You also need to have a tax liability, you only get credit if you owe taxes after your deductions, so many will still not be able to get anything or only a portion. For me using my taxes from last year I would get a $2 credit..So because battery regulation guidance is delayed until March, the tax credit works as it's currently written, which is $7500 for all.
Edit: Not quite $7500 for all. Need NA assembly and meet the MSRP and income limits.
earth911.com
A dealer I have been talking to told me yesterday that they are going to up their market adjustment from $1500 to $5999 on Jan 1. But that is dealer specific, not GM. I talked to another dealer that said they had no plans to change pricing (which may or may not be true).Assuming the 1Q 2023 credit is good, will GM just adjust the pricing upward?
Incorrect. Michigan is in North America!I'm seeing a lot of people mentioning trying to buy an EUV in Q1 2023, but the EUV isn't eligible due to the final assembly not being in N. America, correct?
Last time I checked.Incorrect. Michigan is in North America!
Because someone was stupid, or simply forgot that the EV and EUV are two different vehicles. The EUV will qualify.Why isn't it on the list then?
The 2022 EUV is on the list. I just put in a VIN for a 2023 EUV from my local dealer and it says it’s built in the US. Someone just made a clerical error.Why isn't it on the list then?
I did the VIN plug in based on an EUV on my dealer’s lot too. Comes up US built (whew, those Michiganders are still safely US citizens 😉).The 2022 EUV is on the list. I just put in a VIN for a 2023 EUV from my local dealer and it says it’s built in the US. Someone just made a clerical error.
From Topic A — Frequently Asked Questions About the Eligibility Rules for the New Clean Vehicle Credit | Internal Revenue Service issued 12/29/22:
"Q6. What is the amount of the new clean vehicle credit? (added December 29, 2022)
A6. Beginning January 1, 2023, eligible vehicles may qualify for a tax credit of up to $7,500.
Until the day after the Treasury Department and the IRS issue proposed guidance on the critical mineral and battery component requirements of the new clean vehicle credit under § 30D, the credit is calculated as a $2,500 base amount plus, for a vehicle which draws propulsion energy from a battery with at least 5 kilowatt hours of capacity, $417, plus an additional $417 for each kilowatt hour of battery capacity in excess of 5 kilowatt hours, up to an additional $5,000 beyond the base amount. In general, the minimum credit amount will be $3,751 ($2,500 + 3 * $417), representing the credit amount for a vehicle with the minimum of 7 kilowatt hours of battery capacity.
Once the Treasury Department and the IRS issue the proposed critical mineral and battery component guidance later in 2023, additional requirements will change the amount of the credit (that is, an eligible vehicle may qualify for more or less credit than before). The credit amount will depend on the vehicle meeting the critical minerals requirement ($3,750) and/or the battery components requirement ($3,750). A vehicle meeting neither requirement will not receive a credit, a vehicle meeting only one requirement may be eligible for a $3,750 credit, and a vehicle meeting both requirements may be eligible for the full $7,500 credit. The Treasury Department and the IRS anticipate issuing the proposed guidance in March."
Topic C — Frequently Asked Questions About When The New Requirements Apply To The New Clean Vehicle Credit | Internal Revenue Service contains:
"Q4. Do the new critical mineral and battery components requirements apply? (added December 29, 2022)
A4. Not yet. The critical mineral and battery component requirements under § 30D(e) will apply for vehicles placed in service after proposed guidance on these requirements is issued. The publication of these FAQs is not the issuance of proposed guidance with respect to the critical mineral and battery component requirements under § 30D(e) and does not trigger the applicability of those requirements. The Treasury Department and the IRS will explicitly identify when they have issued proposed guidance with respect to the critical mineral and battery component requirements under § 30D(e). However, vehicles ordered or purchased prior to but placed in service after Treasury and the IRS issue this proposed guidance will be subject to the critical mineral and battery component requirements. This proposed guidance is expected to be issued in March 2023."
It's definitive now the 2023 Bolt EUV gets the full Fed Tax Credit! IRS link: Manufacturers and Models for New Qualified Clean Vehicles Purchased in 2023 or After | Internal Revenue ServiceThe treasury just said that they won’t issue proposed guidance on battery sourcing until March. That means from Jan 1 until then, the Bolt qualifies for the full $7500 tax credit!
Another way this tax credit program has been messed up. While excluding higher income people it also excludes lower income folks. Should have been set up either refundable to those with less than $7,500 tax liability or, at least, unused credit should be allowed to be carried forward to following years.My question is with the income limit how do they figure anyone will thread the needle to get the full credit?
If you own a house/ have kids and deductions your income to get the credit is near or over the limit.
Pretty much the credit is now for single people without any deducmaking $70,000+ a year
Has anyone posted an updated thread that spells out the current state of the 2023 credit?
It seems like half of folks say the credit is a rebate then a week later say it’s non-refundable and dependent on income.
It should be retroactive as well to the time when the bill was first drafted.Another way this tax credit program has been messed up. While excluding higher income people it also excludes lower income folks. Should have been set up either refundable to those with less than $7,500 tax liability or, at least, unused credit should be allowed to be carried forward to following years.
Because the actual legislation says otherwise. The legislation would need to be amended to remove the language stating the battery requirements take effect 1/1/23 rather than only after the IRS/Treasury issue its guidance. Congress could certainly do that but I doubt it would.That’s why I’m not holding my breath. I don’t know why in March (or whenever) they finalize the requirements, they can’t make them retroactive to January 1st.
may qualify
You guys don't think the IRS will let you keep their money do you?(that is, an eligible vehicle may qualify for more or less credit than before).
I've already gotten the tax credit for my Geothermal System and thanks to the IRA for raising the credit for solar installations to 30%. I got enough of a credit back on our solar ground mount that it effectively wiped out my tax liability for 2022 and there is some left to carry forward to 2023 taxes. Unlike the car tax credit the solar credit can be carried forward for 15 years. So yes anybody buying a Bolt after Jan1st and before March will be getting the full $7500 tax credit! No need to be doubtful of that but the real question is will Treasury once again suspend those battery requirements in March?You guys don't think the IRS will let you keep their money do you?
They may, but I'd use caution. Buy the car for what it can do not what you might get.
