2 names on title to get Fed $7500

Looking to purchase an Ioniq5 but don’t pay enough in taxes to get the full $7500 US tax credit. However my son, who lives in the same community, would qualify.

I am thinking of putting the title in both our names or just his (NY would allow us to register in just my name even if I am not on the title) as a way to get the full benefit of the credit. If it is registered just in my name and I insure it (I always keep him as an additional driver on all our vehicles, we do a lot of swapping back and forth) are there any gotchas with this scenario?

Other than Fraud?

It’s my understanding this would only work for a married couple filing joint.

Not sure what the fraud is but here is another scenario…
Son buys the car, claims the credit on his taxes and then gives me the car (transfers between parent and child are not taxed in NY).

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I agree, that the taxes would likely need a joint filing (typically married as well) in order for this situation to work.

It’s not technically a straw deal (fraud) because you aren’t misrepresenting who the owner/operator is for the sake of securing financing (e.g. son has terrible credit so leasing in your name).

It’s a better question for your CPA and what they will will sign their name to and defend if you get audited. The (small f) fraud here is you’re son is on the title just so his tax burden makes someone eligible to claim the tax credit — I don’t think Internet strangers are best suited judge if that is allowable in your situation, unfortunately.

My point is, why go thru all this trouble…

If your son just buys it, claims credit & you can be the authorized driver on the insurance.

Just enjoy the car without creating extra issues.

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Right, this is a cash deal

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And his son’s insurance premium goes up for no good reason.

The tax-free sale between family members sounds like a better idea unless I’m missing something.

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Like if it was under his name alone he won’t be paying insurance?

It’s obvious that the insurance will have to paid either it’s under his name or his son’s name & he’s added as an authorized driver.

The difference probably negligible. According to OP they live in the same community so i don’t think the rates would be that different.

& They obviously have no issues commingling their finances to get the credit.