Federal Tax Credit Phase Out

[barryvo]

I'm thinking of canceling my 2021 due to arrive in Dec or Jan and order a 22 which is expected in Mar or Apr. It looks like Ford has produced about 130,000 electric vehicles

I'm wondering if the 22 arriving in in the second quarter of 22 will qualify for the full credit. It looks probable depending on how many F150 Lightenings are produced this year.

I would still probably need to take delivery in March and not the next calendar quarter.

Does anyone have thoughts on this?

Sponsored

 

[RickMachE]

There are multiple threads on this. Some speculate that after Q2 phaseout will begin.

 

[JamieGeek]

Well considering the fact that no F-150 Lightnings will be produced this year you should be fine.

Lightnings aren't going into production until spring of '22.

 

[barryvo]

I just read they are producing some later this year. I could be wrong though.

 

[JoeDimwit]

I just read they are producing some later this year. I could be wrong though.

They are producing them (F 150 Lightning’) right now, at an incredibly slow rate. But the ones being built now are likely for crash testing and other testing. They are also being used to train the employees that will be building them as this plant is different than any assembly plant ford has ever had. They will likely begin actual production late this year and begin shipping them to customers sometime after new year’s.

None of this is based on anything I’ve been told, it’s all just based on experience in auto manufacturing and personal observation.

 

[barryvo]

I could not find threads on this topic using the search function. I'd appreciate if someone could post a link to one.

 

[ARK]

I just read they are producing some later this year. I could be wrong though.

To clarify something, the tax credit phase out is based on cars sold, not cars manufactured. Ford has said F150 Lightning deliveries begin Spring 2022, which is Q2. So any F150 Lightning production this fall and coming winter should not have an impact on Ford’s tax credit eligibility.

Only when they are sold in Q2 will they count, and if Ford hits 200,000 total EVs sold during Q2 2022, the full $7,500 tax credit would be available until September 30, 2022 based on current law (i.e, end of Q3 2022).

 

[RickMachE]

I could not find threads on this topic using the search function. I'd appreciate if someone could post a link to one.

https://www.macheforum.com/site/threads/fords-tax-credit-availability.1851/

https://www.macheforum.com/site/threads/2022-mme-and-federal-rebate-phase-out.6703/

 

[MachGeo]

If you ordered a Mach E today you’d get the fulll credit. When they sell 200K EV’s, then the next quarter it gets cut down 50%…at best that’s going to be Q3’22…not to mention there are a couple bills likely to pass in the meantime to not only extend, but increase the tax incentive. Basically, I would have zero concern ordering a Mach E in 2021 for atleast a $7509 tax incentive

 

[ARK]

If you ordered a Mach E today you’d get the fulll credit. When they sell 200K EV’s, then the next quarter it gets cut down 50%…at best that’s going to be Q3’22…not to mention there are a couple bills likely to pass in the meantime to not only extend, but increase the tax incentive. Basically, I would have zero concern ordering a Mach E in 2021 for atleast a $7509 tax incentive

You would actually have a little bit more time than that quarter-wise. Let’s say Ford hit 200,000 EVs sold today. The full $7,500 would still be in effect for the rest of this quarter and all of the next one. It is only with the quarter that follows the next one where it would reduce to $3,750, using this example.

 

[Badger_Prof]

Remember that it is 200,000 sold in the US. Sales outside the US do not count toward that limit.

 

[Pushrods&Capacitors]

They are producing them (F 150 Lightning’) right now, at an incredibly slow rate. But the ones being built now are likely for crash testing and other testing. They are also being used to train the employees that will be building them as this plant is different than any assembly plant ford has ever had. They will likely begin actual production late this year and begin shipping them to customers sometime after new year’s.

None of this is based on anything I’ve been told, it’s all just based on experience in auto manufacturing and personal observation.

And the fact that you posted a pic of your MME charging next to 2 Lightnings at the Rouge plant makes no nevermind, right? ?

 

[JoeDimwit]

And the fact that you posted a pic of your MME charging next to 2 Lightnings at the Rouge plant makes no nevermind, right? ?

That picture only proves that I actually can observe the data I claim to have observed. ?

Sponsored