Will my SE still quality for tax credit

Thanks for sharing this. My only solace is that it aligns with what I had surmised previously.

 

I’m in the same position, but I’m not as confident because of this statement.
“A contract is binding even if subject to a condition, as long as the condition is not within the control of either party.”

 

As I said in a recent comment on the last page, the IRS appears to be describing what will make them happy, not necessarily what the limits of the law are. There's gray area in between, and that's where one might be at risk of having to defend the claiming of the credit in court (if it ever gets that far). Everyone sitting in that gray area needs to make their own assessment as to whether that's a comfortable place for them to be, but if someone feels like they're being forced into cancelling an order, I'd certainly recommend a consultation with a tax attorney first.

 

We need guidance on the guidance.

 

All I can say is---I'm glad I got mine when I did. I was able to get the Sig model (my preferred trim level), and the tax credit.

So little clarity on the rules now, and the crop of US-assembled EV's available in 2022 is so....unappealing. Sorry to see this much uncertainty for new purchasers. I don't see why the bill couldn't phase the new rules in the new tax year and make it so much simpler for all of us.

 

What are you talking about? Doesn't everyone here lust after a Lincoln Navigator hybrid? The $7500 is just icing on the cake. I'm going to run right out and replace my 30+ mpg ICE car with one of these beasts...

 

What about that statement concerns you? If the only condition would be if you were getting dealer financing, and you are not applying for dealer financing then that clause wouldn’t apply. Also, one could argue that even if you did try for dealer financing, whether or not you qualify is out of both yours and the dealer’s hands, so it would still pass the test. Obviously this isn’t advice, but I really think a PO that specifically states that it can’t be cancelled unless dealer financing falls through fits the IRS requirement. I’m at least willing to argue the point with the IRS if it comes to it.

 

Final assembly in North America requirement for federal tax credit becomes effective today (https://afdc.energy.gov/laws/inflation-reduction-act), so unless you already purchased a Mini SE in the US or entered into a binding purchase contract (I'm not wading into those waters), the potential $7,500 federal tax credit is no longer available for the Mini SE.

 

Here are the cars eligible for the tax credit...
Mini is not listed. (Article posted 6:11pm PT.)

 

Aren't the tax credits for both new and used EVs now arranged by dealers? How does that work with a Tesla?

 

I don't know, but the tesla forums are over here:
https://www.insideevsforum.com/community/index.php?forums/tesla.6/

 

Thanks for the tip, but after visiting there it appears I'll have to find a forum outside of InsideEVs to find Tesla people who are discussing the new law.

 

Partial solution? The dealer puts the car in service as a demo for a week. You get to demo it, and then buy it used?
When does the $4,000 kick in? OK, then switch demo to lease. Lease it until the $4,000 kicks in, then buy it and get the $4,000 for a used EV?

 

(IANAL) The 5% rule looks like a generalized example to assist persons where your individual state may not have sufficiently defined contract laws.

 

The Cooper SE would have to be $25,000 or lower and 2+ years old.

 

I must admit, I did briefly entertain the idea of the new tax credit for used EVs sparking renewed interest in European delivery programs.

 

Impossible to say, obviously, but it might be interesting to see if includingForm 8936 sets off any possible audit flags in current versions of, e.g., TurboTax. (IOW, have EV credits previously been under heightened scrutiny by the IRS?)

https://www.irs.gov/pub/irs-pdf/f8936.pdf

 

How rich are you?

The IRS just got $80 billion to beef up. A big goal? Going after rich tax dodgers