Build Back Better + Tax Credit

[Codyroo]

Just want to throw something out there.....Unless Build Back Better gets amended, there is a caveat on the $7,500 tax credit that impacts Lucid buyers. To qualify for the credit, your car must be under $55,000. So, there may be some "urgency" in getting your vehicle this year if BBB doesn't get approved in 2022.

"Under the bill, individual taxpayers reporting adjusted gross incomes of $250,000 or $500,000 for joint filers to get the new EV tax credit. It also would limit the EV credit to cars priced at no more than $55,000 and trucks and SUVs up to $80,000."

 

[mnewber1]

Just want to throw something out there.....Unless Build Back Better gets amended, there is a caveat on the $7,500 tax credit that impacts Lucid buyers. To qualify for the credit, your car must be under $55,000. So, there may be some "urgency" in getting your vehicle this year if BBB doesn't get approved in 2022.

"Under the bill, individual taxpayers reporting adjusted gross incomes of $250,000 or $500,000 for joint filers to get the new EV tax credit. It also would limit the EV credit to cars priced at no more than $55,000 and trucks and SUVs up to $80,000."

I'm guessing the income may eliminate a lot of people on this forum as well. But I wonder, if I buy the car today and the bill gets passed and put into place December 31 2022, that eliminates my credit, correct?

 

[Codyroo]

I'm guessing the income may eliminate a lot of people on this forum as well. But I wonder, if I buy the car today and the bill gets passed and put into place December 31 2022, that eliminates my credit, correct?

It depends on when they "make it effective". But, from my understanding, if they pass it this year, it would impact vehicles impacted this year. If they passed it and said it would go effective in 2023, then you would not be impacted. But I think the default is that it would impact 2022.

 

[mnewber1]

I hope that my unwillingness to buy DD Pro doesn't delay me too much...

Despite being an after-market option, Tesla prioritizes orders with Full Self-Driving option for delivery. I hope Lucid doesn't take a page out of that playbook.

It depends on when they "make it effective". But, from my understanding, if they pass it this year, it would impact vehicles impacted this year. If they passed it and said it would go effective in 2023, then you would not be impacted. But I think the default is that it would impact 2022.

I'm all for making America better - especially for EVs - but I hope it takes effect in 2023.

 

[hellolucid]

Just want to throw something out there.....Unless Build Back Better gets amended, there is a caveat on the $7,500 tax credit that impacts Lucid buyers. To qualify for the credit, your car must be under $55,000. So, there may be some "urgency" in getting your vehicle this year if BBB doesn't get approved in 2022.

"Under the bill, individual taxpayers reporting adjusted gross incomes of $250,000 or $500,000 for joint filers to get the new EV tax credit. It also would limit the EV credit to cars priced at no more than $55,000 and trucks and SUVs up to $80,000."

isn't this different from the original $7500 credit? i thought that is still intact for manufacturers up to a certain number of vehicles. My understanding is that Lucid has not met that threshold yet.

the build america better is the one with income and vehicle price requirements.

 

[WildRide47]

isn't this different from the original $7500 credit? i thought that is still intact for manufacturers up to a certain number of vehicles. My understanding is that Lucid has not met that threshold yet.

the build america better is the one with income and vehicle price requirements.

Build back America never got passed because Joe Manchin refused to vote for it, so $7,500 tax credit still intact and no income limits or vehicle cost limits. Dems want restrictions on who can get credits, Republicans want a free market

 

[WildRide47]

Build back America never got passed because Joe Manchin refused to vote for it, so $7,500 tax credit still intact and no income limits or vehicle cost limits. Dems want restrictions on who can get credits, Republicans want a free market

If there were restrictions on tax credits to begin with, Tesla never would have survived and the EV market would have been set back years

 

[WildRide47]

The people on this forum who ordered the Dream or GT editions will probably not be affected whether or not there are restrictions, but I bet it will impact the people who have ordered the Pure or Touring Editions and will decrease the total orders for Lucid and impact the company negatively in the short run.

 

[hellolucid]

Build back America never got passed because Joe Manchin refused to vote for it, so $7,500 tax credit still intact and no income limits or vehicle cost limits. Dems want restrictions on who can get credits, Republicans want a free market

I see. so if this bill were to pass, it would affect the original $7500? i thought they were two separate things.

 

[MPawelek]

It seems to me people that can afford cars in this price range could care less about a tax credit. I don’t……

 

[hellolucid]

It seems to me people that can afford cars in this price range could care less about a tax credit. I don’t……

i don't want to say no to 'free' money.

 

[CLTGT]

I'll take the credit if eligible, but it won't impact whether I buy the car or not.

 

[MPawelek]

i don't want to say no to 'free' money.

I don’t either but if the tax credit is the deciding factor maybe someone should review their budget and buy something more in line with their income…..

 

[WildRide47]

It seems to me people that can afford cars in this price range could care less about a tax credit. I don’t……

I have 2 friends who have orders for the Pure. Both have said to me if they are denied the $7,500 tax credit they will cancel their orders, and look for other alternatives that cost less money. I am sure there are others who feel the same.

 

[mnewber1]

For anyone in Illinois, we qualify for an additional $4,000 rebate. As well as Illinois reimbursing for up to 80% of installation costs for EV charger. For anyone in Naperville (half of you “Chicagoans”), we get an additional rebate as well.

 

[borski]

If there were restrictions on tax credits to begin with, Tesla never would have survived and the EV market would have been set back years

Careful, your politics are showing. “Free market” also doesn’t include limiting it to the first 200k cars per manufacturer, and literally the point of the credit is a subsidy which is the exact opposite of a free market. A “free market” would mean no subsidy at all, and let the EVs and ICE cars battle it out, which neither side actually wants.

They are just different approaches for subsidizing the adoption of electric vehicles, neither of which is a “free market” approach.

 

[Codyroo]

I see. so if this bill were to pass, it would affect the original $7500? i thought they were two separate things.

Correct. As the law stands now, we qualify for the $7500 tax credit. However, if BBB gets passed (in its current form) in 2022, the Lucid would not qualify, as it is too expensive.

I can see both sides of this argument. If you want people in a EV car, giving a $7500 tax credit helps. And it shouldn't matter their income or the expense of the car they choose if the goal is to encourage them to buy an EV. However, the car companies know this and will raise their prices, and then advertise the car with the tax credit to make it seem more palatable. Please note how the Pure will be under $70,000 with a $7,500 tax credit, that's not by accident.

By limiting "cars" to $55k, it is challenging the automakers to keep their EV's at $55,000 or less. I'm not a SUV guy and am annoyed that they will give SUV's a much more expensive limit.

In the end of the day, I'm going to get my Lucid because it is what I want and I can afford it. It would be even nicer to actually get the tax credit too, just sayin.

 

[WildRide47]

Careful, your politics are showing. “Free market” also doesn’t include limiting it to the first 200k cars per manufacturer, and literally the point of the credit is a subsidy which is the exact opposite of a free market. A “free market” would mean no subsidy at all, and let the EVs and ICE cars battle it out, which neither side actually wants.

They are just different approaches for subsidizing the adoption of electric vehicles, neither of which is a “free market” approach.

When I say free market I meant not limiting the credit to $55,000 for a sedan, but $78,000 for a SUV. Why should the government get in the business of influencing people what kind of vehicles to buy.(SUV vs Sedan)That's ridiculous.

 

[borski]

When I say free market I meant not limiting the credit to $55,000 for a sedan, but $78,000 for a SUV. Why should the government get in the business of influencing people what kind of vehicles to buy.(SUV vs Sedan)That's ridiculous.

You’re proving my point. It’s no more ridiculous than influencing whether people buy an EV or ICE car. It’s also no more ridiculous than influencing whether people buy from an old manufacturer (Tesla) or a new one, since Tesla is past its 200k vehicle limit.

It’s a subsidy to encourage EV adoption. Neither side wants a “free market”; they are just approaching the subsidies differently.

 

[idiot900]

When I say free market I meant not limiting the credit to $55,000 for a sedan, but $78,000 for a SUV. Why should the government get in the business of influencing people what kind of vehicles to buy.(SUV vs Sedan)That's ridiculous.

It seems we are veering further off the topic of Lucid cars and into politics. A perfectly valid thing to discuss but better suited to the Off Topic forum.