Maryland EV Tax Credit

[forbs]

For cali base is the price at the top before options and destination

[stki]

Checked with MDOT again, they confirmed it is the base price.

Thank you!

[thewevel]

I’m moving to MD this weekend and I’ll need a car in July. Is this credit something the dealer will handle or am I going to have to shake down the state for my money?

Not sure which car, the $50k cap is pretty limiting.

[desi4life]

If the 50k limit is off the sticker price listed then it definately is limiting, i was considering hyundai ioniq 5, went throught a test drive of what all I considered to be on the list (id 4, ioniq 5, bz4x, mach-e, ev6) and def thought ioniq 5 and ev 6 are more refined and felt car like ev then all others…mach-e was good too but thought it was bit smaller than the others…the problem i have now is making sense of the #'s and getting a good deal…i can’t quality for the 7500 but if there is a good lease option then maybe use that and combine with this tax credit and get a 50k car for 40k or something but i can’t get the math to work out…

[max_g]

@desi4life

but if there is a good lease option

Has anyone found a workaround in MD for 6% tax on selling price at lease inception + 6% tax on the buyout?

[desi4life]

dont know, i didnt even know that its double taxed…i thought that since you are taxed during your lease it would just be considered when you do a buyout

seems like there is no double tax, see these posts

Maryland buyout tax

Edit: was able to create a new topic after posting this question here Maryland Tax & Title Company Recommendations for lease end buyout titling/registration? Can someone recommend a Tag and Title company in MD (close to Baltimore, preferably) that can handle the lease buyout re-titling and registration? A few places I’ve called either have no idea how to handle this, or want to charge me more excise tax (the MVA has told me no excise tax should be required because it was paid up front on the …

Maryland Tax & Title Company Recommendations for lease end buyout titling/registration?

So, I’ve gotten my Honda lease buyout completed from Honda Least Trust directly, and have the Bill of Sale, Lien Release, etc in hand. Now, since the vehicle administration office (MVA) appointments are several weeks out, I’ve been trying to find a licensed Tag and Title office that can handle the titling, registration, and transfer of tags for me. Unfortunately, the few that I’ve talked to either have no experience handling the lease buyout titling, or want to charge me sales tax on the negat…

[stki]

If you visit the link in the post, you’ll see a VR-334 form you’ll fill out with your dealer to mail it to MDOT. MDOT then gives you a credit for the excise tax you paid on the vehicle maximum of $3,000. However, I am unsure how long the process will take.

[stki]

50k limit narrows down to few cars. However, the limit is based on the base price on the sticker price. So, to my understanding, you can get a Mustang Mach-e preimum AWD listed at $49,550 and add options such as extended battery ($7,000 extra). You will still be eligible for the tax credit.

Anyone please feel free to correct me if I am wrong!

[max_g]

@stki

So, to my understanding, you can get a Mustang Mach-e preimum AWD listed at $49,550 and add options such as extended battery ($7,000 extra). You will still be eligible for the tax credit.

Whether you should is another question.

[stki]

hahaha like any decisions.

[desi4life]

i am thinking about ioniq 5 SEL AWD, based on reviewing msrp on hyundai’s website, when i build the vehicle the SEL base price with RWD is below 50k but when I add the option of AWD it goes over the 50k limit, however if i am reviewing the same vehicle on a dealer’s website and viewing the window sticket it does not show this breakdown and it shows the msrp as 50k+ for the AWD, i am wondering if this would work or i’d be rejected…any thoughts?

[max_g]

@stki

hahaha like any decisions.

Couple things to consider

1. As an EV owner I’d say EVs are not generally ready to be roadtrip cars yet. Save the money and drive within a round trip radius of your home. Use a ICEV in your household for trips or rent.

2. Options don’t do as well on the resale market as trims do. An Audi Q5 Premium will always be valued as a Premium trim, no matter what options it has to make it almost as well equipped as a Premium Plus. Same goes for the Ford MME. There’s a real danger the $7,000 option gets very little value at resale time.

[IAC_Scott]

@max_g

Has anyone found a workaround in MD for 6% tax on selling price at lease inception + 6% tax on the buyout?

It was my understanding that as long as the named lessee buys it out, they don’t pay tax again.

https://mva.maryland.gov/about-mva/Pages/info/27300/27300-30T.aspx

[parkville]

I think Model Y may qualify.

Model Y has a crazy breakdown; something like the base price is $40k and the long range AWD option is $10k.

Go down on the MVA link and and click on FAQ. They give “Model XYZ” as an example and it has a freight fee of $1390. Suspiciously specific.

[parkville]

They changed the law a few years ago. No more excise tax on lease buyouts. i.e., no more double taxation.

[aronchi]

i think the consensus from this thread is that this is a horrible state.

[DistrictCars]

Very accurate statement

[desi4life]

answered my own question, it seems the FAQ is updated here with explanation of how to know the base price so seems like only ioniq 5 that would qualify is the SE model and SEL RWD all others have base msrp over $50k, its kinda weird that hyundai has the configurator on their website setup as AWD an option but on the sticker they list it as included…guess hyundai is off the list now…

https://mva.maryland.gov/vehicles/Pages/27300-71T.aspx

[qbirdee]

Since the lease tax is typically rolled in to the monthly amount due in Maryland, does the monthly rate not change? So we just get the full tax amount back, it isn’t waived off the monthly amount due?

Also, anyone get the tax credit back in Maryland yet, I’m curious how long it takes.

Thanks in advance for clarifying!