about it when I talk to them.
I don't know if they're trying really hard to sell the vehicles without the credit or what. But I live in northeast Arkansas and EV's that aren't Teslas don't fly off the shelves, exactly. They have a Leaf I drove back in September and loved that is still on the lot. The deal didn't work out in September, but with this 4k point of sale credit, I would love to make it work out.
I think if someone made a video about the specifics of just the Used point of sale credit, it would get a lot of views. People are interested and dealerships don't seem to want to try too hard to shed their ignorance.
@Kermoedi77, same situation here in Houston, Tx. I have tried many different places but all are clueless and don’t seem to care. Only people in the finance departments know what I’m talking about and they have no timeline for when the pos will finally work so I’m just waiting for the dealers to get their act together. I mean, it’s their actual job and they can’t get it right, real professionals in that industry…🙄
they aren't incentivized to take on more work that they may not see as value added for them.@@cav8285
@@cav8285not sure I like the dealership being part of our tax system but that is how IRA 2.0 is set up.
So I’ve been researching the used EV tax credit at the “point of sale” and hidden dealer fees will count towards the “purchase price” of the vehicle so make sure when you’re shopping for a used EV, that y’all take notice of dealer fees like the one that I came across here in Houston. The dealer stated on the listing page that ALL the cars they sell come with a paint protection and lo Jack system installed that will be added to the final price of the car even if you are paying cash and don’t want it. Only government fees won’t affect the price for the “price cap” such as TT&L but dealer fees will. Read the fine print.
where is the fine print. I have missed it so far but I was trying to look for this
@@joshuasingletary9703 I read this in the official government website for the used EV tax credit info. I believe it’s fueleconomy.gov but if you google “used EV tax credit” you’ll come across the official website easy.
Thanks, Max. Great info. Tax info is always confusing! Eyes glaze over pretty quickly 😅. But it’s great you’ve got all these resources in one place for those interested. 👍🏼
Keep in mind that since this is a "non" refundable tax credit, you can not take the full value of this credit during tax time if your tax lability is not the full amount. However, if you transfer the tax credit at time of sale to the dealer, you will get the full tax credit amount even if you don't normally qualify for this much of a tax lability.
The take-away - make sure to get the tax credit at time of sale and don't wait to claim in your taxes UNLESS you are over the cutoff for the credit at time of sale.
So no clawback on the 7500 even if your tax liability does not meet that amount?
Just to clarify, if I i make more than the 75k AGI limit, does that still matter since the dealer is receiving the tax credit, or would I be hit with a bill later on?
As far as the USED EV tax credit goes... Assuming the dealer is enrolled and their car is being sold for 25k. How and when do I receive the 4k incentive?
The problem I am finding is I can't find a dealer enrolled in this program to get the point of sale tax credit. I wish the IRS would give a list of dealers enrolled.
We just bought a used 2016 Nissan Leaf & the Ford dealer where we bought it gave us the Used EV Credit up front (point of sale). Basically you sign the credit over to the dealer & he takes the money off the price. My question is there anything I have to do on my end at Tax time? Are there any forms I need to fill out or send to the IRS or am I done since the credit was signed over to the dealer?
Thank you for this content, Max.
The point of sale is not instantaneous. I have a deposit on a new Chevy bolt. The government has to approve it. They say it could take up to 48 hours. I've been waiting over 24 now, and nothing yet.
What? Wouldn’t it make more sense if you get approved before purchasing the car?
The dealer has to do that.
My local Chevy dealer said nothing of the sort, at least on a used Bolt. They already ran the VIN and the car qualified, it’s just a matter of finalizing the sale paperwork.
@daveedwards6727 Not sure. I know they took my social security and sent it up with the Vin. Just waiting for them to give the green light. And I can pick the car up.
The saliva pooling at the side of his mouth is so fucking distracting
Hey Max, can a person who is retired able to take advantage of new or used car credit at the time of purchase? They only have social security income. Their income is so low that they don't need to fill out tax returns. They can fill out but they don't have to . TIA
The EV purchase and tax credit is for individuals who pay federal income taxes. Unlike a child tax credit where you can pay no taxes and still get a credit.
www.irs.gov/newsroom/who-needs-to-file-a-tax-return
Bump wannna know this too
That is my situation, too. When I visit my tax advisor, they do not find anything different than the 023 credits. They say no way. You will have to claim and will be responsible.???????
Unless they only have SS income it'll be subject to taxes and will have to file on 1040.
in a previous video Max said you don't want to transfer your credit to the dealer if you're buying the car to use it primarily for rideshare work. Something about tax form 8936 . can anyone help explain this? Or point me to IRS documents that explain it? Thanks.
It's down to if you use the vehicle for business or personal use. The point-of-sale tax credit (and general consumer credit) isn't meant for vehicles used for more than 49% business use, which would include contract work like ride-sharing.
I believe it is regarding how an asset is depreciated. If you are ride sharing and put on over 9,000 miles or more you would usually claim standard mileage deduction of .65 cents a mile over actual expensive. Most rideshare/gig economy will receive a 1099 and be taxed at personal level.
Planning to get our first EV, question- if we claim the 7.5k tax credit later (traditional way), and if we owe IRS for example only 5k. Will I get the remaining 2.5k in cash return?
no
Nope, the credit is still non-refundable when filed the traditional way.
I am reading through the IRS FAQ’s and see this that I have questions on:
Q1: May a buyer claim the new or previously-owned clean vehicle tax credits it the dealer or seller of the vehicle is not registered with the IRS? (added October 6, 2023)
A1. No. Starting for vehicles placed in service January 1, 2024 or later, buyers will only be able to claim credits if the seller has registered with the IRS and successfully submits a seller report through the IRS Energy Credits Online. This submission is done at the time of sale through IRS Energy Credits Online, and the seller must provide a copy of the successfully submitted seller report to the buyer.
Can I use ev tax credit for used ($4000) and new ($7500) cars at the same year?
So with the $80k msrp limit, could the dual motor foundation series cybertruck become eligible since the dual motor cybertruck is $80k and the foundation series option is an extra $20k for a total price of $100k?
No, can’t qualify.
Do i have to add the 7500 point of sale credit into my 2024 return as a Tax charge thus reducing my 2024 return amount?
I haven't heard or seen about 2024 1040 form changes yet.
If I buy two qualifying EVs in the same tax year do I get a $15,000 tax credit?
You are able to transfer your credit to a point of sale a limited number of times, I think it’s twice for married filing jointly, but you can have unlimited numbers of tax time tax credits if you are eligible, though only up to your tax liability. At least that’s my understanding; ask your CPA to know for sure.
My dealer today said they're not doing it. Trying to figure out if its just them
If I purchase and pick up the car on Feb 2024, do they look at the Tax Return for 2022 (filed on 2023) or 2023 (about to file before Apr)?
I have the same question
I bought a used ‘22 Escape PHEV last year and received the $3,750. Can I also qualify for the $4,000 credit this year on a used Bolt at the point of sale?
what happens if wife and husband buy an ev. Do we both qualify? per house its only 1 any way to go around that?
Can someone help me with this question?
Example: Used Chevy Bolt is advertised
at dealership for 10,000:
but after the sales tax and
other fee's from the dealer
the cost is more like 11, 500 out the door:
but I also I also wish to purchase an extended warranty
adding another 1500.00 to the total price
bringing the final price to
13,0000, (if I also add the extended warranty)
_________________________________________________
Can I say on the IRS EV used car credit program,
that the cost of the car was
13,000? or do I have to use only the
10,000 price of the car, excluding the sales tax and dealer fee's
and extended warranty cost ?
IRS in its amended guidance statement stated that insurance and extended warranties are not covered in the price. Dealer add ons are to be included. In your case $10K is your basis for the 30%.
@@Tokamak3.1415 Thank you for helping me figure this out more exactly, so if the extended warranty dealer add-on, would not count, what about the sales tax ?
@@flolou8496 Sales tax, registration and title fees are required by government so those don't count towards the $25K basis. Here's the latest IRS PDF - I had to put a space in the url or youtube yanks it:
www.irs. gov/pub/taxpros/fs-2024-14.pdf
While it might be available at the point of sale.. very few are doing it (Any?). I would interview used car dealers as well Tesla to figure out why. I would assume the speed of government is a little too slow for them. Also regarding the 'used' ev tax credit.. that requirement that the car had to have been transferred before August of 2022 could be interesting.
I’ve noticed this too while used EV shopping. It appears they’re mostly unaware of up front rebate until you call and ask. It’s still the first week of January so, guess it’s up to us to help them help themselves 😅
I wasn't able to find a dealer in my area that has registered with the IRS but the dealer with whom I've agreed to work says they will get registered before completing the sale. They are not going to creit me the 4k for the used prius prime but I believe I can still claim the credit at tax time with the corect documentation. My question is this: Does the dealer have to submit the time of sale documents before the sale just as if they were giving me those credits on the day of the sale?
No you just need proof of purchase from the dealer on the sale date. The time of sale documents aren’t submitted by then if you’re getting the credit on your return.
Are you sure of this? Would you be able to point to the IRS or clean energy documents that support this? It looks to me like I need the same documents to collect the refunds at tax time as the dealer would need to submit if they were giving me the credit at the point of sale. Thanks in advance.
IRS FAQ Q1: May a buyer claim the new or previously-owned clean vehicle tax credits it the dealer or seller of the vehicle is not registered with the IRS? (added October 6, 2023)
A1. No. Starting for vehicles placed in service January 1, 2024 or later, buyers will only be able to claim credits if the seller has registered with the IRS and successfully submits a seller report through the IRS Energy Credits Online. This submission is done at the time of sale through IRS Energy Credits Online, and the seller must provide a copy of the successfully submitted seller report to the buyer.
If i want to file the traditional way for used EV credit, what document should I need from dealer ?
All they need to provide you is proof of sale with the VIN, and you file 8936 when it's return season: www.irs.gov/forms-pubs/about-form-8936
You can call the IRS and they helped me out. New for 2024 even if not taking the credit at time of sale the dealership needs to be registered in the IRS EV portal and register the vehicle within 3 days of sale and provide you with confirmation. Tesla isn’t doing this for used EV’s and neither is Hertz. IRS says currently you cannot just file the form at taxes that was for 2023. Give them a call they were helpful or it’s on the website
I talked to Tesla reps today and yesterday and was told the $4k point of sale credit doesn’t work for used Evs. Even if they’re under $25k. Has anyone else had this problem?
That’s interested apparently thats literally how it should be used
I was told the same thing. Seems like there’s no way of using the $4k used ev tax credit through Tesla.
Thanks for sharing!
Matt,
I am looking at buying a used hybird. The car qualifies, and I also qualify . I am retired on SS, so no problem $$. When I talk to my tax advisors , they say no way. They are not familar with the Clean VehicalCredit using the Elective transfere credit option. That is exactly what is needed for me. How can I find the paperwork to show them.
I am sending your video to them. Great video, and thanks for the help!!!!
One more thing if it does work this way, I may get my wife a used Bolt. I saw that that would work??
A regular hybrid does not qualify like a plug-in hybrid or EV.
The Bolt EV will work for used EV credit if only it has had one previous owner.
thanks for making the USED ev tax credit. many of us will be buying used...new cars are far too expensive.
He specifically addresses used vehicle rebate towards the end, did you miss it?
Use the chapters in the video to see me mention it at the end
how does one check if a vehicle has already been tax deducted? is it POS? many many many questions.
@@masterlessamurai seems you missed it if you listen, there are a lot of questions and this just breezes through it.
If I bought my MYP last year I know I can only get the $7500 tax credit. What happens if I don’t owe more than $7500 what are my options!
The tax credit would be used against only what you owe. If you owe less than $7500 it would zero you out and that’s it.
Hello Max, I just purchased a Model Y which has the $7500 tax incentive. Is my incentive locked in or is it possible I could lose it if things change during the year??
Totally love your channel, thank you for all you do!!
-Scott
Just owe $7,500 or more in taxes by year's end.
So I bought a Tesla this year which was 5 yrs old but over 25 K so I dont get squat?....that Sucks!
The used electric vehicle federal rebate is for $25,000 USD and less, and it can't be bought from a private party.
Great Video!!!!
I really think the tax credit shouldn't be on earned income if you're retired you don't have a job so why would you get the tax credit even if you didn't owe the text explain that to me
SKIP THE FIRST MINUTE , HE SAYS NOTHING
I have heard from multiple people that the Tesla Model Y RWD qualifies for the tax credit including fellow credible youtubers. Even on Tesla's website it states all models qualify. My biggest confusion is that it states on the IRS website that there is a 2023 "All Wheel Drive". There only was a "RWD" or a "Long Range" model. It is hard to tell what the true terminology is for the standard Model Y. But, with that being said I really hope the RWD gets the credit because I ordered it on Dec. 21st of last year and if I wouldn't get the credit when it was supposed to be here by Dec. 29th I will be extremely upset.
with no recapture, why cant someone with >300K income also get it?.....
There's no reason why that certain someone CAN'T get it with the POS benefit. I just think they're hesitant to clearly spell that out here....but if you're reading between the lines like I am....😉
It’s the way the language is written in the guidance document. It had to be in good faith 😂
They may be able to take the PoS credit if the IRS portal allows them to, but if they are above the limit in the sales year or the year before, the IRS's language specifically states that they will have to return a credit they received if they come in above the max income limit. The "no recapture" language is only for claimers without the tax liability.
No recapture only for liability. If you have adjusted gross income above the caps and fraudulently claim the credit you are liable to recapture.
26 USC 30D: Clean Vehicle Credit
5) Recapture
The Secretary shall, by regulations, provide for recapturing the benefit of any credit allowable under subsection (a) with respect to any property which ceases to be property eligible for such credit.
"(10) Recapture
"In the case of any taxpayer who has made an election described in paragraph (1) with respect to a new clean vehicle and received a payment described in paragraph (2)(C) from an eligible entity, if the credit under subsection (a) would otherwise (but for this subsection) not be allowable to such taxpayer pursuant to the application of subsection (f)(10), the tax imposed on such taxpayer under this chapter for the taxable year in which such vehicle was placed in service shall be increased by the amount of the payment received by such taxpayer."
Don't Lie basically.
Until Tesla enrolls why in the plan buyers should hold off.
what happens when the Tesla has to be bought back as a lemon and the $7,500 was used at point of sale? Does Tesla have to provide this back to the purchaser at time of buyback? It wouldn't make sense for Tesla to get to keep the $7,500, that would be unjust enrichment and would not be right to do to the buyer.
Also, this return is occuring after 30 days... which says the tax credit stays with the original buyer as that surpasses the threshold of buying the car without the intent to resale.
He looks like handsome Squidward and I mean that in a good way
EVs need to stand on their own, not depend on government handouts to help. Limited range, time to charge, battery life and cost must be better addressed by the EV makers to gain mass adoption.
100%
How about the insane levels of oil subsidies each year? Without subsidizing the ev transition, there’s a case to also be made that we’re putting the EVs themselves at a disadvantage
Limited range, battery life?? Sounds like you are using 2015 stats.
@@gregpochet4812 are you using EPA stats or real world statistics? Because there’s a heck of a difference
@@motoman771 Depends on the car. Some EVs cannot meet EPA rating in the real world, while some can exceed it. Just like gas cars: some cars can meet or exceed their EPA MPG in the real world, some cannot. Second the oil subsidies comment: without the massive actual and effective government subsidies to the oil industry, gas prices would be much higher. The government helps soccer moms drive Ram mega cabs to drop off their one kid at preschool and pick up two bags of groceries from the market...why can't they help people drive vehicles that don't contribute to billions in pulmonary and cardiovascular-related health costs each year?
would you sit on your cell phone how about 10 thousand batteries not so good toasted nuts
Um yeah?
You prefer sauteed nuts via gasoline?