Prius Prime - official prices paid thread

My Plugin is TBoned last week and totaled(RIP) and now in the market for a replacement. Came across this 92K miles Prime Advanced at a local dealer for $18.5K. Its ALL CLEAN(someone traded in) multipoint inspection, clean carfax(one owner) etc. All advanced features. Offered $17.5K (CA dealer), shot back with no price reduction. Is $18.5K good price?

 

Based on current market, 18.5k seems reasonable, depending on the year. Remember that if you're eligible you could get a $4k tax credit if car is more than 2 years old, <$25k, and from dealer. If dealer as applied to IRS, you could get tax credit at point of sale vs wait till you file 2024 taxes.

 

Thank you for this detailed insight. The car is 2017 model from a Dealer.
About the Tax Credit. What if the previous owner (who has traded it in) already has applied for Tax Credit? I dont know how to find it.

 

This is a new tax credit that is now available for a used EV (BEV or PHEV) with a battery size large enough to qualify. So, it should not matter if a tax credit has been applied by a previous buyer when it was purchased a few years ago. You still qualify for the $4,000 off. But make sure that the price the dealer is advertising does not already include this $4000 rebate. In this case, your actual sales price is $22.5k and the dealer is just pocketing the $4,000 as a profit.

 

Wow!! This is a great info. Thank you very much for this insight.
Do I need to get something in writing from the dealer that the Tax Credit is not eaten by them already? OR any other option to make sure that I am legally eligible for the tax credit? Any website to learn more around this new info?
Thanks again.

 

You can check here to see if you qualify. In most cases, if the USED BEV or PHEV with at least 7kWh battery is sold at DEALER (not private sale and it has to be priced below $25K before the credit and at least 2 years old), it should qualify unless you make too much money.

Used Clean Vehicle Credit | Internal Revenue Service

You should just call the dealer and ask if the advertised price already counts the $4000 off by the rebate or not. They can't lie on this, as you buy the car, you will be signing the IRS document to verify that you bought the car with the rebate already applied to the purchasing price as a part of the payment.

 

Update on used plug in tax credit - for eligible Prius Primes. I've been pursuing a used prime and have studied up a bit on this credit. New for 2024 the tax credit must be applied for/approved at the time of purchase with the dealer - who must login to an IRS portal to process the tax credit based on the model/Vin and buyer SSN, and buyer must not exceed maximum income requirements (for prior year or current year tax return)- roughly $150k married couple, $75k single filer.

The used prime must be 2 years old or older - so 2022 model year qualifies - but also must be $25k or less from a dealer only. Also you must be first private owner after August 2022 - so it can have sold since original owner - but you must be first new private owner after Aug 2022.

The other thing that is new/good/challenging is you must do the tax credit with dealers who are setup/linked to the IRS portal - and they can apply the tax credit immediately against the purchase price - so you get the $4,000 right on the spot like a downpayment - after you attest to income limits and submit SSN/info/VIN. Then when you file your taxes the tax credit is entered and that it was already paid is noted. If your income is too high in 2023 and 2024 presumably you'd have to pay the credit back. Evidently if your tax liability (total tax due for the year on your 1040 - not your withholding) is not at least $4000 - you will not have to pay back the difference (I.e. if your total tax due was $3,000 and not the $4000 - - IRS language indicates "is not subject to recapture from the buyer or dealer").

Much of what I found was on this informative reddit thread and IRS link


https://www.irs.gov/pub/taxpros/fs-2023-29.pdf#page=14

So the challenge has been that dealers that have it figured out and are in the IRS tax credit portal - seem to have higher prices - and those that are not setup to enter the sale/tax credit into the portal (which is required or you don't get the credit) will need to be educated and follow through on registering in the portal and will want to raise their price when they realize you're getting a free $4k subsidy. Some dealers are listing "tax credit eligible" with their price or "price includes tax credit" and that is putting a lot of uncertainty into the mix of an already challenging thing.

have seen several in New York/New Jersey- LE models that seem like decent deals down a good bit from 2022 prices - if the tax credit could be added to them. Good luck! Trying to get a 2021 LE under $23k + the tax credit. Will know soon. Good luck to all - it's a great car!

And yes you should target a 2021 or newer if you can - from owning a 2021 Limited - the lane tracing/radar cruise control is almost like auto pilot if there are lines/dashed lines for the car to see - and perhaps a car in front - steers itself very nicely - just makes you touch the wheel every so often - and of course be in control of the car at all times.

 

Just snagged a 2017 Prime Advanced for $12k. 166k miles but well kept. Leather feels like new.

 

Is $12k after any Federal, State, County tax benefits? Assuming you bought from a dealer?