Good Bye $7,500 tax credit!

[bergs]

Yeah well if they can’t do the deal, as much as I want it to happen it’s not happening. Rivian and lucid on the other hand are emailing customers offering them to make $100 of their deposit binding in order preserve the transition rule eligibility before bill is signed for the next ~16 months. Oh well.

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[O2TheL]

Of course, and I mentioned that.

Why I find the idea of US citizenship bittersweet!

Which is why I'm brit living in the US on my 3rd Green Card now.

 

[EJM22]

For the US. Does eveyone when you put in your order to purchase (Motor Vehicle Special Order Agreement) the vehicle (not deposit for allocation) sign a purchase agreement? Wouldn’t that suffice?

 

[NewPdude]

I mean whats the rush. Your about to take delivery and pickup anyways and qualify well before the cut off date.

They obviously think as soon as the law is signed its in effect… could be as early as Friday…

 

[Kaytan]

I emailed my SA about this, here's his response:

"About the new tax law. We’re not sure how this is going t play out until it passes congress.​

Some say it takes effect as of January 1st, some say it takes effect once the president signs it.​

But there might be situations where ordered cars are still getting the credit. We’re just now sure.​

You have a purchase agreement showing you ordered the car. But it might be necessary to have a purchase agreement from the time you did the contracts.​

Which is usually a week before pickup at Porsche LA Center. Once we are sure about the exact rules, we will communicate this to our Taycan clients."​

Looks like PCNA didn't provide their dealers any official guidance yet...

 

[fgwinn]

I emailed my SA about this, here's his response:

"About the new tax law. We’re not sure how this is going t play out until it passes congress.​

Some say it takes effect as of January 1st, some say it takes effect once the president signs it.​

But there might be situations where ordered cars are still getting the credit. We’re just now sure.​

You have a purchase agreement showing you ordered the car. But it might be necessary to have a purchase agreement from the time you did the contracts.​

Which is usually a week before pickup at Porsche LA Center. Once we are sure about the exact rules, we will communicate this to our Taycan clients."​

Looks like PCNA didn't provide their dealers any official guidance yet...

Anyone who does not have a written binding contract to purchase by tomorrow can forget about the $7500 tax credit for a Taycan (or any other EV not made in North America).

Fisker, Rivian, and Lucid acted quickly to give their customers a chance to upgrade pre-orders to binding contracts. MB and Porsche are buried in too much bureaucracy to figure out what to do to help customers lock in the tax credit before Biden signs the IRA act into law.

 

[AV7]

I follow the Rivian group on FB. A poster just put up his email he received from Rivian. They are offering a written binding contract for him to sign ($100 of his $1,000 deposit is non-refundable upon signing) to preserve his tax credit. Photos from Rivian FB Group from Kevin KJ.

Had the same for my Lucid order, so is this a loophole?

 

[whan]

Seems like it - since the bill language just says "binding contract", I suppose the thought is that a non-refundable deposit makes it binding, in the sense that you are obligated in some capacity because you will not get your deposit back.

"after December 31, 2021, and before the date 2 of enactment of this Act, purchased, or entered into 3 a written binding contract to purchase, a new qualified plug-in electric drive motor vehicle (as defined in 5 section 30D(d)(1) of the Internal Revenue Code of 6 1986, as in effect on the day before the date of enactment of this Act), and"

 

[TieCon]

From other posts it seems like the technicality will be if the order demand fits the rules for the transition period. To my knowledge it hasn’t been decided upon as to what exactly will qualify. V070 status and the documents we sign technically isn’t a binding document. But I’m sure the dealer would be more than happy to make it so if that’s needed.

 

[babaloo]

Here is some official news re: 7500 tax credit (attached from PCNA). I am told that my deposit counts as a 'binding contract'

let's hope

 

[TieCon]

Here is some official news re: 7500 tax credit (attached from PCNA). I am told that my deposit counts as a 'binding contract'

let's hope

Thanks for this. I am going to forward to my SA and see what they say. Not sure if it will in a sense default with initial paperwork, or it needs to explicitly state it's a binding contract to purchase.

 

[MatrixBlind]

What happens if someone gets into a binding agreement today before Biden has signed... Are they eligible for the the credit

 

[Kaytan]

What happens if someone gets into a binding agreement today before Biden has signed... Are they eligible for the the credit

Yes, that's what the transition rule says.

 

[TieCon]

Yes, that's what the transition rule says.

The big question is what will be considered a binding contract. Will dealers do this?

 

[babaloo]

The big question is what will be considered a binding contract. Will dealers do this?

My dealer said the deposit binder will work ..

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