Hold off on accepting binding agreement with Rivian till House of Representative approves bill

[jollyroger]

I’m not saying that Rivian will actually act on anything stated in that clause, but we know how long it took them to make changes to the configurator after the March fiasco - so there’s NO way their system is already set up to show an immediate change based on your updates.

I'm assuming they are trying to explain what they said back in the March pricing fiasco in that if you opt for dual motor. or a few of the other major changes like standard battery, you will be in the new pricing scheme. But who knows what will eventually happen.

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[NY_Rob]

Ha I'm looking at JFK flights as we speak but for Feb. Prices are insane going to wait. Where on LI are you?

Side note: just finished my test drive!

I'm in Stony Brook...

 

[sk00pie]

I'm in Stony Brook...

Awesome I'm in Centerport/Hunting Bay. The 4wd will come in handy with our North Shore hills!

 

[NY_Rob]

Awesome I'm in Centerport/Hunting Bay. The 4wd will come in handy with our North Shore hills!

I use the Port Jeff and Stony Brook ramps for boating, looking forward to towing the boat with the R1T vs. our current Honda Pilot.

 

[Taycanfrank]

Worth noting is after consulting with my finance guy he DOES believe this will get you the tax credit, if you sign before the president does. He doesn't think they can possibly close the tax loophole, as it's the same loophole that effects a number of credits.

Sign it TODAY.

 

[TNappen]

Sorry, but this is very bad advice. Your window to do this closes when the president signs, which could literally be any time after the House approves. Once the Bill is enacted you can no longer take advantage of the transition rule. It is gone for good. The House is not opening debate for any amendments, the Speaker has promised a straight up-or-down vote. If you dither your could easily miss the opportunity. If you seize the day, the most you are out is $100.

Not bad advice..., just being cautious. Signed my agreement Friday once bill passed in House. President still hasn't signed yet and it doesn't become law till then. Be cool!

 

[TexasBob]

Not bad advice..., just being cautious. Signed my agreement Friday once bill passed in House. President still hasn't signed yet and it doesn't become law till then. Be cool!

Not intending to offend. Probably a bit too hasty in my choice of words.

I am glad you have gotten signed and I am glad there is a delay in the enactment date. I stand by my comment from earlier in the week that the wise money was to sign and close to protect the downside. But I am very glad the timing has worked out for you. Enjoy your Rivian!

 

[Tbrou16]

You would think that Rivian honoring pre-March prices for what now looks like 2 years of deliveries would buy them a little trust regarding what seems to be a gift with this purchase agreement. They can’t force you to buy a truck no more than Twitter could force Elon Musk to buy their company. It is extremely rare that a court would favor the vendor in a dispute like this.

 

[runwithscissors]

Would changing the config around after signing this cause issues? I called support and she said no unless I switched to 2 motors. I told her I wanted to change the rims and interior color out but she said no problem. I'm still weary of making any changes after this.

 

[Rivian_Hugh_III]

Would changing the config around after signing this cause issues? I called support and she said no unless I switched to 2 motors. I told her I wanted to change the rims and interior color out but she said no problem. I'm still weary of making any changes after this.

This was specifically called out on the Rivian help page that accompanied the Binding Purchase Agreement. They say explicitly that signing the agreement does not lock in your configuration.

 

[TexasBob]

This was specifically called out on the Rivian help page that accompanied the Binding Purchase Agreement. They say explicitly that signing the agreement does not lock in your configuration.

FWIW, the other OEMs that are doing this (e.g. Fisker, VinFast, Lucid) have made it clear that you are locked into a vehicle and a model but not options. Based on the reading from those other agreements, I would guess you are locked into, for example, an R1S Adventure but nothing else. I do not think you can continue to switch between vehicles or bounce between Adventure and Explore without risking invalidating the agreement with the IRS (assuming the IRS accepts these agreements at all...)

 

[Boomkanani]

I'm still very confused on why the $7,500 tax credit is still such a huge deal? Please correct me if I'm wrong, but the tax credit is not $7,500 given to you when you file your tax return. My understanding is its just a $7,500 deductible essentially. Don't get me wrong, every little bit helps, bit it doesn't seem like it should be THAT important to a lot of people on whether they'd still buy a Rivian. For Rivian's success, I hope the BPAs help. I took delivery in early August, but wasn't concerned about the tax credit. I just wanted my vehicle as soon as possible after pre-ordering in March 2020.

 

[runwithscissors]

This was specifically called out on the Rivian help page that accompanied the Binding Purchase Agreement. They say explicitly that signing the agreement does not lock in your configuration.

Thanks! Appreciate the clarification. I just read the following and figured any changes would screw up my order but I was bumped to first half of '23 with the OC interior. I switched to BM interior hoping it would help me but who knows.

3. Order Changes. If you make changes to the Vehicle after the Order Date, you may lose eligibility for special edition models, your place in line for priority delivery, and/or be subject to potential price increases based on any pricing adjustments made since the Order Date.

 

[mikehmb]

I'm still very confused on why the $7,500 tax credit is still such a huge deal? Please correct me if I'm wrong, but the tax credit is not $7,500 given to you when you file your tax return. My understanding is its just a $7,500 deductible essentially. Don't get me wrong, every little bit helps, bit it doesn't seem like it should be THAT important to a lot of people on whether they'd still buy a Rivian. For Rivian's success, I hope the BPAs help. I took delivery in early August, but wasn't concerned about the tax credit. I just wanted my vehicle as soon as possible after pre-ordering in March 2020.

The Tax Credit under current law is effectively a rebate against your tax burden. For example, if you owe/pay 10k in taxes in a year, and are eligible for the 7500 credit, then your net tax burden reduces to $2500. That means if you are paying all taxes in the tax year in total, and not a penny more (and not when you file your return), then you get a check for $7500.

If you defer all your tax payments until when you file, and say you would otherwise owe $10,000, you would reduce that by $7500, resulting in a net check you write the IRS for $2500.

If you owe/pay zero taxes, it doesn’t do you any good.

I -believe- the new law (if you qualify) that the gov’t writes you a check for $7500 regardless of your tax burden, and I think it might happen at point of sale (or near it) vs. waiting until you file.

 

[MooreND23]

Random question and pardon my ignorance but my wife and I have both and R1S and R1T on order (2020/2021 orders) and I have a Silverado EV order in. Joint filing, one income. Can’t find much about the new or existing tax law regarding purchasing multiple EVs. Assume all will arrive in 2023, possibly one in 2024. Thanks so much.

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