New Jersey

EV Incentive - $7500 in New Jersey... Is this real or just a sales technique used to show savings?

edited November -1 in New Jersey
When I purchased my 2013 Model S in Nov 2013, at the Garden State Paramus location, I was told that I would be receiving a $7500 credit on my taxes since the car was a 2013. I pushed to have it delivered in 2013 to make sure of it. In each conversation and also on the computer screen, when doing a comparison for Tesla - cost of ownership, the $7500 was used as a sales technique to show savings.

In the "cost of ownership" page, under "Down Payment & EV Incentives", it says:
In many cases, you’ll recoup the cost of your down payment with electric vehicle incentives. You may even be eligible for more total incentives than you paid in your down payment. This will reduce your effective monthly cost. Incentives depend on the total price of your car and the state that you live in.

As I start preparing my taxes, I now find out from my accountant that I do not qualify for this tax credit because I am in the ALTERNATIVE MINIMUM TAX bracket.

This is very serious and I am extremely disappointed.

WAS ANYONE ELSE TOLD ABOUT THE EV INCENTIVES AT TIME OF PURCAHSE, THEN FOUND OUT THAT THEY DON'T QUALIFY AT TIME OF PREPARING TAXES?

Comments

  • edited November -1
    I live in NJ as well - I thought the $7,500 rebate was a federal incentive for purchasing a ZEV and that all were eligible, regardless if you are in the AMT tax bracket. Are you saying that is not the case? I am very close to placing my order,and would like to know if this is the case.
  • edited November -1
    It is federal. As long as your final tax liability is 7500 or more you'll get 7500 back. I just did.
  • edited November -1
    Time for a new accountant.

    Use Form 8936, and you will receive a $7,500 credit on Line 54 of your Federal Taxes. This is a credit, not a deduction----big difference.

    Everyone qualifies for this credit no matter what tax bracket you are in.

    Tom
  • edited November -1
    Thanks so much for clarifying!! Gives me one more reason to buy now!!
  • CCCC
    edited November -1
    There is a CPA in our NJ Tesla Owner's club. If you have questions, you can e-mail: [email protected] , he would be glad to help answer them.
  • edited November -1
    @jmezzina--

    Did you get this straightened out?
  • edited November -1
    @jmezzina

    Did you get this straightened out?
  • edited November -1
    I just got mine as well. I am curious though, about the electric vehicle charging station credit. Did anyone get that for installing a NEMA 14-50 in their garage?
  • edited November -1
    Thank you for all your comments and responses. As many of you mentioned, the $7500 tax credit credit can be used toward AMT. I followed up with my accountant and in deed, he was wrong. Thank you all for your help!
  • edited November -1
    What is this electric vehicle charging station credit. Did anyone get this for installing a NEMA 14-50 in their garage? Anyone know about this?
  • edited November -1
    So I have a question: (I'm getting my Tesla this year.) So say you do your taxes and you get a refund do you miss out on the $7500?

    I usually break even.

    Any suggestions? Should I have my company take out less taxes from my check so that effectively I would owe ~ say $8000 so that I can take advantage of the $7,500???
  • edited November -1
    I just did my taxes, and the $7,500 was phased out due to AMT as well as my home charger install.

    The $7,500 for me is split into a business portion and personal portion, since I use the car partially for business.

    The business portion if the tax credit (form 8936) was disallowed (form 3800) due to AMT.

    I did get the personal portion of the tax credit - pro-rated based on % personal use.
  • edited November -1
    Don't forget no sales tax on electric vehicles in NJ! That saves you at least another $5,000!
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