It's officially tax time are people going to claim the tax credit from the expired version of the tax code?

[mon40]

I put down a deposit and made it nonrefundable before the credit went away. The Dealership is staying mum on thie.

Mark

If you bought a new, qualified plug-in electric vehicle (EV) in 2022 or before, you may be eligible for a clean vehicle tax credit up to $7,500 under Internal Revenue Code Section 30D.

The credit equals:

• $2,917 for a vehicle with a battery capacity of at least 5 kilowatt hours (kWh)
• Plus $417 for each kWh of capacity over 5 kWh

The maximum credit is $7,500. It is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.

 

[idiot900]

Yes, I am going to try - since the transition rule in the text of the Inflation Reduction Act allows me to say that the date the car was put into service was the day before the Act was enacted, and therefore the old rules apply. Though the IRS guidance on the transition rule is not clearly worded. However, as many, many pages of posts here show, there is considerable debate on the matter.

If the IRS does not agree with me, I'll pay them the $7500 plus penalty.

 

[Alexd757]

I’m working with TurboTax and attempting to enter the tax credit. Despite my date of purchase being when I finalized the order back in early August, it stated I entered an invalid VIN number as not qualifying. I picked up the car on 12/21/22. Anybody else having issues with this credit thing?

 

[varunr82]

I’m working with TurboTax and attempting to enter the tax credit. Despite my date of purchase being when I finalized the order back in early August, it stated I entered an invalid VIN number as not qualifying. I picked up the car on 12/21/22. Anybody else having issues with this credit thing?

I am working with a CPA and he mentioned I have the same issue. Mine was purchased on December 29th 2022. Not sure how to get the credit. We're you able to make any progress??

 

[Okie]

I put down a deposit and made it nonrefundable before the credit went away. The Dealership is staying mum on thie.

Mark

If you bought a new, qualified plug-in electric vehicle (EV) in 2022 or before, you may be eligible for a clean vehicle tax credit up to $7,500 under Internal Revenue Code Section 30D.

The credit equals:

• $2,917 for a vehicle with a battery capacity of at least 5 kilowatt hours (kWh)
• Plus $417 for each kWh of capacity over 5 kWh

The maximum credit is $7,500. It is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.

I paid for my GT the end of September and took delivery in early November. Do I qualify for the $7,500 credit on my 2022 taxes?

 

[xponents]

I paid for my GT the end of September and took delivery in early November. Do I qualify for the $7,500 credit on my 2022 taxes?

Easily.

 

[OCGeoSke]

I’m working with TurboTax and attempting to enter the tax credit. Despite my date of purchase being when I finalized the order back in early August, it stated I entered an invalid VIN number as not qualifying. I picked up the car on 12/21/22. Anybody else having issues with this credit thing?

I used my actual delivery date (12/30/22) and had no problems with Turbo Tax on the credit.

 

[idiot900]

I am not a tax professional and I could be wrong here! But here is what I did.

In TurboTax, I said that both my purchase and delivery date were the day before the IRA was enacted (as per the transition rule written in the Act). That resulted in TurboTax filing out Form 8936 the way I would have done it by hand. The purchase date appears to be used by TurboTax for some other check related to the new credit and the delivery date is what's used on the form.

TurboTax does not seem aware of the nuance of the transition rule that has been discussed to death here, since there are probably very few people who ordered a car before the IRA and took delivery in the following calendar year, who would otherwise have been eligible for the old credit (i.e. not Tesla).

Again: I'm very much a tax amateur and just reporting my experience. Not giving advice.

 

[DJL]

I am. It's been cleared by my CPA who I have worked with for 26 years. So I am confident it will fly with the IRS.

 

[HC_79]

I put mine through TurboTax with no issues. My purchase date was April 15th before the bill was signed though.

 

[chachacha]

Anyone had luck with the 7500 EV credit if you "purchased" by Aug 30 but are taking delivery in 2023?

 

[Bus Driver]

Do our Air GTs qualify for the EV federal tax credit? According to TurboTax they do.

Asking for a friend…

 

[idiot900]

Anyone had luck with the 7500 EV credit if you "purchased" by Aug 30 but are taking delivery in 2023?

It hasn't been long enough for the IRS to decide whether the transition rule language that seems (to me) to allow the credit, actually allows the credit.

 

[Shuasha]

Rivian seems to think that “confirming” the order before the bill was signed qualifies now based on new IRS guidance.

https://www.reddit.com/r/Rivian/comments/11m9sgf

Ev credit for Rivian with binding contract update email

The IRS has released guidance on how taxpayers with valid written binding contracts signed on or before August 15, 2022 can claim the original EV tax credit—without restrictions on vehicle MSRP, buyer income, and manufacturing requirements—even if they don’t take delivery of the vehicle until 2023 or later.

To claim this credit, you can use Form 8936. Here are the Instructions and IRS Guidance.

Please note two key considerations:
From the Guidance: “To elect the credit under the prior rules you must elect the credit on your 2022 tax return after you take delivery of the vehicle. Depending on the date the vehicle is delivered, you can claim the credit on your original, superseding, or amended 2022 tax return.”
From the Instructions: “Taxpayers who took delivery in 2023 or after must use August 15, 2022 as the date placed in service when filing out Form 8936.”

 

[Sam6062]

I paid for my GT the end of September and took delivery in early November. Do I qualify for the $7,500 credit on my 2022 taxes?

I believe you should.

 

[Sam6062]

I put mine through TurboTax with no issues. My purchase date was April 15th before the bill was signed though.

Yes mine is June 10th 2022 at the latest but have not filed my return yet. Better not be an issue

 

[Babyrocko1908]

Rivian seems to think that “confirming” the order before the bill was signed qualifies now based on new IRS guidance.

https://www.reddit.com/r/Rivian/comments/11m9sgf

Ev credit for Rivian with binding contract update email

The IRS has released guidance on how taxpayers with valid written binding contracts signed on or before August 15, 2022 can claim the original EV tax credit—without restrictions on vehicle MSRP, buyer income, and manufacturing requirements—even if they don’t take delivery of the vehicle until 2023 or later.

To claim this credit, you can use Form 8936. Here are the Instructions and IRS Guidance.

Please note two key considerations:
From the Guidance: “To elect the credit under the prior rules you must elect the credit on your 2022 tax return after you take delivery of the vehicle. Depending on the date the vehicle is delivered, you can claim the credit on your original, superseding, or amended 2022 tax return.”
From the Instructions: “Taxpayers who took delivery in 2023 or after must use August 15, 2022 as the date placed in service when filing out Form 8936.”

I wrote a lengthy post about this on Christmas Eve on the tax credit thread. The 2023 Touring & Pure folks will qualify for the credit PROVIDED they had a written and binding contract PRIOR to the passage of the IRA. The new IRA rules don't apply to written and binding contracts prior to it's passage. I said Lucid was wrong about this and I stand by it.

 

[idiot900]

I wrote a lengthy post about this on Christmas Eve on the tax credit thread. The 2023 Touring & Pure folks will qualify for the credit PROVIDED they had a written and binding contract PRIOR to the passage of the IRA. The new IRA rules don't apply to written and binding contracts prior to its passage. I said Lucid was wrong about this and I stand by it.

I filed my taxes already and received the credit, consistent with your interpretation of the transition rule. The IRS sent me a refund including the credit and the money is in my bank account right now.

 

[Bobby]

I filed my taxes already and received the credit, consistent with your interpretation of the transition rule. The IRS sent me a refund including the credit and the money is in my bank account right now.

Me too exactly (car delivered in 2022 so a bit easier).

 

[Babyrocko1908]

I filed my taxes already and received the credit, consistent with your interpretation of the transition rule. The IRS sent me a refund including the credit and the money is in my bank account right now.

Same. I filed three weeks ago and got my refund recently using the method outlined in Rivian's email. I hope Lucid contacts folks who canceled to encourage them to reinstate their contracts. What a mess!