How many got screwed on the tax credit? [ADMIN WARNING: NO POLITICS]

[McQueen]

If you bought in 2024, the only one to blame is yourself, it was widely publicized that the Mach-E no longer qualified. The IRS website clearly showed (and still does) that the Mach-E didn't qualify any longer as it is not on the list. In addition, many other sources explained this including Ford's website. The requirements to get the tax credit push to get battery production and raw materials FROM THE US over time, each year increasing percentages. The Mach-E wasn't able to meet the 2024 requirements (whereas the Lightning was). With Ford's new battery plant, assuming the credit wasn't killed like it was by the OTHER PARTY, the Mach-E likely would have qualified for the full tax credit starting in 2025. Now, no vehicle qualifies after 9/30/25.

https://electrek.co/2023/12/06/ford-mustang-mach-e-to-lose-ev-tax-credit/

Yes. We bought our new 2023 in June, 2024 with knowledge the car didn't qualify, but felt that the 0% financing (after a hefty down payment) made the purchase worth it then. Back "then," we anticipated accelerating EV infrastructure build-out and other meaningfully substantive support from "our" government and Ford. What we didn't anticipate was the venomous hostility to environmental concerns and EPA carbon emissions regulations from the WH and an obsequious other party; which disincentivizes Ford and other EV makers in the USA from developing/expanding EV efficiencies. All part and parcel with the proliferation of misinformation as science is marginalized. If I could develop in myself the trust some others here have in longer Mach-e road trips (I'm peculiarly reluctant with mine after that shut-off at speed and bricking at stop), I'd use and enjoy the car a whole lot more.
I'm not giving up on EVs, and/or on domestic development and production, and an expansion (more slowly than it would have been) of EV infrastructure. While I had thought this Mach-e would be my last vehicle, the loss of trust in it and Ford "support" has me eyeing what will be available in 2026....

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[KriegTiger]

Yes, correct, the Lightning qualifies along with a handful of other brands currently.

OTOH only way to "capture" any tax credit for a 2024 or 2025 Mach E would have been to lease it.

If you leased it, Ford MAY have given you back some money in the form of a cap cost reduction or incentive.

I've never understood the appeal of leasing, honestly. Ok, I sortof do since my housemate did it previously and he would lease something new for a couple years then just swap out for the next new thing, maintenance was on them, etc etc.. but the flipside of it where you get mileage charges, cleaning fees, etc? That's a non-starter for me and my situation (pets, long road trips to do anything/go anywhere, etc).

 

[4sallypat]

I've never understood the appeal of leasing, honestly. Ok, I sortof do since my housemate did it previously and he would lease something new for a couple years then just swap out for the next new thing, maintenance was on them, etc etc.. but the flipside of it where you get mileage charges, cleaning fees, etc? That's a non-starter for me and my situation (pets, long road trips to do anything/go anywhere, etc).

For many, leasing makes more sense if you plan on getting a new model every 2-3 years and can reasonably take care of the vehicle, keep it under the contracted miles, and return it undamaged.

Also makes sense for vehicles that depreciate quickly like the EVs and high end luxury cars.

 

[KriegTiger]

For many, leasing makes more sense if you plan on getting a new model every 2-3 years and can reasonably take care of the vehicle, keep it under the contracted miles, and return it undamaged.

Also makes sense for vehicles that depreciate quickly like the EVs and high end luxury cars.

That's fair, guess that's a 'me' thing in the end. I'm not fond of the investment view on things (ie 'how much will it be worth in X time'), if it cost me $1000 and it's only 'worth' $10 later by some arbitrary metric, but I'm stilly getting my full use out of it then I'm happy. If it falls apart/explodes/etc before some point in time where I feel like I've gotten my full value out of it, then I'm salty.

 

[StevenC56]

We've never leased before and usually keep our vehicles 8-10 years. This time however with the $7500 tax credit only being offered on a lease, we went that direction on our 2025 Mach E GT. We'll most likely purchase the car at the end of the lease. The end result is a $5K savings over paying cash for the vehicle or even 0% financing had it been offered at the time of our purchase.

 

[4sallypat]

We've never leased before and usually keep our vehicles 8-10 years. This time however with the $7500 tax credit only being offered on a lease, we went that direction on our 2025 Mach E GT. We'll most likely purchase the car at the end of the lease. The end result is a $5K savings over paying cash for the vehicle or even 0% financing had it been offered at the time of our purchase.

Yes, buying out the lease is an option at the end of the contract.

We did that with our 2018 Honda Clarity PHEV - didn't know if it would be reliable and if it would hold it's value.

That was 4 years ago and happy we bought it out - super reliable and very low maintenance costs.

 

[ChrisO]

I've never understood the appeal of leasing, honestly. Ok, I sortof do since my housemate did it previously and he would lease something new for a couple years then just swap out for the next new thing, maintenance was on them, etc etc.. but the flipside of it where you get mileage charges, cleaning fees, etc? That's a non-starter for me and my situation (pets, long road trips to do anything/go anywhere, etc).

This is the first time in my life that I have leased a car. For us it was a "hedge bet". With the technology changing so fast, we didn't want to lock ourselves into buying something that would be much better in just a few years. We have averaged about 10 years per car, but I had one for 25 years.

 

[scoobybri]

When we bought our 2024 MME in December of 2024, we had initially took a test drive and worked with a salesperson that we had been in contact with when I bought my Lightning. They said that the Mach-E was eligible for the tax rebate. We left the dealership with the intention to come back the next day to finalize the deal (They had to pull the car from another location.) By the time I got home, the salesperson had called to let us know that she had incorrectly told us that the car was eligible. We were going to pass on the car but we found out that my wife's employer made us eligible for X-plan pricing and I was able to stack another 5 rebates on top of that to get a total $9k off of MSRP...so we bought the car.

At least, in my case, the salesperson double-checked or caught her mistake before we would have been in a position where the IRS would have denied us.

 

[4sallypat]

When we bought our 2024 MME in December of 2024, we had initially took a test drive and worked with a salesperson that we had been in contact with when I bought my Lightning. They said that the Mach-E was eligible for the tax rebate. We left the dealership with the intention to come back the next day to finalize the deal (They had to pull the car from another location.) By the time I got home, the salesperson had called to let us know that she had incorrectly told us that the car was eligible. We were going to pass on the car but we found out that my wife's employer made us eligible for X-plan pricing and I was able to stack another 5 rebates on top of that to get a total $9k off of MSRP...so we bought the car.

At least, in my case, the salesperson double-checked or caught her mistake before we would have been in a position where the IRS would have denied us.

A rare honest salesperson indeed!

 

[RickMachE]

Tac credit is added to residual, raising it up, which lowers your lease payments. However, since it was added to the residual, if you buy out the lease then you negate the tax credit, no?

 

[StevenC56]

Tac credit is added to residual, raising it up, which lowers your lease payments. However, since it was added to the residual, if you buy out the lease then you negate the tax credit, no?

The tax credit is a capitalized cost reduction, (like a rebate or any other non cash credit) making your payments lower due to the lower adjusted capitalized cost. It's not added to the residual. The residual is whatever percentage that's listed up front times the retail price of the vehicle before any discounts. (MSRP x residual %)

 

[Mach1E]

I've never understood the appeal of leasing, honestly. Ok, I sortof do since my housemate did it previously and he would lease something new for a couple years then just swap out for the next new thing, maintenance was on them, etc etc.. but the flipside of it where you get mileage charges, cleaning fees, etc? That's a non-starter for me and my situation (pets, long road trips to do anything/go anywhere, etc).

Me either, but when the government gives you 7500 reasons to lease instead of buying, it becomes much more appealing.

In a couple months, leasing will go back to being the most expensive way to purchase a car.

 

[McQueen]

If you bought in 2024, the only one to blame is yourself, it was widely publicized that the Mach-E no longer qualified. The IRS website clearly showed (and still does) that the Mach-E didn't qualify any longer as it is not on the list. In addition, many other sources explained this including Ford's website. The requirements to get the tax credit push to get battery production and raw materials FROM THE US over time, each year increasing percentages. The Mach-E wasn't able to meet the 2024 requirements (whereas the Lightning was). With Ford's new battery plant, assuming the credit wasn't killed like it was by the OTHER PARTY, the Mach-E likely would have qualified for the full tax credit starting in 2025. Now, no vehicle qualifies after 9/30/25.

https://electrek.co/2023/12/06/ford-mustang-mach-e-to-lose-ev-tax-credit/

Yup.

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