Hello experts!
What are the hackrs thinking of the following deal -
BMW 330e, at MSRP. Given the promotions (Federal of $5,800, State of $1,000 and corporate $1,000) - it can be had at $7,800 below MSRP.
Any stories, from experience, of complexities in getting these federal/state rebates?
Thanks!
I don’t see it on the ChargeUp eligibility list, but I’m not as familiar with the details of that program
https://chargeup.njcleanenergy.com/eligible-vehicles
For Federal EV rebate, IIRC some 330e are built in Germany (not eligible) and some Mexico (eligible). Is it a W VIN?
I tried and couldn’t find one within 500 miles of me … every one that showed up in my search was already spoken for, and ordering would take too long, given that car needs to be purchased in 2022 for federal rebate. I’m in Maine, and the vehicle qualifies for the $1000 state rebate.
I was going of this list -
Thanks for the list. Is it a comprehensive one (if a car is not on it - it’s not eligible) or is an illustrative one? The S60 is, essentially, a very similar car and is eligible.
And yes - need to make sure it’s made in Mexico vs Germany. I checked and verified.
Thanks for the reply - I know, it’s very hard to find one.
Do we know for certain it’s eligible for the federal rebate? Is there a reason it wouldn’t be?
To qualify for the full federal rebate in 23, the battery must be 50% assembled in NA and at least 40% of the critical materials sourced in the US or from a FTA country.
It’s still unknown if any vehicles will meet those qualifications.
Thanks! What about 2022? I’m looking for delivery before the end of the year to make sure I’m not hitting any new restrictions (and some income caps).
For 2022, the transition rule applies as long as the car is produced in Mexico and you take delivery on or before 12/31. So yes to federal rebate.
https://afdc.energy.gov/laws/inflation-reduction-act
For 2023, who knows.
Is there a reason you’re not considering an EV given NJ’s incentives?
The transition rule specifically applies to purchase agreements made prior to the enactment of the IRA
No, it applies for vehicles purchased after 8/16 as well:
Q: What if I purchase and take possession of a qualifying electric vehicle after August 16, 2022 but before the end of 2022?
The only change to the existing electric vehicle credit that takes effect after August 16, 2022 and before the end of 2022 is the introduction of the North America final assembly requirement. Otherwise, the rules in effect before enactment of the Inflation Reduction Act for the electric vehicle credit remain in effect, including the phase-out for manufacturers that have sold over 200,000 vehicles in the United States.
For pure electric and (very slim) potential to find before end of year, only options for them to get federal rebate would be Nissan Leaf or Ford Mach-E, I believe.
The “Transition Rule” is a very specific thing within the IRA. There is IRS guidance that applies to the situation you are describing, but that is not the “transition rule”.
If it’s made in Mexico and you take delivery before year end, you should qualify for the federal rebate. The transition rule should not matter here.
gotcha, thought all guidance regarding 2022 rules were called “transition rule”
There’s a lot more to TCO (total cost of ownership) than the federal tax credit.
EV: up to $4,000 state rebate
No sales tax.
Gas savings
Depending on make/model, lower depreciation
330e:
6.625% tax wipes out much of the tax credit
0.4% supplemental tax above 45k
Gas expenditure due to poor electric range
ICE maintenance
Last but not least
Big time depreciation
Yeah all BMWs have huge depreciation (less so since covid).
No sales tax? I’m in CA and never heard of it. Perhaps a GC 4xe makes more sense financially than Leaf if delivered this year?
Certain states offer the no sales tax on EVs. California is not one of them.
Sales tax exemptions and rebates are state-specific.
NJ’s structure heavily incentivizes EVs over PHEVs.