2025 Lariat - Federal EV Credit Help (Dealership claims it was denied)

[jamelski]

The IRS has contingencies steps you can follow if your dealer/seller did not give you the form, as long as Ford sent them the VIN, I think you can argue the point with your sales documentation, vin number etc. if they deny it...I was prepared to if needed although I didn't have to...

My dealer did not give me the form, and I was not sure if they had claimed it or not.
They took $7500 off on my sales document but it was listed as a down payment, not a tax credit, and when I took delivery they were not sure how to do the tax credit thing they said...

So I was in the dark - called them numerous times to try to get an answer but the finance person was always out or on the other line.

Anyway, ultimately, before tax filing, I was able to confirm they DID claim it by accessing my IRS files (not an easy task with all the security checks by a third party company required, but doable).

About a week later, the IRS sent me a letter informing me that I had transferred the tax credit according to their records, but that their records were wrong to let them know - apparently EV tax credit fraud is a big deal now with all the EVs being sold.

Anyway, the dealer is SUPPOSED to report the sale to the IRS, but if they don't, then what?

The facts are:
1) it is a qualifying vehicle and Ford should have reported the VIN to the IRS which proves it,
2) you can prove you bought it (all the sales paperwork) and did not transfer the credit
3) you pass the income test, so
4) I'd argue a missing piece of paper from the dealer because they were negligent should not be held against you.

A good chance you'd prevail I'd guess.

I’m not talking about a point of sale credit. I’m talking about if the dealer does not properly put your sale in the IRS tax credit system and you try to claim it at tax time you will not get the 7500 off your taxes many people have had this issue because they their dealer did not properly document their sales to the IRS

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[TaxmanHog]

If I'm guessing - the allotment issue is Ford forgot to send in their inventory list of eligible vehicles.

I would give them the silent treatment. The deal was finalized between you and the dealer. They just haven't finalized it with the IRS or Ford Corporate.

110% @Ford Motor Company classic IT issues...................................
They'll straighten this fubar ASAP SOON [tm}

BTW UPDATED POST:
This issue is between Ford & US Department of Energy which holds the eligible clean vehicle data, from which the IRS queries to determine handling of the credit transfer AND recordation of the eligible sale to the individuals tax account.

 

[chl]

I’m not talking about a point of sale credit. I’m talking about if the dealer does not properly put your sale in the IRS tax credit system and you try to claim it at tax time you will not get the 7500 off your taxes many people have had this issue because they their dealer did not properly document their sales to the IRS

Yes I get it.

The contingency applied to not getting the time of sale report from the dealer within the time period specified (or ever) whether or not you got the credit up front/at delivery.

However, the dealership can retroactively register the sale once the VIN is in the IRS database from Ford according to the IRS - they had to do that last tax year because so many dealership had issues or missed the deadlines.

But if Ford does not/did not report it as a qualifying EV to the IRS, that's a bigger problem and you will have to get Ford to fix that issue.

Yes these problems seem to have affected others with various EVs from various makers.

Bottom line, the VIn not being in the IRS database is a problem at Ford's end, not the dealership.

I believe the IRS said this (but not sure where I found the info):

• If a dealer checks the VIN through the IRS Energy Credits Online portal and it shows as ineligible, it could be because the manufacturer hasn't reported that VIN to the IRS or the vehicle was previously placed in service by another taxpayer.
• In this situation, you can request that the dealer contact the manufacturer to correct the oversight.
• The IRS is working with manufacturers to ensure all eligible VINs are submitted.

If Ford does not fix the issue, then you can't claim the credit on your return.

 

[chl]

110% @Ford Motor Company classic IT issues...................................
They'll straighten this fubar ASAP SOON [tm}

BTW UPDATED POST:
This issue is between Ford & US Department of Energy which holds the eligible clean vehicle data, from which the IRS queries to determine handling of the credit transfer AND recordation of the eligible sale to the individuals tax account.

Nothing like many things excessively complicated for no good reason, eh?!
Between congress writing the laws and the IRS writing the regulations/rules, one needs a crystal ball to figure out how to proceed through the maze of red tape, for consumers and manufacturers alike.

 

[TaxmanHog]

But if Ford does not/did not report it as a qualifying EV to the IRS, that's a bigger problem and you will have to get Ford to fix that issue.

US Department of Energy, they are the master file for the qualified vehicle data.

 

[TaxmanHog]

Between congress writing the laws and the IRS writing the regulations/rules, one needs a crystal ball to figure out how to proceed through the maze of red tape, for consumers and manufacturers alike.

A bartender from Bronx and Queens was involved, we get what we (NYK'RS) elect to surely eff it up.

 

[TaxmanHog]

Honestly.............

@Ford Motor Company is the culpable party in this issue where the manufacturing data is not submitted timely.

 

[chl]

A bartender from Bronx and Queens was involved, we get what we (NYK'RS) elect to surely eff it up.

Not sure she was all that involved though...according to the all knowing AI, lol!

The original EV tax credit was introduced in 2008 under President George W. Bush. In 2009, it was modified under President Barack Obama to increase the credit amount and extend the manufacturer sales cap. More recently, the Inflation Reduction Act of 2022 significantly revamped the credit, adding new requirements related to battery sourcing and vehicle assembly.

Important Note: The EV tax credit has been a subject of ongoing discussion and potential changes, with recent legislative proposals aiming to modify its provisions


Key individuals and their contributions:

• Senators Chuck Schumer (D-NY) and Joe Manchin (D-WV): As sponsors of the Inflation Reduction Act of 2022, they played a crucial role in negotiating and crafting the legislation which included the revamped EV tax credit provisions.
• Senator Debbie Stabenow (D-Mich.) and Senator Lamar Alexander (R-Tenn.), along with Representative Dan Kildee (D-Mich.): These individuals championed the "Driving America Forward Act" in 2019, which aimed to extend the original EV tax credit.
• Representative Peter Welch (D-VT): He introduced the "Electric CARS Act of 2021" (H.R.1271) in the House of Representatives, proposing changes to the EV tax credit.
• Representatives Emanuel Cleaver (D-MO) and Terri Sewell (D-AL): They introduced companion legislation in the House, the "Affordable Electric Vehicles for America Act," that aims to lower the cost of EVs and make the tax credits more accessible.

 

[TaxmanHog]

Not sure she was all that involved

After #46 took office the GREEN REVOLUTIONARIES that she lead had solid input to the revisions

 

[chl]

After #46 took office the GREEN REVOLUTIONARIES that she lead had solid input to the revisions

I'd have thought those 'GREEN' folks would have wanted to make it easier to get the credit, not harder. lol.

Seems to me the auto-industry probably had a lot of input, as did unions, so many hoops to jump through, percentages of this and that made here or imported, all to protect their status quo.

As I'm sure you probably know, most of the laws, regulations etc. , esp anything having to do with taxes, are often written by lobbyists and then tweaked by a representative's staff, then there is notice and comment (administrative procedures act requirement), and then the final rules are promulgated after being tweaked again often.

What's the old saying, "too many cooks spoil the broth?"

That's our legislative process in a nutshell.

Anyway, personally I'd prefer a GREEN revolution where everyone drives EVs, the air is cleaner, the highways quieter, the planet has a future, to an industrial wasteland any day, but that's just me.

 

[broncoaz]

first, since this is a 'tax CREDIT', yes, you'll not see anything to do with 'up to $7,500' as a credit on your taxes until NEXT year, or nearer next April 15th, anyway, and that's only IF you have up to $7,500 of TAXES earned...

second, while they(the dealer) 'should' provide you with the IRS 'acceptance' form, I would file for my tax credit, regardless, and let the IRS go thru their procedures, even if it is rejected, later...

I'm not sure what you're referring to toward the "they couldn't get the insurance stamp in time to do the title/reg/etc" question, as insurance should never stand in your way of a new purchase:

A) if you already have another vehicle insured, with full coverage, you likely ALREADY have the same coverage bestowed to any 'new' vehicle you purchase. Your insurance policy/insurer will tell you the facts, but that's generally how it works. Most folks don't 'already' have a new vehicle listed on their policy when they purchase a new vehicle on the WEEKEND, when almost no insurance agencies are open, for sure, and sometimes not even the insurer, themselves. Dealers know this. Generally, current insurance coverage follows automatically to 'new' vehicles, for a specific timeframe, such as 30 days, to give you TIME to alert your insurer, etc.
If, though, you didn't already have a vehicle insured when you arrive to purchase the new one, or only have LIABILITY on your current vehicle, and you are getting a LOAN on the LIGHTNING, you may not have the 'automatic' coverage the dealer/loan provider needs. This is where you HAVE to alert your insurer, on the spot, to get that handled.

B) you can always CALL your insurer, directly, rather than any 'agency', or go ONLINE to your account to add this new vehicle and receive a NEW declarations page showing it.

C) I'm not sure what a 'stamp' is... but, you are in MA, so....

D) Registration and Tag generally follow days/weeks later when YOU go to your DMV/Tag Office and apply, with your new TITLE, or Loan paperwork, and insurance, etc.

Massachusetts is it’s own hellscape when it comes to insurance, plates, registration, etc. Basically there are no temporary plates, you need a stamped RTA form from the insurance company to get plates, if the dealer doesn’t have an RMV agent in house they have to send the paperwork to the RMV for a 2 business day wait. My Lightning took an extra 10 days after the start of my lease to get everything straightened out and plated. The dealer blamed me insurance company, my insurance company (USAA) blamed the dealership. I think both were at fault.

You need the same stamped form for basically anything related to vehicle registration/plates in Massachusetts.

 

[Quibbs]

So much for moderators closing threads for getting too political.....

If you think we are now headed in the right direction I have some steaks and a college diploma to sell you.

 

[TaxmanHog]

So much for moderators closing threads for getting too political.....

What would be nice is everyone (myself included can the political rhetoric and juvenile name calling)!!

There are many guilty parties in numerous thread polluting important discussions about technical issues with the vehicle and/or secure rightful tax credits.

I seriously considered pruning the thread but I want to know the outcome of the OP's situation.

 

[F150Redux]

My dealer claims they have kept trying the IRS portal with the same results. I'm not there to see them do it, so I just have to believe that they are.

I'm not holding out much hope that they will help or do anything else for me.

I'll try and claim it at tax time in Jan/Feb and see what happens.

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