Tesla Price Cuts Across The Board

[kizamybute']

Sadly, Tesla has a history of doing this kind of thing. Again, another reason why, despite loving the cars, bailed on owning another one after 9+ years in various Tesla's.

Whey they first started, customer service was great and continued for the first few years, then steadily declined. Can't get anyone on the phone for simple answers to quick questions. Service appointments are scheduled months out. They have a crappy attitude toward customers. Customer loyalty means nothing to them.

They've done several of these types of price cuts and always very secretively with no advance warning. Then offer nothing to the buyer that just paid 20% more YESTERDAY to show at least some compassion and appreciation for the customer. And, clearly they don't have to do anything. You buy a car on a particular day and agree to the price. What happens tomorrow is a different thing. But, just because you don't "have to" doesn't mean you shouldn't. Obviously any buyer that paid $13,000 more yesterday is not going to be happy. Throw them a bone of some sort to make that customer feel loved so they come back in 2-3 years for their next car. Throw in Enhanced Auto Pilot or FSD at no charge. Cost Tesla NOTHING to flip the switch, yet would go a long way in making that customer feel as though they didn't just get taken.

Same thing has happened with hardware updates. They say nothing, sell off their cars as the latest and greatest, then the next day announce a whole host of hardware changes that can't be retrofitted to older vehicles. Thus, now the brand new car you just bought yesterday is already outdated. At least with regular manufacturers, you know what changes are coming in the next model year. Tesla flipflops on changes daily. Try buying a 2015 Model S and figuring out what you actually get. An early 2015 is VERY different from a Mid-2015 Model S and different still from a late 2015.

It's great that they don't wait to upgrade their cars, but at least give people a heads up that changes are coming next month. They're still going to sell that customer a car, just might be a month later. Yet, it will be a happy customer that will likely return for their next car. They are very short-minded and operate only for today with no concern or care for the longer term impacts their decisions have. As great as their cars are and, I truly loved my Tesla's, just can't support a company that does business the way they do.

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[Batman]

Just ordered a Model Y Long Range for my wife. We had our eyes open out there, but at this price point, it's too good to pass up. Feb-Mar delivery for 7 seater.

So you went over the 55k mark but since you ordered a 7 seater your car falls in 80k tax credit range, granted you meet income criteria.

 

[brancky3]

Same result in the end, you’re just using different terminology.

Not really. You don't need to owe the IRS anything after preparing your taxes. Like, if I paid more than $20k in taxes from my regular salary and am slated to get a $2000 refund, once I add the credit I'm "probably" going to get $9500 back instead.

 

[Thedude]

Not really. You don't need to owe the IRS anything after preparing your taxes. Like, if I paid more than $20k in taxes from my regular salary and am slated to get a $2000 refund, once I add the credit I'm "probably" going to get $9500 back instead.

I disagree. You owe the government the money whether or not you paid it throughout the year or at the end of the year. The end result is the same whether you overpaid monthly and receive a larger refund plus the $7500 or paid accurately and end up with just the $7500 when filing.

 

[brancky3]

I disagree. You owe the government the money whether or not you paid it throughout the year or at the end of the year. The end result is the same whether you overpaid monthly and receive a larger refund plus the $7500 or paid accurately and end up with just the $7500 when filing.

I think the point I'm trying to make is that you don't need to OWE taxes at the end of the year to get the refund. But, yes you get the refund for taxes you've already paid. A lot of people think that if you don't OWE $7500 when filing your taxes then you don't get the credit, which is wrong.

 

[Mark_AZR1T]

So you went over the 55k mark but since you ordered a 7 seater your car falls in 80k tax credit range, granted you meet income criteria.

Bingo. On a side note, income, what's that.....

 

[SoCalTravels]

So you went over the 55k mark but since you ordered a 7 seater your car falls in 80k tax credit range, granted you meet income criteria.

If only they made a 7 seat performance model Y.

 

[Riviot]

I think the point I'm trying to make is that you don't need to OWE taxes at the end of the year to get the refund. But, yes you get the refund for taxes you've already paid. A lot of people think that if you don't OWE $7500 when filing your taxes then you don't get the credit, which is wrong.

Yes, you do.

Edit: to clarify, stick to official IRS terminology e.g. non-refundable credits. "Tax refund" is just a delta between what you owe and what you paid. So yes, you need to "owe" tax money for it to help you.

https://www.irs.gov/credits-deductions/credits-for-new-clean-vehicles-purchased-in-2023-or-after

The credit is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.

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

The maximum credit is $7,500. It is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.

 

[Zorg]

Some lose, some win. Bought a Y in 2021 and sold it a year later for slightly more before getting the Rivian. So, got quite lucky there. I don't fault Tesla. If they kept the price steady for the last 2 years, we would have seen scalpers reselling the bloody cars for a big profit. So, it may as well be Tesla making money.

As for pre announcing price decreases or HW improvements, it's a silly idea.

 

[astonius]

Yes, you do.

Edit: to clarify, stick to official IRS terminology e.g. non-refundable credits. "Tax refund" is just a delta between what you owe and what you paid. So yes, you need to "owe" tax money for it to help you.

https://www.irs.gov/credits-deductions/credits-for-new-clean-vehicles-purchased-in-2023-or-after

The credit is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.

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

The maximum credit is $7,500. It is nonrefundable, so you can't get back more on the credit than you owe in taxes. You can't apply any excess credit to future tax years.

These discussions always reinforce the unfortunate nature of payroll deductions. It confuses language and obscures just how much many of us are paying over the course of a year. If we all had to write a fat check at the end of the year something tells me we’d be demanding lower taxes or more accountability.

 

[Donald Stanfield]

These discussions always reinforce the unfortunate nature of payroll deductions. It confuses language and obscures just how much many of us are paying over the course of a year. If we all had to write a fat check at the end of the year something tells me we’d be demanding lower taxes or more accountability.

Every year when I’m writing the check for my taxes, plus the penalty for not paying quarterly, I get pretty pissed off. The amount the government takes from me and the very little I get for it is always a tough pill to swallow.

I think if people were more aware of it as you say there would be a different conversation. Especially when you think that most of the stuff that impacts you daily doesn’t come from federal taxes but from state and local ones.

 

[2025R1S]

If only they made a 7 seat performance model Y.

MY LR 7 seat, 20” Inductions and PUP upgrade. 0-60 will be 3.7s. Only thing missing is the Brembo brakes

The Model Y classifies as both an SUV or sedan in the IRA., depending on how it is optioned out.

 

[manitou202]

MY LR 7 seat, 20” Inductions and PUP upgrade. 0-60 will be 3.7s. Only thing missing is the Brembo brakes

The Model Y classifies as both an SUV or sedan in the IRA., depending on how it is optioned out.

You won't miss the Brembo brakes. It looks like the cost cutting already took care of that.

https://insideevs.com/news/630576/tesla-model-y-performance-plastic-caliper-covers/

 

[manitou202]

Some lose, some win. Bought a Y in 2021 and sold it a year later for slightly more before getting the Rivian. So, got quite lucky there. I don't fault Tesla. If they kept the price steady for the last 2 years, we would have seen scalpers reselling the bloody cars for a big profit. So, it may as well be Tesla making money.

As for pre announcing price decreases or HW improvements, it's a silly idea.

There is no reason to fault Tesla for price changes like you mention. The part that is surprising is why they didn't gradually lower the prices. Especially for the Model Y. I guess they needed it to be below $55k for tax credit purposes, but a $13k price drop all at once is very unusual even for the big three. It's rare to suddenly have a $13k incentive on a vehicle, let alone a $13k MSRP drop.

 

[2025R1S]

If I read that correctly, the MYP still comes equipped with the Brembo brakes on the front axle. Is that true?

You won't miss the Brembo brakes. It looks like the cost cutting already took care of that.

https://insideevs.com/news/630576/tesla-model-y-performance-plastic-caliper-covers/

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