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    New USA EV Tax Credit IRS Stipulation updated

     Scott Davis

    Scott Davis

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    12/29/2022 at 21:52

    Well gang seems the tax stipulations have been updated and unless the Vehicle is Leased will not qualify for the Tax Incentive. Now will this mean Vinfast will do all they can to try and have people lease the vehicles instead of buying them. Or will they stick to their word and offer a $7500 rebate for the people who want to buy the car instead of leasing it?

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  • Phong Vo

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    12/30/2022 at 07:28

    Saw the article this morning. I am too hoping Vinfast will live up to its promises for the people who have placed the trust in them.

  • Scott Hale

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    12/30/2022 at 08:41

    For those who converted to an order prior to bill signing are locked into the ‘old’ law. And if the IRS balks Vinfast has to cough up $7500.

    Any regulations for the new law won’t be relevant.

    I bet $200 on that. A good bet? Idk. We shall see in a year or so.

    • Scott Davis

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      12/30/2022 at 09:55

      From what I read from the IRS site if you take delivery tomorrow is correct. However, in the IRS guidelines if you do not take delivery until 2023 it goes to the new rule and only leases will qualify.

  • Scott Hale

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    12/30/2022 at 10:21

    My understanding is even if 2023 delivery the old law still applies if one had a signed contract prior to bill signing

    Plus, if true Vinfast would owe me the credit per the contract. I’m not picky who pays me. 🤪

  • Sachin Bhutani

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    12/31/2022 at 11:07

    Vinfast is not listed here yet, there are other companies listed with no qualified models,

    In this case even lease will not qualify? https://www.irs.gov/credits-deductions/manufacturers-and-models-for-new-qualified-clean-vehicles-purchased-in-2023-or-after

    • Scott Hale

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      12/31/2022 at 11:53

      vinfast is not listed on any lists, just yet. With CE here in calif, I’m not sure any of been delivered to customers. Hope they get their crap together and have the VF8 trims displayed on the website in the next batch due 1st quarter 2024.

      • Scott Davis

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        12/31/2022 at 16:21

        I think they will have another shipment in Feb to come into port maybe beginning to middle of March for consumers of the normal VF8 Eco and Plus editions. That is when they will be delivering cars to actual customers. Or they could just be waiting until March to get enough demand for the CE but I highly doubt that. Or they waiting for the range update on the City Edition next month before releasing the vehicles to customers.

  • Scott Hale

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    12/31/2022 at 16:47

    I’ve been told a couple times 1st quarter 2023 for the next batch. Since it takes nearly a month to get here, I’m guessing it won’t be until late Feb/March. What they won’t say is if it will be the CE trim again. And I’ve pressed them on that question.

    Pretty sure they are assembling them currently. It took them a couple months to get to 999. Very doubtful they are shortshifting to delay things or create demand. With maybe 65k reservations, they have plenty of possible demand. I suspect, tho, that after CE a bunch asked for their deposit back; those that could, that is.

    I’ll be relieved if the CE dies at 999. Or less worried after reading all the trolls on reddit speculating vinfast will declare bankruptcy soon; or the IPO is a scam etc.

  • HUNG PHAM

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    01/01/2023 at 22:07

    This means a VinFast lease will qualify for the $7,500 tax credit which is a good thing for both VinFast and its customers who choose to lease this time..

  • Scott Hale

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    01/02/2023 at 09:52

    There is some confusion here. Those reservation holders who converted to a order prior to bill signing should get the credit from IRS or Vinfast. All else will have to wait until after units roll out of the not built yet US factory. And at best that is half the credit. Unless battery components and mineral are from US or limited countries the other half of the credit goes up in smoke.

    Buying or leasing. My understanding the lease blurb was for commercial vehicles as well. Vinfast is not listed on the IRS or treasury sites as credit available. In fact very few vehicles are listed at all.

    • Scott Davis

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      01/02/2023 at 11:19

      With my understanding @SHale is correct if you converted to an non refundable order deposit you should be able to get Fed Credit or Vinfast will give you a rebate of the $7500 per their word. However, from what I have read and keep reading though I think Vinfast will be giving the $7500 rebate as my understanding from the Stipulations that the IRS released last week any vehicle purchased or order placed before the signing and not delivered until after 1/1/23 will not qualify for credit. Here is a link to the IRS site talking about binding contracts and other stuff.

      https://www.irs.gov/credits-deductions/credits-for-new-electric-vehicles-purchased-in-2022-or-beforehttps://www.irs.gov/credits-deductions/credits-for-new-electric-vehicles-purchased-in-2022-or-before

      I am guessing the Vinfast will not qualify for tax credit as all vehicles did not start delivery until after 1/1/23. However, if one were to just lease the vehicle it will qualify for full $7500 credit as it is then considered “Commercial use”.

      • Scott Hale

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        01/02/2023 at 11:28

        I think at least one of the lists displays the true commercial vehicles and vinfast is not listed there at all. I think this entire ‘lease’ gets the credit is a stretch…….so anybody looking at that should have a long conversation with their tax person first as it will be a long shot.

        Also keep in mind in March all this might change again as actual guidelines a due to be published.

      • VF Staff 7

        Moderator
        0 VF Points
        Member
        01/13/2023 at 16:51

        Hi there Scott, VinFast has pledged paying the tax credit amount of $7,500 to our customers who signed the binding agreement offer should the owner be declined by the IRS when filing their taxes.

  • Scott Hale

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    Member
    01/15/2023 at 14:09

    my understanding that is true only if the leasing company ‘passes’ the credit to the customer.

    And those who converted to orders prior to bill signing and safe; they will get it from IRS or vinfast.

  • Shawn R.

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    Member
    01/19/2023 at 12:42

    Hopefully they will just give those who converted to an order the $7500 when at time of order it makes no sense to have everyone file taxes get denied then come back to Vinfast. The cars clearly don’t qualify so why extend the process.

    • Scott Davis

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      Member
      01/20/2023 at 07:37

      I think they doing it that way to make sure you will not try and double dip on the tax credit. Meaning as it is a tax credit until 2024 you have to add it to your taxes at end of year.

      Now lets us say that if they do go ahead and give the $7500 rebate on cost of vehicle. What is stopping people from trying to also claim the $7500 tax credit as well just to see if they would get denied or not. So I think this is why they want people to try the tax credit first and then if it gets denied they will cut a check to you in the amount of $7500.

      Now in 2024 they will start to qualify for the Tax Rebate which will only be $3750 as the vehicle will be made in North America along with the Batteries. Then the other $3750 will depend on how much mineral are mined at certain locations. Then that is when it become a Point of Sale Rebate. So it is just this year 2023 that it is a Tax Credit as they are working on logistics and transitioning on it being a Tax Credit to a POS REBATE.

  • D P

    40 VF Points
    Member
    01/31/2023 at 17:17

    How they will apply the 7500 credit for the eligible-with binding contract- pre holders? Do we need to add anything to 2022 taxes even if we did not receive the car?

    • This reply was modified 1 year, 9 months ago by  D P.

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