[Fayt349]

The current bill to be passed has sedans eligible for the EV tax credit up to $55,000.

The BMW i4 costs more than that, even at base value. Doesn't this mean that next year, the BMW i4 won't have any tax credit at all due to this? At this point, BMW won't be able to advertise that you get a tax credit if you purchase an i4.

 

[teamzans]

The current bill to be passed has sedans eligible for the EV tax credit up to $55,000.

The BMW i4 costs more than that, even at base value. Doesn't this mean that next year, the BMW i4 won't have any tax credit at all due to this? At this point, BMW won't be able to advertise that you get a tax credit if you purchase an i4.

Yeah, I think that's the current draft and your statements seem correct to me. And the SUV tax credit would exclude the iX too. BMW may have some comments around that!

 

[tkjr616]

Yeah, I think that's the current draft and your statements seem correct to me. And the SUV tax credit would exclude the iX too. BMW may have some comments around that!

You sure? I think that only applies to the extra $5,000 over the $7,500. In other words, I think the $7,500 applies, however, the extra $5,000 is not eligible because the price is over $55K. It's moot anyways as the car has to be manufactured in the US to get the extra $5K.

 

[tkjr616]

You sure? I think that only applies to the extra $5,000 over the $7,500. In other words, I think the $7,500 applies, however, the extra $5,000 is not eligible because the price is over $55K. It's moot anyways as the car has to be manufactured in the US to get the extra $5K.

The new bill is proposing a $12,500 credit based on certain conditions. Maybe I'm wrong. Just seems odd the I4 would not be elgible

 

[teamzans]

You sure? I think that only applies to the extra $5,000 over the $7,500. In other words, I think the $7,500 applies, however, the extra $5,000 is not eligible because the price is over $55K. It's moot anyways as the car has to be manufactured in the US to get the extra $5K.

I was reading the MSRP requirement to apply to any of the credit, and the US-made requirement to begin in 2027.

 

[tkjr616]

The new bill is proposing a $12,500 credit based on certain conditions. Maybe I'm wrong. Just seems odd the I4 would not be elgible

actually just read..it is $55K. unfortunate. oh well

 

[Fast M]

actually just read..it is $55K. unfortunate. oh well

You will get approx 5 % discount and price can adjust also your old car. No problem.

 

[teamzans]

You will get approx 5 % discount and price can adjust also your old car. No problem.

I don't think that's accurate. The tax credit is pre-determined by the IRS regardless of the actual sales price. Any used car trade-in is below the line anyway.

 

[azahed]

When talking to a product specialist in the LA gallery, I was told some options in Europe and Canada come as standard in US. I'm hoping BMW instead changes one or two of those into options again to drop MSRP and make at least the eDrive40 qualify for the credit.

Although if senate doesn't raise the MSRP cap, I'm probably going to have to say goodbye to my M50 preorder regardless

 

[dpc166]

I thought the $7500 applied regardless, then there were certain additional credits if the car was made in the US, battery made in the US, and made by union labor (that last one is just weird because it has no effect on marketing EV adoption).

 

[azahed]

I thought the $7500 applied regardless, then there were certain additional credits if the car was made in the US, battery made in the US, and made by union labor (that last one is just weird because it has no effect on marketing EV adoption).

Unfortunately that is not the current language in the proposed act.

It works as follows until 2027, all EV sedans under $55k and EV trucks, vans and SUVs under $80k qualify for the $7.5k tax credit. If it is built with US produced batteries, you get an additional $500. If it is produced in a union you get a $4500, for a maximum of $12500. MSRP cap applies to all parts of the tax credit under the house version (the senate one is now dead, which I believe had the interpretation you had).
Additionally, there is an income limit ($200k taxable for single filers). After 5 years, all parts of the credit only apply to US made cars.

That said, the bill isn't passed, and apparently it's a bit of a mess so we'll see some rewrites in the house this week before it presumably gets passed and sent to the senate.

 

[dpc166]

Unfortunately that is not the current language in the proposed act.

It works as follows until 2027, all EV sedans under $55k and EV trucks, vans and SUVs under $80k qualify for the $7.5k tax credit. If it is built with US produced batteries, you get an additional $500. If it is produced in a union you get a $4500, for a maximum of $12500. MSRP cap applies to all parts of the tax credit under the house version (the senate one is now dead, which I believe had the interpretation you had).
Additionally, there is an income limit ($200k taxable for single filers). After 5 years, all parts of the credit only apply to US made cars.

That said, the bill isn't passed, and apparently it's a bit of a mess so we'll see some rewrites in the house this week before it presumably gets passed and sent to the senate.

If that's the case then it might be worth waiting for an off-lease one over buying new.

 

[Willy5]

The current bill to be passed has sedans eligible for the EV tax credit up to $55,000.

The BMW i4 costs more than that, even at base value. Doesn't this mean that next year, the BMW i4 won't have any tax credit at all due to this? At this point, BMW won't be able to advertise that you get a tax credit if you purchase an i4.

BMW sure to lobby Congress, but tax credit is tricky to navigate under any circumstances.

 

[Fayt349]

So I guess it won't apply. In that case I will get the Tesla since it's AWD and under $55k.

 

[Techwhiz1]

But the legislation isn't final and you can always cancel the order without penalty.

The $7500 isn't a deal breaker for me.

Sent from my LE2125 using Tapatalk

 

[Fayt349]

Sadly it's a dealbreaker for me

If I buy an EV I want to take full benefit of everything possible.

 

[Willy5]

Various EV proposals are in discussion now. The only EV that qualifies for all is the Chevy Bolt. Likely the threshold will be raised and the credit made refundable. patience for now.

 

[azahed]

I'm gonna hold onto my order for now as well. But at the end of the day I'm in the market for a luxury car, not an EV. Without and incentive, it makes much more sense for me to get an M440i or Audi S5 sportback at a similar or lower price...

That said, even if the bill passes house tonight, it has to go through senate where the union incentive is gonna get pushback. There might be potential for an MSRP cap increase as well. You can also try contacting your senator(s) considering the current proposed incentive disproportionately incentivizes SUVs and trucks (which are less efficient) compared to sedans (even accounting for increased battery prices).

 

[Jpuff]

I care more about the car than the credit. I have a Model Y, and Tesla does an amazing number of things wrong with the car. The Model 3 has all those problems plus less interior room. Also I'd hit my head every time I got in or out.

 

[dpc166]

Sadly it's a dealbreaker for me

If I buy an EV I want to take full benefit of everything possible.

Agree. EV credit would be great to have and would certainly bring more customers to the brand. Looks like I'm going to end up waiting for some to come in off-lease and we'll see what they'll cost in 3 years for a CPO.