General

Tax Credits for 2021

I am going to be purchasing a model S soon, however I was recently reading that there may be tax credits for purchase of an electric car once Biden gets into office. Does anyone know if this would only apply to newly purchased cars, or if it would apply to personnel that already have one? I am trying to determine if I should hold off a bit before purchasing. Perhaps someone else went through this during the first round of credits? Thanks!

Comments

  • i suspect if it is passed it will be for the year it was passed. 2021 for example.
  • @jimglas_98269389 That's what I am hoping for. I think I will risk it and hope that a purchase in 2021 will count. Thanks
  • Two possibilities here. A point of sale rebate and elimination of the 200K domestic sales cap for the Fed EV tax credit. If they lift the cap, I suspect it would be retroactive. Congress does that with other expired tax credits that get reactivated. A good example is the Qualified Alternative Fuel Vehicle Refueling Property tax credit that has been extended retroactively several times. Those whose recent purchase didn't qualify for the Fed EV tax credit, or who got a reduced amount during the phase out period would claim the credit in future Fed income tax filings or maybe even allowed to file an amended return for the year they made the EV purchase.
  • Since the OP hasn’t taken delivery yet, it doesn’t matter if the credit is retroactive, at least not to the OP.
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