Taycan possibly no longer eligible for tax rebate under new proposal?

[PanameraFrank]

If the rebate gates your decision in the US, then you probably shouldn’t be buying a $100k+ car in the first place.

The luxury car high horse! I'm so sorry sir that I don't meet your criteria for being an exclusive Taycan owner, where should I return my car to?

The $7,500 tax rebate is valuable for a number of reasons. For people that have the budget for a car in the $110-120 range it makes the Taycan much more doable. Getting an EV with a low interest rate and getting $7,500 cash back in the near future allows a lower monthly expense than that of an ICE at the same price bracket.

Believe it or not some people can afford a 120k car but decide a 130k car is too much. It's the same as some people can buy a 20k car but a 30k car is too much, the only difference is you're getting into an income bracket of snobbery.

No manufacturer is going to lower their prices if the rebate goes away, least of all Porsche. So a less expensive Taycan is just a better Taycan.

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[Miwa]

No manufacturer is going to lower their prices if the rebate goes away, least of all Porsche.

This is untrue. GM decreased the effective price of the Bolt via a rebate when the incentive ran out, and Tesla has lowered prices similarly.

 

[whitex]

Early Model S buyers weren't buying because of the incentive (especially given the car was still $30k more than anything comparable, given how shitty the interior was and lack of anything luxury)

You are wrong there. Early Model S buyer here, and Tesla forum participant. Plenty of people bought early Tesla because of the incentives. For me, I would have never bought my first EV if it was not for the incentives. My first Tesla was a Model S60, which costed $69K before incentives, and had $7,500 federal and $6,900 state incentive (no sales tax). That made it similar to an ICE car I was going to buy (IIRC it was going to be a Lexus), so I decided to take the plunge into uncharted territory of EV's. The logic was that if it didn't work for me, at least some of my losses were offset by the incentives. The incentives also helped when deciding to buy more, while adding to the used EV market for people who could not afford new. Oh, and while I bought 4 Teslas with the incentive, I bought 0 since all the incentives expired. Awaiting a Taycan with the incentive right now.

 

[f10tt]

As somebody that used to write infrastructure and vehicle policy at a very high level in GOV...this isn't happening anytime soon.

 

[rich_r]

This is untrue. GM decreased the effective price of the Bolt via a rebate when the incentive ran out, and Tesla has lowered prices similarly.

Yep. My take on it is that manufacturers are very careful in how they price vehicles. If you don't believe me, look at Porsche's options list. They have decided to make folding mirrors a $300 option on an 85k+ car (so have determined that making it std and rasing the price by a few hundred would cost them sales). The current MSRP in the US market takes the incentive into account I'm sure. IF it goes away, Porsche will re-evaluate pricing. Maybe they determine the market will bear a $7500 increase on all Taycan models....but I"m guessing not. As someone else said, maybe they'll decide to leave the MSRP as is, but introduce their own "EV credit".

 

[plamichigan]

https://electrek.co/2021/09/11/dems-propose-new-electric-car-rebate-tesla-disadvantage/

The headline is all about the disadvantage Tesla has (due to being non-Union, what a bullshit way to dish out rebates...)

But the relevant part for all of us: they propose limiting the car value too:

• Sedans under $55,000
• SUVs under $69,000

Who knows whether this survives, and if it does how long it takes to take effect.
But with the supply constraints as they are, if you order a Taycan now it may take a while to get it as well...

So I just wanted to share this in case somebody is on the fence and the rebate meaningfully impacts their decision.

See my separate post. The "infrastructure" bill that passed in early November is not the same as the "big big spending bill" that has changes to the purchase tax credit.

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