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?
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).
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.