Will my SE still quality for tax credit

Same here.

 

Sorry, man!

I proposed something similar with my dealer, and his discomfort with the idea stemmed from the total uncertainty of a delivery timeframe. I also shared with him the “Transition Rule” language from the draft IRA, and he said he would pass it along to Corporate.

Either way, not a whole lot of breath-holding taking place over here.

 

Yeah same thing here, the $8000 Quebec incentive dropped to $7000 after March 31 (I ordered on the 18th), but cars already ordered by the 31st were still eligible for the full $8000 provided they get delivered and registered before July 1. For a while my ETA was early July, so I pleaded with the dealership to “sell” it to me, ie sign a contract and start the financing clock before July, but they told me they can only offer me the contract once they take possession of the car from BMW (or BMW’s consignee, the transport company). ¯\_(ツ)_/¯

 

Detailed look at bill written by a lawyer

Rivian to offer Binding Purchase Agreements (to help obtain EV tax credit)

Still nothing definitive, but it's great that Rivian is assisting their customers.

 

Fiskar has taken a similar approach. However, startup EV companies like these are obviously much more motivated to lock-in existing preorders, compared to any MINI dealer who mostly sells ICE vehicles and can almost certainly sell "my" car to somebody down the line.

 

We have an order for a second SE, but I’m not sure it would be worth it without the credits. It’ll be $38k out the door.
Do you think people will buy these cars at that price?

 

Perhaps that’s the difference between startups like Tesla, Rivian, etc, and legacy manufacturers, is the concessionary dealership model. Tesla stores sell their own products.

 

I'm sure that somebody will - just not me.

 

no, sales will drop IMHO

 

Yes. The ICE version has an MSRP of $2000 less than the SE, which isn't nothing but it's not too bad for people who want a BEV that's fun to drive. If MINI's ICE vehicles continue to be popular there are enough people that will want the BEV version.

 

Yes but it would be a corporate purchaser because they can write off the entire vehicle (over time) to save $7,500+ in corporate taxes. That's why this Act really screws over the middle class.

 

Probably not me, but I guess we’ll see what happens when I get the call from my dealer that my Iconic BRG, with white roof and mirrors and roulette wheels, arrived at the Port of Baltimore. I’ve gone back and forth and back again about 10 times this week on that.

 

Actually, I just got my email from Rivian and electronically signed my binding contract.

 

I would not have bought the car if it didnt have the 10K in fed & CO tax credits.

 

Official email from Rivian offering binding purchase agreement

"We've received quite a few inquiries from the Rivian community asking how the Inflation Reduction Act (IRA) may impact your eligibility to obtain the $7,500 IRC 30D federal EV tax credit when you purchase your R1T or R1S. Here's what we know and how we plan to support our customers’ efforts to maintain eligibility for the federal EV tax credit.

The Inflation Reduction Act may soon become law.

Once signed into law, the Inflation Reduction Act will add new restrictions to buyers’ eligibility to receive the $7,500 IRC 30D federal EV tax credit. Under these new restrictions, an electric pick-up truck or SUV must be priced below $80,000 and the buyer must fall below certain income thresholds to qualify.

Fortunately, buyers who have a “written binding contract” to purchase a qualified EV before the Inflation Reduction Act becomes law will be able to apply under the current IRC 30D tax credit requirements.

What Rivian preorder and reservation holders can do.

If you’d like to sign a binding contract for your R1T or R1S purchase, click “Review and Accept” below. Signing the contract will make $100 of your existing $1,000 deposit non-refundable and help you to maintain eligibility to apply for the $7,500 tax credit under its current requirements. According to the Senate bill, any customer with a binding contract will not be subject to the new vehicle price and income restrictions when applying for the federal tax credit, regardless of the vehicle delivery date. We do want to caution that the final bill terms are not certain and have not yet been passed by the House of Representatives. Further, we cannot guarantee that the IRS will approve tax credit eligibility as we interpret the terms of the Inflation Reduction Act. However, we are offering our customers this opportunity as a way to do what we can to increase the probability of receiving the $7,500 IRC 30D tax credit.

When will the Inflation Reduction Act be enacted?

While we can’t predict exact timing nor guarantee it becomes law, this bill has already passed the Senate and will head to the House for a vote on Friday, August 12. All indications are that this legislation should pass the House and then be signed into law. Once signed, the Inflation Reduction Act is considered enacted.

Rivian customers interested in signing a binding contract may do so by clicking the button below and agreeing to the terms. Once the Inflation Reduction Act becomes law, customers will lose this chance and be subject to the new restrictions on vehicle price limits and personal income caps.

What happens if I decide to do nothing?

Taking this step is your choice. If you decide not to sign the binding order agreement, your Rivian deposit will remain under our existing fully refundable terms.
If you have questions, we’re here to support.

Tony Caravano
Head of Customer Engagement"

*****

So it looks like Rivian offered an amended agreement that made $100 of the deposit non-refundable.

I have a signed purchase agreement, but I will ask my sales advisor to offer the same addendum. Hopefully that satisfies the conditions for this credit (whatever they may end up being).

That sound like a good plan?

 

Great stuff, thanks for sharing! I passed this one along to the sales manager at my Mini dealer and I encourage everyone who is in a similar position to do the same. There’s no telling whether that will be enough, but there’s also no way of knowing what would be enough until its too late. Speaking for me, even if Mini implemented a non-refundable 1-3% deposit (similar to the 5% deposit from CuriousGeorge’s earlier post), I’d totally do that. Being given that choice gives us the opportunity to make the argument, unlike the situation with the current refundable $250 deposit.

 

Based on a letter to dealers, VW is at least contemplating a similar approach (but they'd better move fast!).

With MINI, though, I think we're dependent on the individual dealer, and as I mentioned before, mine couldn't/wouldn't do anything.

If someone is looking for a Chili Red Iconic 2.0, one might become available in a few months.

 

Yep, that's it - as they say, they can't make guarantees this will do the trick - but for the sake of $100 if I ever wanted/needed to cancel the order (and I have no current intention to do so), I figured it was totally worth doing, and I'm glad they went to this effort.

 

Does the language on a purchase order vary by state? The ones here in CT seem pretty binding except under certain circumstances, at least as far as the fine print is concerned.

 

Totally. Just saying that if such a solution is available at all in this situation, it might be easier for MINI (and their dealers) to follow a real-world example by others rather than to formulate their own approach.

Might not help, but it certainly can’t hurt to ask and cite the examples.