Revised EV tax credits possible
Larry I
https://www.thedrive.com/tech/43006/revised-ev-tax-credit-could-discount-electric-trucks-costing-up-to-80000
The Rivi Era
Disappointed to see the lowered income caps in the latest proposal. Families earning more than $500K may be considered well-off, but they will still make rational ICE/BEV vehicle choices dependent on whether they can access the up-to-$12,500 EV tax credit to tip the scales toward BEV.
Reactions: RayzorBEV and RivianDoc
eHauler
Not sure if I can agree with not including the +$250k bracket. Also the sedan cap should be raised:
Now, this language isn't final and it's been changing somewhat frequently. That said, the potential effect of this change translates into a $12,500 discount for large, more expensive vehicles. On the flip side of this, the income levels necessary to be eligible for the credit have gone down. If one's individual income is above $250,000 or their household income exceeds $500,000, they no longer qualify for the incentive. This is down from $400,000 and $800,000, respectively.
The $55,000 cap for sedans has stayed where it is, effectively making smaller, more expensive cars less attractive from an incentives standpoint. Combine this relatively low price cap for sedans with the aforementioned provision reducing the credit by $4,500 for non-union-made EVs, plus a discount of $500 for having American-made batteries, and expensive, foreign-built sedans are getting hit the hardest here. It also doesn't help that all EVs made outside the U.S. after 2027 wouldn't be eligible for any credit whatsoever if the act passes in its current form.
Needless to say, internationally based automakers are not happy about this. Reuters indicates several foreign countries who export vehicles stateside have written to protest the act's text, including South Korea, Germany, France, Italy, Japan, and more. Non-unionized domestic automakers like Tesla and Rivian are upset, too, and a company like Lucid, which isn't unionized and makes no vehicles besides sedans above $55,000, would currently receive little if any of the credit despite being an American company building EVs in Arizona.
JimmyEV
eHauler said:
How many electric sedans currently qualify under this cap of $55,000?
NY_Rob
The Title and registration on my Model Y both classify it as a "SUBN" so that car is in the clear regarding the $55K limit.
camaroz1985
Rivian R1T (Adventure - CR, BM, 21", Ordered 10/5/2021, Delivered 6/24/2022), Suburban 2500, VW ID.4
NY_Rob said:
What is a SUBN? The registration for my Suburban 2500 has it classified as SW for station wagon....
"SUBN" is short for Suburban on my Model Y New York State Title and NYS Registration docs. Just like "Pass" is short for Passenger vehicle, LTR = Light Trailer, etc...
The important part is... "SUBN" puts the Model Y in the SUV category for the Fed tax credit.
Timbuk2000
Full Tax credit max MSRP now $80K.
RivianDoc
R1S LE in LE Green & Forest Edge (8/14/2019 Preorder) Oct-Dec 2022 Arrival
Timbuk2000 said:
But still with income limits for eligibility?
Is it any vehicle?
AGI; $250K for single filers, &500 K for joint filers for the FULL $12,500 credit.
I wonder if they will let me purchase the dark wheels outright and install them before they deliver it? Would then take me to under 80.
Reactions: Rcp900
Hopefully the credit is calculated using the base vehicle price. That's probably up to the IRS to define.
I would also be interested in this if it's an option.
Rcp900 Dec 28, 2021