IRS Notice CP99D Transferred Tax Credit letter 2025

[TaxmanHog]

My wife and I never saw any IRS paperwork on a screen or actual paperwork. In my sales agreement it says I provided a $7,500 cash down payment, nothing about it being a transfer of my tax credit to the dealer. After watching your video, is the dealership able to add my sale to the IRS website after the fact and sign my name digitally?
When we bought the truck we and the truck fully qualified for the credit and did want it applied to our purchase. If the dealer did not take the credit (which I do not know) I feel I should be able to if it was not important enough to them to follow IRS rules. I am pretty sure CHI feels the same way, his experience was exactly the same as mine, which makes me wonder if dealers were told to handle it this way the first week of January 2024.

The dealership standard sales agreement form did not have a line entry for the credit specifically titled for the Federal or State EV credits at point of sale, most listed it in the downpayment section.

If your intent was to make use of the credit at sale date and they collected the required data with back up documents {SSN & DL} then processed these after closing, I suspect you and CHL likely experienced the same scenario, is that the ideal scenario, no but is what they did ~fraudulent~?, not in my humble opinion, in contrast if you got no benefit it wasn't on the P&S and you intended to claim it now, and this letter says you already benefited from, then there is a problem.

Ideally the dealership should have each prospective buyer sit with the F&I guy, run through the application process just like demonstrated in the video, they also needed reassurance that the funding and vehicle qualified and would deposit to their operations bank account in a timely fashion.

If the dealer hadn't made a claim for the credit, they would be short $7500 in the closing, I would fire the F&I guy if that happened when the deal specified it should happen and the dealership lost anticipated funds.

In both cases I assume you have no material harm, you got the credit upfront and reconciliation will close the compliance cross check when you file your tax returns this year confirming that you bought said vehicle and already benefited from the credit.

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[Dino]

I have not received a letter from the IRS yet. Do you know if the dealer can sign my name digitally weeks after the fact?

 

[TaxmanHog]

I have not received a letter from the IRS yet. Do you know if the dealer can sign my name digitally weeks after the fact?

Have you moved since the sale occurred?

Is there a typo in the address information on your copy of the P&S agreement that might indicate misdirected mail has occurred with the follow-up documents?

During the official kick off, IRS had problems with the reporting system malfunctioning, it took them some time to fix it and allowed dealers a grace period to get overdue sales reports processed.

At this point that grace period is over and they have a tight timeline to record the sale and return the report to you.

Can they /s/ the digital application, I'm not surprised that it's happening on a routine basis {speculation}, ideally you should be sitting there witnessing the act if not ACTUALLY typing your name into that field.

SIDE NOTE: I just purchased a new Harley, I sat with the dealership owner, she had ME type my name and initials into various portions of the agreement regarding acceptances and declinations for the deal, (no EV credits involved), financing with HDFS, etc..... but it was me typing my mark.

 

[jeff_h]

Mine arrived in the mail today as well.

 

[Dino]

Have you moved since the sale occurred?

Is there a typo in the address information on your copy of the P&S agreement that might indicate misdirected mail has occurred with the follow-up documents?

During the official kick off, IRS had problems with the reporting system malfunctioning, it took them some time to fix it and allowed dealers a grace period to get overdue sales reports processed.

At this point that grace period is over and they have a tight timeline to record the sale and return the report to you.

Can they /s/ the digital application, I'm not surprised that it's happening on a routine basis {speculation}, ideally you should be sitting there witnessing the act if not ACTUALLY typing your name into that field.

SIDE NOTE: I just purchased a new Harley, I sat with the dealership owner, she had ME type my name and initials into various portions of the agreement regarding acceptances and declinations for the deal, (no EV credits involved), financing with HDFS, etc..... but it was me typing my mark.

Everything is correct and we have not moved, and like I said we did not sign any IRS paperwork. I just think the dealer just wanted the truck off their lot, and if I do not receive a letter I think I should be able to claim the tax credit.

 

[StevenC56]

Everything is correct and we have not moved, and like I said we did not sign any IRS paperwork. I just think the dealer just wanted the truck off their lot, and if I do not receive a letter I think I should be able to claim the tax credit.

Do you really think your dealer shorted themselves $7500 on your deal? Not likely. If you take the credit on your taxes, be prepared for an audit or at the least a correction on your return plus fines and interest.

 

[Dino]

Do you really think your dealer shorted themselves $7500 on your deal? Not likely. If you take the credit on your taxes, be prepared for an audit or at the least a correction on your return plus fines and interest.

I am not wanting to take the credit if the dealer did, but if I do not receive the IRS letter, that tells me the dealer did not take the credit. If that is the case I should be able to take the credit. I also don't know if the IRS will have some way for me to enter my VIN# and find out the credit status. The dealer was pretty adamant that they wanted me to take the truck that day, they did not want it on their lot and they were clueless about the new tax credit rules. I bought the truck on Z plan which is employee pricing (retired) and limited paperwork charge to $150 and they gave me $20,000 for a 6 year old Nissan Frontier non 4x4, and the $7500 cash down payment credit. They wanted the XLT Lightning gone.

 

[broncoaz]

I got my letter today for my Tesla purchase in March 2024. I never like receiving mail from the IRS.

 

[TaxmanHog]

I am not wanting to take the credit if the dealer did, but if I do not receive the IRS letter, that tells me the dealer did not take the credit. If that is the case I should be able to take the credit. I also don't know if the IRS will have some way for me to enter my VIN# and find out the credit status. The dealer was pretty adamant that they wanted me to take the truck that day, they did not want it on their lot and they were clueless about the new tax credit rules. I bought the truck on Z plan which is employee pricing (retired) and limited paperwork charge to $150 and they gave me $20,000 for a 6 year old Nissan Frontier non 4x4, and the $7500 cash down payment credit. They wanted the XLT Lightning gone.

So you decline the credit then apply for it on your tax return, and let's see what happens, the dealer was still required to report the sale on the portal, if they didn't let's see what happens, be prepared to fight.

 

[Dino]

So you decline the credit then apply for it on your tax return, and let's see what happens, the dealer was still required to report the sale on the portal, if they didn't let's see what happens, be prepared to fight.

I am not sure what you mean "so you decline the credit then apply for it on your tax return" how would I decline it, I bought the truck the first week of 24. It would be great if I could just enter my VIN and find out the status.

 

[Joe.....Montana]

Received the IRS paper yesterday...heart dropped...then opened it and was pleasantly surprised at how easy it may turn out...also received email today saying my Tesla adapter shipped...#78852

 

[mrau]

May want to wait a couple of weeks to see if you get a letter from IRS.
If a dealership claimed the the tax credit on your behalf, I am sure the IRS has a record and will send letter. If no letter, than good chance the tax credit for that vehicle has not been claimed yet.

 

[StevenC56]

Again, I find it hard to believe any dealer gave you the $7500 credit and didn't collect same from the IRS. That kind of mistake doesn't just slip between the cracks. We're not talking about a couple hundred bucks which would be easy to absorb by just reducing somebody's commission for making the mistake.

 

[flyct]

Norm ally the tax credit is listed on the down payment line of the contract. So if you see a $7,500 value or down payment line is $7,500 more then you gave as a down payment, the dealer got the credit.

 

[TaxmanHog]

I am not sure what you mean "so you decline the credit then apply for it on your tax return" how would I decline it, I bought the truck the first week of 24. It would be great if I could just enter my VIN and find out the status.

I assumed you're saying they gave you a $7500 credit to reduce the price and close the deal cause they wanted the truck off the lot!!

How is the question

• was this a dealer funded price reduction
• did you pay them a deposit
• did you ask them to apply for the BEV credit

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