2024 Mach-E to Lose EV Tax Credit. Any News on Lightning?

[dustinroyer]

Rumblings on social media is that the 2024 MY Mach-E is losing the $3,750 federal tax credit. Are there any similar rumblings about the Lightning?

I’m looking at a particular one (2022 Lariat ER) and am trying to decide whether to buy now and get the credit on my taxes (plus the $7,500 Ford retail cash) or wait until later, possibly getting a newer model year and applying the credit at purchase but risking losing the retail cash.

Just wanted to hear what others more knowledgeable may know.

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[mme_and_lightning]

I don't trust anything on 'social media' because most of the information is written by people as dumb as me.

The big difference is: I tell people I don't know what I'm talking about.

 

[AI_Speed]

Rumblings on social media is that the 2024 MY Mach-E is losing the $3,750 federal tax credit. Are there any similar rumblings about the Lightning?

I’m looking at a particular one (2022 Lariat ER) and am trying to decide whether to buy now and get the credit on my taxes (plus the $7,500 Ford retail cash) or wait until later, possibly getting a newer model year and applying the credit at purchase but risking losing the retail cash.

Just wanted to hear what others more knowledgeable may know.

Mach-E is made in Mexico - whereas the Lightning is made in Dearborn = a full $7500 full federal tax credit - states will vary on their incentives of course.

 

[bmwhitetx]

Mach-E is made in Mexico - whereas the Lightning is made in Dearborn = a full $7500 full federal tax credit - states will vary on their incentives of course.

There are several criteria for a vehicle to qualify for the Federal 3750/7500 rebate but being made in Mexico vs. Dearborn is not one of them. The applicable rule says final assembly in North America, not USA. Likely the reduced credit is due to the last bullet below.

Qualified Vehicles
To qualify, a vehicle must:

• Have a battery capacity of at least 7 kilowatt hours
• Have a gross vehicle weight rating of less than 14,000 pounds
• Be made by a qualified manufacturer.
  • FCVs do not need to be made by a qualified manufacturer to be eligible. See Rev. Proc. 2022-42 for more detailed guidance.
• Undergo final assembly in North America
• Meet critical mineral and battery component requirements (as of April 18, 2023).

 

[Monkey]

I don't trust anything on 'social media' because most of the information is written by people as dumb as me.

The big difference is: I tell people I don't know what I'm talking about.

Yep.... Also don't trust the tax rebates until you file and your returns are processed. Even then...

I'm dealing with the state of CO right now on my state incentive for my Lightning. They denied it, and charged me back for it. Because they determined it was previously titled in another state. Well, the deal is, I bought it in Iowa. Purchasing an EV out of state does not disqualify it from the rebate, it just must be titled in CO. Iowa requires new vehicle purchases to be titled and the dealership issued me a temporary Transit Title, good for 7 days. I literally flew to DesMoines, bought the truck and drove it back to Denver. Where I had to get a VIN verification and take all the paperwork to the DMV and title/ register the truck and get plates all within the first 7 days of owning the truck due to my transit title and temp tag expiring.

I've talked with two agents at the state Dept. of Revenue and they agree I shouldn't be denied the credit, but this has to go through a review process. And one of those agents who was sympathetic to me said I will most likely still be denied. Just because a title is a title, even if only a temporary measure so I could legally drive the truck. The only legal way for me to have taken the truck out of Iowa without getting said title would be to have a licensed CO dealership trade or make other arrangements for it, since that wouldn't be a sale.

oops.. Didn't mean to hijack the thread. That's just how my week is going. Getting a denial letter and a bill from the state for $3800.

 

[F150ROD]

With the the tax incentive being taken off at retail, dealers are going to try to get that cash for themselves. Just get one now.

 

[dustinroyer]

oops.. Didn't mean to hijack the thread. That's just how my week is going. Getting a denial letter and a bill from the state for $3800.

No worries. That’s extremely frustrating. When I purchased my ID.4 in 2021, Louisiana offered a tax credit of $2500 that expired on July 1, 2021. I took delivery June 25 and was asked for a fair bit of documentation after filing my taxes. It was a pretty stressful time.

 

[dustinroyer]

With the the tax incentive being taken off at retail, dealers are going to try to get that cash for themselves. Just get one now.

I’m leaning toward the bird-in-the-hand approach myself. I am a bit wary of purchasing a mannequin, but it has the equipment I want and, considering the tax credit and retail cash, a price I like.

 

[Maquis]

I think it’s been confirmed that the Mach-E loses its tax credit due to stricter domestic content requirements. Don’t know about the Lightning, but I’d be surprised if it didn’t as well.

Even Tesla is warning about losing at least part of the credit on its website.

 

[TaxmanHog]

This search engine does not allow for "placed in Service" dates beyond 12/31/2023.

Keep an eye on this for potential updates, or other media releases regarding qualification or lack thereof, https://fueleconomy.gov/feg/tax2023.shtml

Interesting that other manufacturers {CHEVY} are showing Model Year 2024 available for sale now through 12/31/2023 as eligible, while Ford products are missing with regard to model year 2024.

Now we need to know the rest of the story ...... @Ford Motor Company

 

[Maquis]

This search engine does not allow for "placed in Service" dates beyond 12/31/2023.

Keep an eye on this for potential updates, or other media releases regarding qualification or lack thereof, https://fueleconomy.gov/feg/tax2023.shtml

Interesting that other manufacturers {CHEVY} are showing Model Year 2024 available for sale now through 12/31/2023 as eligible, while Ford products are missing with regard to model year 2024.

Now we need to know the rest of the story ...... @Ford Motor Company

The stuff I’ve been reading relates to the increase in domestic content requirement that kick in in 2024. Model year shouldn’t matter, just delivery date.

 

[AI_Speed]

There are several criteria for a vehicle to qualify for the Federal 3750/7500 rebate but being made in Mexico vs. Dearborn is not one of them. The applicable rule says final assembly in North America, not USA. Likely the reduced credit is due to the last bullet below.

Qualified Vehicles
To qualify, a vehicle must:

• Have a battery capacity of at least 7 kilowatt hours
• Have a gross vehicle weight rating of less than 14,000 pounds
• Be made by a qualified manufacturer.
  • FCVs do not need to be made by a qualified manufacturer to be eligible. See Rev. Proc. 2022-42 for more detailed guidance.
• Undergo final assembly in North America
• Meet critical mineral and battery component requirements (as of April 18, 2023).

No - Mexico & Dearborn are in North America so that obviously pertains

 

[GDN]

With the the tax incentive being taken off at retail, dealers are going to try to get that cash for themselves. Just get one now.

This is one of the biggest concerns I have. For most that don't understand it the dealers will turn this into a nightmare and lie about it every way to Sunday to show how good it is to the consumer while marking up stickers, etc but the dealer is trying to show them what a good deal the price is.

Hell Ford is already raising prices on '24's, while not being able to sell '23's. If you think that Heat pump is going to change your life, you can wait, but I doubt there is anything that will make it truly worth waiting.

 

[TaxmanHog]

The stuff I’ve been reading relates to the increase in domestic content requirement that kick in in 2024. Model year shouldn’t matter, just delivery date.

Could you share what you're reading, I don't doubt your take or that reporting just would like to see it myself, I could google, but that doesn't guarantee I'd get the results you trust.

 

[bmwhitetx]

No - Mexico & Dearborn are in North America so that obviously pertains

Yes, that was my point. I read your original post as saying that the Federal credit didn't apply or only half applied because it was made in Mexico. So I was correcting you. Maybe I read your original post wrong?

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