So I was looking at purchasing a RAV4 prime. Problem is Toyota is extremely close to hitting that 200k threshold but I understand that it doesn’t get listed or go into effect until the end of the quarter that they post it? Not entirely sure how it works. But, My question is, if I purchase a RAV4 prime now, and they list in March that they exceeded 200k, am I still eligible for the full 7500, even though they exceeded the 200k in 2022 when I go to file my taxes for 2022 Do I get the full 7500 as long as I purchase before they list their quarterly sales? I thought once they go over 200k the full credit gets reduced for the year even if you purchased before they said they went over 200k I’m just confused in the matter thanks for anyone who explains
It gets reduced in the quarter AFTER they got 200k sales. Since you have to state in your tax return when you bought the car, it will show that you bought it in Q1. If they got 200k in Q1 you're still elegible for the full tax credit, since it will be reduced in Q2.
Does Toyota announce how many cars they sold each quarter? Wondering if they will pass it in Q1 or Q2
It will actually be reduced in Q3 Qualified Plug-In Electric Drive Motor Vehicle Credit (IRC 30D) Phase Out The qualified plug-in electric drive motor vehicle credit phases out for a manufacturer’s vehicles over the one-year period beginning with the second calendar quarter after the calendar quarter in which at least 200,000 qualifying vehicles manufactured by that manufacturer have been sold for use in the United States
