Dealer screwed up tax credit paperwork (Post 62)

[JoshF150]

Just bought a lightning xlt last weekend. I went into it knowing the dealer was not offering the tax credit to front because they had a bad experience with cash for clunkers program years ago. I was ok with just getting out at tax time and asked them multiple times if they did the mandatory paperwork so I could get my tax credit. Salesman said yes and finance team took care of it. While signing the paperwork I asked the finance guy and he said yes they would submit all the necessary paperwork.

So the three days passed and I hadn’t heard back about my copy of the time of sale report and I call dealer back. They claim to know nothing about it and that the didn’t understand what I was asking for when I asked if they reported it to it to irs for my tax rebate. They admitted they don’t sell many evs and just didn’t know. They said they would talk to Ford to see what they needed to do. It’s been a week and they are “still waiting to hear back from Ford”.

I called irs and agent told me since they didn’t report sale in 3 days there was no way I could get the tax credit. They would cross check the vin in their system and it would get rejected.

Thoughts on next steps from my end? I’m giving them a few more days then trying to take more action. They advertise the truck as qualifying for tax credit. I qualify for tax credit as well. They just failed to know their own requirements. I think they are going to need to pay me the $7500 and them try to recoup it on their end. How do I get that? It is a large cooperate dealership do I try to get owner first? Reach out to ford? BBB? State attorney general? Start social media attack reviews?

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[wighty]

irs and agent told me since they didn’t report sale in 3 days

I'd almost say call again and talk to another agent... a requirement to report the sale within 3 days seems a little bonkers to me.

 

[JoshF150]

I'd almost say call again and talk to another agent... a requirement to report the sale within 3 days seems a little bonkers to me.

See pics. Right there on irs page. I agree it’s kind of crazy but it is the rules

 

[wighty]

See pics. Right there on irs page. I agree it’s kind of crazy but it is the rules

Wow.

So in that case my feeling would be:
1) Return vehicle if still in period that is an option.
2) Firmly tell the dealer they need to pay you a $7500 refund
3) Get ready to sue them for the $7500? At least consult with a lawyer to see if that is even a possible thing you could win.

 

[shutterbug]

Just bought a lightning xlt last weekend. I went into it knowing the dealer was not offering the tax credit to front because they had a bad experience with cash for clunkers program years ago. I was ok with just getting out at tax time and asked them multiple times if they did the mandatory paperwork so I could get my tax credit. Salesman said yes and finance team took care of it. While signing the paperwork I asked the finance guy and he said yes they would submit all the necessary paperwork.

So the three days passed and I hadn’t heard back about my copy of the time of sale report and I call dealer back. They claim to know nothing about it and that the didn’t understand what I was asking for when I asked if they reported it to it to irs for my tax rebate. They admitted they don’t sell many evs and just didn’t know. They said they would talk to Ford to see what they needed to do. It’s been a week and they are “still waiting to hear back from Ford”.

I called irs and agent told me since they didn’t report sale in 3 days there was no way I could get the tax credit. They would cross check the vin in their system and it would get rejected.

Thoughts on next steps from my end? I’m giving them a few more days then trying to take more action. They advertise the truck as qualifying for tax credit. I qualify for tax credit as well. They just failed to know their own requirements. I think they are going to need to pay me the $7500 and them try to recoup it on their end. How do I get that? It is a large cooperate dealership do I try to get owner first? Reach out to ford? BBB? State attorney general? Start social media attack reviews?

Totally confused about what you're looking for. There is no paperwork required from the dealer, if the dealer is not fronting the tax credit. You just fill out a form 8936 when filing your 2024 tax return.

 

[davehu]

bought mine last September. my dealer didn't file anything and no one had ever heard about any such requirement. just filled out the 8036 when I filed. credit came though without any problems.

 

[JoshF150]

Totally confused about what you're looking for. There is no paperwork required from the dealer, if the dealer is not fronting the tax credit. You just fill out a form 8936 when filing your 2024 tax return.

 

[DesertEV]

Those that are saying it is on you they are absolutely wrong…just wrong. The dealer was suppose to fill out the sales information on the IRS website that is setup for dealers. You are right that the $7,500 should have been applied and filled out correctly. The dealer should have researched that selling these vehicles. I had to educate so many dealers on this in the buying process. You have right to go after this. Seek an attorney. You have to be combined income under $300k in the 2023 or 2024 to get this credit. If you don’t, you won’t get it.

 

[DesertEV]

Totally confused about what you're looking for. There is no paperwork required from the dealer, if the dealer is not fronting the tax credit. You just fill out a form 8936 when filing your 2024 tax return.

Yes there is paperwork from the dealer. They have a website given to them by the IRS to enter the info. That’s why the sales price is so important. If it is less that $80k minus delivery fees, then it qualifies and they submit. Also, the person buying must be less than 300k combined income to qualify.

 

[DesertEV]

bought mine last September. my dealer didn't file anything and no one had ever heard about any such requirement. just filled out the 8036 when I filed. credit came though without any problems.

The dealer should have…the IRS has a specific website for dealers… they either haven’t paid attention to understanding how to sell Lightning or EVs or they just don’t give a sh*t.

 

[shutterbug]

This is for when you assign the tax creditt to the dealer and dealer pays you. When you file for tax credit yourself, none of this is needed.

 

[shutterbug]

Yes there is paperwork from the dealer. They have a website given to them by the IRS to enter the info. That’s why the sales price is so important. If it is less that $80k minus delivery fees, then it qualifies and they submit. Also, the person buying must be less than 300k combined income to qualify.

The sales price of the vehicle is meaningless. The tax credit is based on MSRP, not how much you paid. Your income is already listed on your return.

 

[shutterbug]

The dealer should have…the IRS has a specific website for dealers… they either haven’t paid attention to understanding how to sell Lightning or EVs or they just don’t give a sh*t.

That website is only used if the dealer provides tax credit at the time of sale. If you are going to claim the tax credit on your own, there is nothing for the dealer to do.

 

[DesertEV]

The sales price of the vehicle is meaningless. The tax credit is based on MSRP, not how much you paid. Your income is already listed on your return.

The MSRP minus destination fees to your lingo. This is done by the dealer…you are wrong bc I know.

 

[shutterbug]

I had to educate so many dealers on this in the buying process.

How many EVs have you bought that you "had to educate so many dealers"?

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