Deciding Between Lightning XLT and Lariat for my Reservation Order

[CM_in_TX]

Lightning totally fits my use case, and I love the idea of Frunk. However, it only works in my budget if I get the government tax credit of $7500.

I searched up “EV tax MSRP limit” and the current limit seems to be $74,000 MSRP for trucks. (The $80,000 limit was in a bill that didn’t pass, or is delayed to long in the future.)

Based on $74,000 assumption, it may be that I can get a Lariat with many options, but not the Extended Range Battery, which is highly desirable. (because Lariat MSRP + 7000 puts one over 74,000)

Or, I could go down to an XLT, add Extended Range Battery, and any other options I could fit, such as Pro Power Onboard, Co-Pilot Assist, Tow Tech pkg, 8-way power driver seat, etc. However, some options I want, aren’t available on XLT trim, such as Power Deployable Running Boards, 15-inch screen, BlueCruise, etc.


I say all that for a question on what defines MSRP: if I build and price an ICE F-150, in the Summary I end up with:

-Base MSRP
-Total of Options
-Destination Charges
-Acquisition Fee
-Then, “Total MSRP”
-Available Incentives
-Estimated Net Price

So assuming the tax credit is truly based on Total MSRP and not Net Price, could a dealer add “ADM” instead of Available incentives, and MSRP is still below $74,000 and qualify for $7500 credit?

If so, it would be nice of Ford to either reduce Lariat base MSRP, or decrease the cost of the Extended range battery. Such that Base MSRP + Battery = $73,999. But then the dealer adds in ADM to make up the MSRP reduction… Is this avoiding intended taxes, or evading intended taxes?

Thank you for any thoughts on whether Lariat without battery, or XLT with battery would be the truck to order, assuming the final MSRP is close to $74000 as possible.

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[sotek2345]

Lightning totally fits my use case, and I love the idea of Frunk. However, it only works in my budget if I get the government tax credit of $7500.

I searched up “EV tax MSRP limit” and the current limit seems to be $74,000 MSRP for trucks. (The $80,000 limit was in a bill that didn’t pass, or is delayed to long in the future.)

Based on $74,000 assumption, it may be that I can get a Lariat with many options, but not the Extended Range Battery, which is highly desirable. (because Lariat MSRP + 7000 puts one over 74,000)

Or, I could go down to an XLT, add Extended Range Battery, and any other options I could fit, such as Pro Power Onboard, Co-Pilot Assist, Tow Tech pkg, 8-way power driver seat, etc. However, some options I want, aren’t available on XLT trim, such as Power Deployable Running Boards, 15-inch screen, BlueCruise, etc.


I say all that for a question on what defines MSRP: if I build and price an ICE F-150, in the Summary I end up with:

-Base MSRP
-Total of Options
-Destination Charges
-Acquisition Fee
-Then, “Total MSRP”
-Available Incentives
-Estimated Net Price

So assuming the tax credit is truly based on Total MSRP and not Net Price, could a dealer add “ADM” instead of Available incentives, and MSRP is still below $74,000 and qualify for $7500 credit?

If so, it would be nice of Ford to either reduce Lariat base MSRP, or decrease the cost of the Extended range battery. Such that Base MSRP + Battery = $73,999. But then the dealer adds in ADM to make up the MSRP reduction… Is this avoiding intended taxes, or evading intended taxes?

Thank you for any thoughts on whether Lariat without battery, or XLT with battery would be the truck to order, assuming the final MSRP is close to $74000 as possible.

The $74,000 limit also didn't pass (that was just different versions of the same bill that just died.

The current tax credit does not have an MSRP limit, just a total units sold limit. If you an early reservation holder and expect a 2022 truck, then you should be all set ofr $7,500. If you are looking at the 2023 or 2024 truck the credit will be phasing out and you will likely only get a partial credit.

All of this supposes there are not additional law changes - at this point I don't know what to predict.

 

[shutterbug]

Lightning totally fits my use case, and I love the idea of Frunk. However, it only works in my budget if I get the government tax credit of $7500.

I searched up “EV tax MSRP limit” and the current limit seems to be $74,000 MSRP for trucks. (The $80,000 limit was in a bill that didn’t pass, or is delayed to long in the future.)

Based on $74,000 assumption, it may be that I can get a Lariat with many options, but not the Extended Range Battery, which is highly desirable. (because Lariat MSRP + 7000 puts one over 74,000)

Or, I could go down to an XLT, add Extended Range Battery, and any other options I could fit, such as Pro Power Onboard, Co-Pilot Assist, Tow Tech pkg, 8-way power driver seat, etc. However, some options I want, aren’t available on XLT trim, such as Power Deployable Running Boards, 15-inch screen, BlueCruise, etc.


I say all that for a question on what defines MSRP: if I build and price an ICE F-150, in the Summary I end up with:

-Base MSRP
-Total of Options
-Destination Charges
-Acquisition Fee
-Then, “Total MSRP”
-Available Incentives
-Estimated Net Price

So assuming the tax credit is truly based on Total MSRP and not Net Price, could a dealer add “ADM” instead of Available incentives, and MSRP is still below $74,000 and qualify for $7500 credit?

If so, it would be nice of Ford to either reduce Lariat base MSRP, or decrease the cost of the Extended range battery. Such that Base MSRP + Battery = $73,999. But then the dealer adds in ADM to make up the MSRP reduction… Is this avoiding intended taxes, or evading intended taxes?

Thank you for any thoughts on whether Lariat without battery, or XLT with battery would be the truck to order, assuming the final MSRP is close to $74000 as possible.

There is no MSRP limit for the current $7,500 tax credit. Also, Acquisition Fee is not part of MSRP. Also, if you are paying Acquisition Fee, you are leasing, in which case you are not eligible for any tax credit.

If there was a MSRP limitation, it would be based on the Total MSRP limitation at the bottom of the window sticker. See an example of bellow.

 

[Sdctcher]

All of this supposes there are not additional law changes - at this point I don't know what to predict.
[/QUOTE]

Also, unknown whether a new law would be retroactive. Any new law probably would supercede current law or purchases up to date of it going into effect might be grandfathered?

Example: You deliver 2022 Lightning Lariat June 1, 2022 at $81,000 MSRP. A new law is signed by the President December, 2022 and made retroactive to January 1, 2022 with a $80,000 limit. YOU LOSE!

Just in case (odds may be low but hedges are always good) figure a limit of $80,000 in your calculations. Manchin did not seem to have much of a problem with the EV BBB except the Union-Built extra money.

 

[CM_in_TX]

Ok, I think I understand -- thanks! ($74,000 number was just part of an original "framework" which in the end was not only changed, but also hasn't happened. But good advice)
So with this great info, I can get the one I really want, Lariat w/Extended Battery. (But also I realize congress can mess things up) Looking forward to next month...

 

[Fordskeptic]

Ok, I think I understand -- thanks! ($74,000 number was just part of an original "framework" which in the end was not only changed, but also hasn't happened. But good advice)
So with this great info, I can get the one I really want, Lariat w/Extended Battery. (But also I realize congress can mess things up) Looking forward to next month...

I assume you reserved early and expect to be invited to order in the first wave next month. Please post your experiences for the slow pokes like me.

 

[lancersrock]

Even if they were to pass a bill late in the year wouldnt the current $7500 technically exist? Or is it specifically killed in the BBB? It would be up to the person filling their 2022 taxes to determine which programs apply to them. Again i dont know anything for sure just a curiosity more or less.

 

[shutterbug]

Even if they were to pass a bill late in the year wouldnt the current $7500 technically exist? Or is it specifically killed in the BBB? It would be up to the person filling their 2022 taxes to determine which programs apply to them. Again i dont know anything for sure just a curiosity more or less.

Pretty sure the reconciliation bill was in place of the current law.

 

[Sdctcher]

Pretty sure the reconciliation bill was in place of the current law.

The current language in BBB specifically deletes the older law. Normally, new laws are not retroactive. The new law could be retroactive, begin when signed, or effective January 1, 2023.

God only knows.

 

[Royalist]

Should be easy to decide now, lol.

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