It needs 60 votes in the Senate to pass.
2 Likes
Agree this is how it should work, but in recent years there have been several retroactive tax laws passed including passing the law AFTER the tax year is closed. Its really not fair. It has made tax planning an oxymoron.
BTW I follow your comments as borderline gospel. Admitting you got 1 out of 99 wrong is incredibly rare, and further proves worthy of following 
“Plans are useless. Planning is everything”
2 Likes
I was reading an interesting discussion on supreme court rulings in regards to ex post facto tax laws and some of the potential untested constitutional arguments of it violating the taking clause under the 5th amendment. These sort of things always highlight what a cluster some of our laws are.
The irony in this particular situation is that the only reason this particular bill even exists is because the dept of treasury has already violated the law by not putting out guidance by Dec 31, when it was legally required to be released. I would much rather see Manchin directing his frustrations towards holding someone liable for that.
2 Likes
May be applicable here
Sorry if answered elsewhere but… Anyone thought about buying out their own EV lease and trying to qualify for the Used Clean Vehicle Credit? https://www.irs.gov/credits-deductions/used-clean-vehicle-credit
My 2020 Ioniq would qualify in terms of value but not sure whether I would fail on the basis that I was counted as the ‘original owner?’
You’re the first party on the lease agreement.
1 Like
I think my wife could buy it out. When you buy out a HMF lease it is sold by the dealer so I assume that will qualify. Everything else looks like I could qualify.
Does anybody know if there is a limitation on how many EV tax credits one can obtain in a given tax year under the IRA? I’m almost positive I saw language in the bill that limited it to one (1) $7500 credit per tax year but now I can’t find it, nor can I find it in other forum posts. The IRS website doesn’t appear to have this information either.
The limit is on used evs
1 Like
Saw this on a dealers site for a Pacifica hybrid - it’s not clear but I’m assuming these $7500 credits don’t stack and one is for lease and the other for purchase??
100%. Stacking unstackable rebates is a typical dealer BS.
2 Likes
So Rivian just sent an email update regarding the IRS guidance and looks like pre-August 16th orders might be eligible for the $7.5k even if delivery takes place after 12/31/2022:
The IRS has released guidance on how taxpayers with valid written binding contracts signed on or before August 15, 2022 can claim the original EV tax credit—without restrictions on vehicle MSRP, buyer income, and manufacturing requirements—even if they don’t take delivery of the vehicle until 2023 or later.
To claim this credit, you can use Form 8936. Here are the Instructions and IRS Guidance.
*Please note two key considerations:
*From the Guidance: “To elect the credit under the prior rules you must elect the credit on your 2022 tax return after you take delivery of the vehicle. Depending on the date the vehicle is delivered, you can claim the credit on your original, superseding, or amended 2022 tax return.”
*From the Instructions: “Taxpayers who took delivery in 2023 or after must use August 15, 2022 as the date placed in service when filing out Form 8936.”
1 Like
Rivian is American made right? It wouldn’t have too much issue considering the IRS updated 30D in Feb 2023 to cover the full $7500, no ‘binding agreement’ needed.
The only rule I can think of is the Income rule that you need to use 2022 rules.
Bingo! I can also see MSRP limit impacting certain configs. This should also help Lucid as their sedan was over the MSRP limit even for the cheapest config, maybe that $300 is not a total loss after all…
Income rule is probably the most common restriction when you are looking at $70k+ vehicles.
This is big. I think the key is the removal of “, and before January 1, 2023” from the text.
The old language:
If you entered a written binding contract to buy a vehicle before August 16, 2022, but took possession on or after August 16, 2022, and before January 1, 2023, you may claim the credit based on the prior rules and disregard the assembly requirement.
If you purchased a vehicle between August 16, 2022 and December 31, 2022 but don’t take delivery of the vehicle until 2023, see Credit for New Clean Vehicles Purchased in 2023 and After.
The new language:
If you entered a written binding contract to buy a vehicle after December 31, 2021, and before August 16, 2022, but took delivery on or after August 16, 2022, you may elect to claim the credit based on the prior rules. To elect the credit under the prior rules you must elect the credit on your 2022 tax return after you take delivery of the vehicle. Depending on the date the vehicle is delivered, you can claim the credit on your original, superseding, or amended 2022 tax return.
If you purchased a vehicle between August 16, 2022 and December 31, 2022 but don’t take delivery of the vehicle until 2023, see Credit for New Clean Vehicles Purchased in 2023 and After.
Looks like I’m going to claim 3 EV credits in 2022.
Looks like someone got their hand slapped for trying to make up laws
1 Like
Most Lucid or Fisker “Binding Contracts” took place after Aug. 16th, which would still see them excluded from this langauge.
Looked back and I “bound” my lucid contract on 8/10
2 Likes
No they didnt. They were rolled out specifically to meet the Aug 16 deadline.
1 Like