Sorry if I missed it: Does the Mach e still qualify for the tax credit?

[jaklou]

given production is in Mexico, will it immediately go away?

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[Jack]

Pretty sure nothing has changed.

 

[generaltso]

Mexico is in North America, so even when the new bill becomes law, the MME will still qualify. What happens next year is a little less clear since there are battery component and mineral requirements.

 

[Keeperofthe7keys]

Mexico is in North America, so even when the new bill becomes law, the MME will still qualify. What happens next year is a little less clear since there are battery component and mineral requirements.

Yeah, seen a lot of mixed messaging on if it qualifies for full, half or not at all due to battery cells being from Poland.

 

[s7davis]

If Bill is signed i.to law by President Mach E will still qualify for half credit. So 3750 for manufacturing and assembly in USA or USFTA country. The is dependent on battery mineral mining.

 

[generaltso]

If Bill is signed i.to law by President Mach E will still qualify for half credit. So 3750 for manufacturing and assembly in USA or USFTA country. The is dependent on battery mineral mining.

Nothing will change for the MME this year.

 

[s7davis]

Nothing will change for the MME this year.

Hate to say this but if you look at wording in the Bill. If signed tomorrow by President 7500 stops right then. This is one of the things companies do not like cause it stops immediately.

This is why Lucid, Rivian, Fisker converted reservations to form order place holders so their is a binding contract signed by both parties as it was placed before Bill signage.

I do not think it will pass the House tomorrow on how it is written right now but we will find out tomorrow.

 

[jaklou]

You’re the first person I’ve seen who is of that opinion. I asked the same question on the Ioniq 5 Forum, and they all opined that Ford mfg’s in North America, thus the Tax Credit is solid until 12/31. On 1/1 it will likely drop to $3750 unless things change, just as some posted above

 

[generaltso]

Hate to say this but if you look at wording in the Bill. If signed tomorrow by President 7500 stops right then. This is one of the things companies do not like cause it stops immediately.

This is why Lucid, Rivian, Fisker converted reservations to form order place holders so their is a binding contract signed by both parties as it was placed before Bill signage.

I do not think it will pass the House tomorrow on how it is written right now but we will find out tomorrow.

I think you need to read the bill again. The only provision that starts immediately is the requirement that final assembly is in North America. This will disqualify a lot of cars, but not the MME. The reason Rivian, Lucid, etc. are scrambling is because most of their preorders won’t be delivered until next year. Cars made outside North America (Hyundai, Toyota, etc) will lose the credit immediately.

I have no doubt the bill will pass the House. They aren’t going to make changes that would require sending the bill back to the Senate.

 

[Flat6]

There are also income limits to receive the credit. Not sure that means for those who already placed orders (with no confirmed production date) but have not yet received the vehicle.

 

[Schwartzcynthia]

given production is in Mexico, will it immediately go away?

My tax accountant said there will be a certain number that get the federal tax credit. I got my car last month and she said going by the VIN number I should qualify.

 

[Maquis]

My tax accountant said there will be a certain number that get the federal tax credit. I got my car last month and she said going by the VIN number I should qualify.

VIN has absolutely nothing (directly) to do with eligibility and never has.

 

[generaltso]

My tax accountant said there will be a certain number that get the federal tax credit. I got my car last month and she said going by the VIN number I should qualify.

You may want to find a new accountant. Your current one doesn’t seem to know how the tax credits work.

 

[Msnwcpa]

The new bill has income limits, not sure how the price will be adjusted at the POS. Does the buyer carry Year end tax return for x years? Or show W2's?

 

[generaltso]

The new bill has income limits, not sure how the price will be adjusted at the POS. Does the buyer carry Year end tax return for x years? Or show W2's?

That remains to be seen. My guess is that anyone will be able to get the credit at point of sale, and if you don’t end up qualifying, you’ll owe it back at tax time.

But point of sale doesn’t start until 2024.

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