Tax Credit?

[astricklin]

Because the tax credit is not a point of sale discount, you need to expect to be able to finance and make monthly payments (if this is your situation) for at least some time based on the full price of the vehicle. It is my understanding that Ford credit will allow you to make a payment when you get the tax credit and adjust your payment if you are on the balloon payment plan with the mach-e but I don't know if they will do it with traditional financing or a traditional lease. Although you could always refinance the loan with Ford (if they will do that) or another lender. Either way, from the time you purchase the vehicle to the time that you get your tax return the following spring, you will have to afford a payment based on the pre-incentive amount.

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[metroshot]

FInancing or cash purchase will get you a $7500 tax credit against your federal tax return - but will Ford leases thru FMCC allow a cap cost reduction of $7500 to the leasee ?

 

[kapk22]

Because the tax credit is not a point of sale discount, you need to expect to be able to finance and make monthly payments (if this is your situation) for at least some time based on the full price of the vehicle. It is my understanding that Ford credit will allow you to make a payment when you get the tax credit and adjust your payment if you are on the balloon payment plan with the mach-e but I don't know if they will do it with traditional financing or a traditional lease. Although you could always refinance the loan with Ford (if they will do that) or another lender. Either way, from the time you purchase the vehicle to the time that you get your tax return the following spring, you will have to afford a payment based on the pre-incentive amount.

got it. Thank you

so, correct me if I am wrong, when you create the account on Fords site and start the reservation process, this is when you can pick the specs? Then the actual order will take place in September (maybe 15th or a little later)?

 

[TRP]

got it. Thank you

so, correct me if I am wrong, when you create the account on Fords site and start the reservation process, this is when you can pick the specs? Then the actual order will take place in September (maybe 15th or a little later)?

The reservation just puts you in line. Specs will come when you convert it to an order. Just costs $100 to play for now

 

[astricklin]

Ford should make a build/price tool available on the lightning website. I believe this typically happens before ordering is made available.

 

[shutterbug]

FInancing or cash purchase will get you a $7500 tax credit against your federal tax return - but will Ford leases thru FMCC allow a cap cost reduction of $7500 to the leasee ?

No. They did not do that with Mustang Mach-E. They did have lease-like loan program called Ford Options.
https://www.ford.com/finance/finance-options/ford-options
I assume they'll do the same with Lightning.

 

[TRP]

No. They did not do that with Mustang Mach-E. They did have lease-like loan program called Ford Options.
https://www.ford.com/finance/finance-options/ford-options
I assume they'll do the same with Lightning.

Also, with the FO plan they are allowing a 1 time lump payment of your refund and then adjust your loan and payment.

At least that's what I saw on the Mach E forum, I'd certainly double check that out if you plan to try it tho

 

[shutterbug]

Also, with the FO plan they are allowing a 1 time lump payment of your refund and then adjust your loan and payment.

At least that's what I saw on the Mach E forum, I'd certainly double check that out if you plan to try it tho

My credit for MME is going to Lightning down payment.

 

[kapk22]

The reservation just puts you in line. Specs will come when you convert it to an order. Just costs $100 to play for now

this makes no sense to me then :/

 

[Bandit216]

Don't try to make sense of the Ford website or app, it will just give you a headache. The FAQs for the F-150 are probably just a poorly edited rehash of the Mach E FAQs. The Mach E reservation let you configure your vehicle. The F150 reservation does not.

 

[kapk22]

Don't try to make sense of the Ford website or app, it will just give you a headache. The FAQs for the F-150 are probably just a poorly edited rehash of the Mach E FAQs. The Mach E reservation let you configure your vehicle. The F150 reservation does not.

ok. Thank you

 

[greenne]

It doesn't matter what number is yours. If Ford reaches 200K on the 1st day of a quarter, everyone who buys during that quarter, still qualifies. IRS publishes quarterly numbers. As of 3/31/2021, Ford's total is 134,195.

I'd like to point out that full credit is the quarter the automaker hits 200k AND the first quarter after.

So if Ford were to hit 200k "sold"(i.e. delivered to customer) the 4th qtr of 2022--(for example)..all Lightnings sold in 4th qtr and 1st qtr 2023 would be eligible--no matter how many they sold those qtrs.

50% of the credit for the following two quarters(again no matter how many are sold) and then 25% for two more quarters(no matter how many are sold).

Again that's if the current EV tax credit is unchanged.

 

[astricklin]

I'd like to point out that full credit is the quarter the automaker hits 200k AND the first quarter after.

So if Ford were to hit 200k "sold"(i.e. delivered to customer) the 4th qtr of 2022--(for example)..all Lightnings sold in 4th qtr and 1st qtr 2023 would be eligible--no matter how many they sold those qtrs.

50% of the credit for the following two quarters(again no matter how many are sold) and then 25% for two more quarters(no matter how many are sold).

Again that's if the current EV tax credit is unchanged.

Tesla strategically timed their deliveries so they hit 200k at the beginning of a quarter and worked hard to deliver as many vehicles as they could before the full credit ran out and then again before it lowered each time. Ford has to go through dealers so it's a bit harder to time the exact delivery but hopefully they will try as best they can do the max amount of customers possible will get the highest credit possible.

 

[greenne]

Tesla strategically timed their deliveries so they hit 200k at the beginning of a quarter and worked hard to deliver as many vehicles as they could before the full credit ran out and then again before it lowered each time. Ford has to go through dealers so it's a bit harder to time the exact delivery but hopefully they will try as best they can do the max amount of customers possible will get the highest credit possible.

The ideal situation would be for Ford to hit 200k on the first couple days of the quarter, for sure.

That's if the credit is not modified, extended, by congress

I also wonder if Ford is trying to hold out on pricing to figure out the Tax credit situation. At least one proposal(the one that was passed in senate committee) provided the up to possible $12,500 credit(for union, made in US), but it had a cutoff of $80k. The Lariat is very priced very close to that. I doubt Ford would cut $10k off the platinum threshold, but its very reasonable they could finesse the Lariat so it comes in just under the threshold.

I think we will now by the end of the year how the EV credit is gonna shake out...if the Democratic congress can't get their agenda passed I don't see it being enough of a priority to bring up just before midterms. I think the next 2-3 months is make or break time with the reconciliation pkg.

 

[sotek2345]

The ideal situation would be for Ford to hit 200k on the first couple days of the quarter, for sure.

That's if the credit is not modified, extended, by congress

I also wonder if Ford is trying to hold out on pricing to figure out the Tax credit situation. At least one proposal(the one that was passed in senate committee) provided the up to possible $12,500 credit(for union, made in US), but it had a cutoff of $80k. The Lariat is very priced very close to that. I doubt Ford would cut $10k off the platinum threshold, but its very reasonable they could finesse the Lariat so it comes in just under the threshold.

I think we will now by the end of the year how the EV credit is gonna shake out...if the Democratic congress can't get their agenda passed I don't see it being enough of a priority to bring up just before midterms. I think the next 2-3 months is make or break time with the reconciliation pkg.

The reconciliation package is really the FY22 federal budget, so if they don't pass it by the end of Sept., either you get a government shutdown or they have to pass a continuing resolution to keep the lights on.

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