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New Prime purchase. About the federal rebate

Discussion in 'Prime Main Forum (2017-2022)' started by Matt1984, Nov 11, 2019.

  1. GSK

    GSK Active Member

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    I'm not understanding what you are referring to here. What is Trump's 2020 tax proposal? If you are referring to the White House budget, then there is nothing to worry about. The White House budget is rarely, if ever, close to what actually becomes law after Congress works through their appropriations bills. In a divided government like we have now, the House will be very far away from whatever is in the White House budget, and the Senate has already stated that they aren't even going to bring it up for discussion.
     
  2. CharlesH

    CharlesH CA HOV Decal #5 on former PiP

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    The White House budget is simply the president's wish list. Congress will decide what the real budget is. This is how it has been for a long time for presidents of both parties.
     
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  3. GSK

    GSK Active Member

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    it's surprising how many people don't understand that.
     
  4. fuzzy1

    fuzzy1 Senior Member

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    The cutoffs / phase-outs happen by calendar quarter.
    From IRS notice above:

    "IR-2019-57, March 26, 2019

    WASHINGTON — The IRS announced today that General Motors, LLC has sold more than 200,000 vehicles eligible for the plug-in electric drive motor vehicle credit during the fourth quarter of 2018. ..."

    It seems that there is a full quarter's delay for bureaucracy to catch up with the sales figures and then issue advance notice of the phaseout schedule. I.e. the delay from the 200,000th qualifying sale until start of phase-out is at least 3 months, but probably not more than 6 months.

    50% credit for first 6 months, then 25% credit for second 6 months. Then 0% after that.
     
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  5. fuzzy1

    fuzzy1 Senior Member

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    Congress rarely moves that fast.

    And right now, almost everything the Democrat House passes ends up dying in Mitch McConnell's Inbox, while the fewer things passed by the Republican Senate don't get enough House support. And with neither side getting serious about the budget deficit, they both realize that the only way to get much of anything done is for both to approve the other side's pork too.

    So it seems very unlikely that this pork XXXX these tax credits will be cancelled early. Everyone has bigger fish to fry.
     
  6. Sean Brisson

    Sean Brisson Junior Member

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    Thank You Fuzzy1 and all others! From what I am gathering, sounds like the 4500 tax credit has minimal chance of being eliminated!
     
  7. Heedunk

    Heedunk Junior Member

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    Just received notification from Turbo Tax that my federal return was rejected due to a change to the EV federal tax credit. Anyone else get the same? Turbo Tax says the EV federal tax credit update will be ready on Thursday, 2/20. I have no idea what changed, but supposedly some kind of amendment to the Tesla tax credit.

    EDIT: Looks like Tesla owners are receiving the same message:

    Form 8936 Qualified Plug-In Electric Drive Motor Vehicle Credit STILL not ready on TurboTax | Tesla Motors Club
     
  8. GSK

    GSK Active Member

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    yep, we got that same message today too. Really frustrating, after waiting until mid-Feb just to get the form!
     
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  9. stuyguy

    stuyguy Active Member

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    I efiled via TurboTax 2/12 as soon as form 8936 was available. Return accepted by IRS. Haven't received any TT notification
     
  10. Heedunk

    Heedunk Junior Member

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    Supposedly Turbotax calculated the Tesla phase-out credit wrong. So maybe since you have a Prime, you are OK.
     
  11. Heedunk

    Heedunk Junior Member

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    Yeah, super frustrating.
     
  12. GSK

    GSK Active Member

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    wait, I didn't buy a Tesla but still got rejected. I don't think it is Tesla specific.
     
  13. stuyguy

    stuyguy Active Member

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  14. Heedunk

    Heedunk Junior Member

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    Turbotax fixed the bug in their software yesterday. I was able to file and get my federal and state returns approved.
     
  15. iansgp

    iansgp Gen3 and Gen4-plugin owner

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    Just bought a 2020 Prime (Feb 2020). Can I file the 8936 with my 2019 Fed return?
     
  16. fuzzy1

    fuzzy1 Senior Member

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    #76 fuzzy1, Feb 23, 2020
    Last edited: Feb 23, 2020
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