2023 IRA EV/PHEV Lease Credit "pass-through"

You said you were going to buy it out, so who cares if you put $100 or $200 monthly down toward Depreciation. It makes no difference.

Only 3rd party leasing companies that are contracted with certain dealers will use Ally or US Bank may do a lease. Most Ford dealers don’t.
Some credit unions will also do their own leases.
Only a few will pass the $7500 credit under IRS 45W.
Best bet on a Lightning is to use Ford Options ( lease w/ finance benefits) to claim the $7500 on your taxes assuming you don’t make too much money…

“only a few”… Ok but which few? That’s what I’m trying to figure out here. I’m honestly not the only person who wants to know this. If it can be figured out then this opens up Ford vehicles to bypass the restrictions on personal purchase. And seeing how there’s only 1 configuration that will come in under the $80k mark, I’m betting a lot more people than we know of will want to take advantage of this.

Both ally and us bank have my dealership listed in their lookup tool. I haven’t yet contacted my dealer as I’d like to go into the situation with as much knowledge as possible and something to negotiate against if I can.

Often dealers that ally and us bank list as affiliated will use them for financing, but not necessarily for leases.

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I have been a bit confused on how the lease credit passes on for a lease. Please correct if I am wrong. I assume if the bank is passing on this credit, it will itemized as a a cap cost reduction only?

They can pass it several ways.

  • Incentive
  • MF Change
  • RV Change
  • Nothing at all.

Remember that they got paid $7500 from the Government as a business Purchase of an EV or PHEV type. They don’t have to ‘pass anything’ to the consumer.


I assume taxed or untaxed incentives depending on state.
mF markup
RV would be at the bank level and not the dealership level?
Nothing at all, ahh classic favorite.

Correct me if I’m wrong here in my understanding?

MF Markdown…lol Get a rebate and MarkUP the MF.
RV is at bank level, there is no such thing as Dealership level of RV.

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do you know of any chevy dealers that will do a lease thru us bank with a $7500 pass thru credit?

I don’t know much about US Bank pass thrus

Us bank typically doesnt pass through the credit. At least they dont on cdjr products.

Does anyone know if ally is passing credit for cx-90?

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From a link in this thread I was able to poke around with Ally’s NetQuote reporting tool. Based on the options that can be selected it only appears that Niro PHEV models are being considered, and I probably input a Finance Reserve number that’s way lower than dealers would actually use (2.00).

They should throw better rates and more incentives at leases then. :slight_smile:

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Give us the missing $2500 on the Niro EV then!


Anyone know what the deal is with Toyota leasing? Are they offering capital reductions? In particular I’m interested in the RAV4 Prime PHEV. TIA.

Did you find the answers you were seeking? I’ve been working on an i4 eDrive40 purchase which is offering a $3500 pass through as opposed to $7500 for the eDrive35.

It’s my understanding so far that immediate and contractual costs to early lease buyout from BMW Financial Services (lessor) is $995 for Lease Acquisition fee + $300 Purchase Option Fee when you buy out. There should be no disposition fee if you’re buying it. Depending on the state’s lease tax rules there could be double payments there, and same with registration.

BMW FS offers you a lease buyout option on your online account, days after the lease starts, and your first written lease bill that’s mailed to you will include that buyout option from then on. At least that’s the most up to date information people who are talking about it on the i4talk forums have described it. And there is a detailed line on their lease buyout that discounts the “Unearned Amount” in the buyout calculation, that should represent all the lease rent you do not owe because you bought out early. Please let me know if you have more experience about this now, and can confirm what I just wrote.

General question about an immediate lease buyout in California. I’m considering a BMW i4 eDrive40 lease to capture the $3500 lease rebate.

I’ve determined there is $995 lease acquisition fee and $300 purchase option fee. Called BMW FS to confirm I can buyout lease immediately with no other penalty and that the unearned lease rent cannot/will not be charged to us. No disposition fee since we’d be keeping the car. Confirmed that the lease buyout would be between ourselves and BMW FS with no weird requirement to initiate it through a dealership as is the case for some companies, so no bogus inspection fee or dealership processing fees.

In CA I wouldn’t pay tax twice, to my knowledge. So my benefit to going through the trouble of initiating a lease is $2205 minus the rent earned on the first lease payment which occurs at signing and delivery of vehicle. What other costs will shave down the savings if I bother to lease? I assume we have to pay registration ($64) a second time? What about smog and other new vehicle transfer fees paid to state? At this point it’s under a $2000 savings, but still would do it if others can confirm that there are no other hidden costs to lease and then immediately buy it out.

I suppose I save sales tax ($3500 x 7.75% = $271.75) as well right, because the $3500 is taken off the Adjusted Capitalized Cost? Any other weird considerations like the fact that it would be a B title instead on an A title having been owned for a month by BMW FS? We plan to keep it for 10 years+, hopefully.

IMHO difficult to say anyone can keep an EV for 10+ years. The battery and charging tech evolves so quickly that I personally would only lease EV cars