I hear the Lyriq is not eligible for the $7500 tax credit but can’t find an answer why. When I Google the question various reputable sources say it is eligible. Thoughts?
GM inflates the RV by 7500 instead of giving you the rebate.
On a lease, GM Financial distributes the credit in a different way. The leasing bank gets the credit, not the lessee. Most banks will give the lessee the credit as a rebate of some sort but GM Financial has moved to a model where they use that $7,500 to increase the residual value of the vehicle. The net result is basically the same for you as a customer, unless you were planning to do a buyout. Passing the money to you in the form of a residual enhancement saves taxes in states where rebates are taxed as well.
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That model also deters people looking to bury negative equity
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Do banks have a strong incentive for being unappealing to those looking to bury negative equity (as in, filtering out people who might be at higher risk to default)? Genuine question.
I guess what I’m fundamentally asking if is anyone knows if that line of reasoning weighed heavily into the decision to pass on the credit as a RV bump.