Rivian posts updated IRS guidance for BPA + Instructions to claim EV Tax Credit

[Prime]

The IRS isn't going to change the wording again in like 2 weeks right?

Sponsored

 

[Prime]

Does the income limitation and $80,000 MSRP still apply? Or is it pure that the 2022 rules apply?

per Rivian's email "without restrictions on vehicle MSRP, buyer income, and manufacturing requirements"

 

[R1Sky Business]

Also got this email. Sounds good to me.

Everyone loves Rivian today

 

[R1Sky Business]

*reconfigures vehicle

Accessorize away!!!!!

 

[R1Sky Business]

*reconfigures vehicle

Except for the "pending estimate of delivery " issue

 

[freshpow]

If you'd be so kind as to NOT misquote me, it would be a classy move.
If you read back to everything I wrote, I specifically stated that I was not (and had not) provided any guidance here or to any of my clients (none of whom have bought a Rivian).

I stand by my statement that many with a homegrown interpretation of what constitutes a "binding agreement" will be disappointed, and gave just one of several examples of the hairball things that people were saying.

Kindly go pick on someone else.

Fair enough. I apologize for misquoting and picking on you. I have a long list of others in line to eat crow so will move along. @astonius, you're up!

 

[R1Sky Business]

per Rivian's email "without restrictions on vehicle MSRP, buyer income, and manufacturing requirements"

Those were the old rules

 

[R1Sky Business]

Fair enough. I apologize for misquoting and picking on you. I have a long list of others in line to eat crow so will move along. @astonius, you're up!

Post of the week

 

[SANZC02]

So...I have both a r1s and r1t reservation, both with the binding contracts. R1s due this summer, rt1 due in 2024.

From the sounds of this....it sounds like right now I file my 2022 taxes like normal. Then, after I get the 2023 R1s, I can file an amended 2022 return and ask for the $7500 credit. Then...when I get the 2024 r1t, I amend my 2022 return AGAIN and claim another $7500 for the second vehicle.

Sound right? And I believe the $7500 is per vehicle credit and you can claim it multiple times in a year?

You just need to have paid more than 15k in taxes for 2022 as the tax credit is non-refundable. You can only get back what you paid in.

 

[R1Sky Business]

You just need to have paid more than 15k in taxes for 2022 as the tax credit is non-refundable. You can only get back what you paid in.

Easy peeezy

 

[ajbrutman]

Wonder why I haven't received the email...

 

[ElkinsEye]

I stand by my statement that many with a homegrown interpretation of what constitutes a "binding agreement" will be disappointed,

Directly from the IRS page linked in the email from Rivian. That last line is concerning. I don't think $100 would be considered "significant" enough? Thoughts?

In general, a written binding contract :

• is enforceable under state law, based on the state and relevant facts and circumstances, and
• does not limit the damages a buyer or seller can receive for a breached contract, such as forfeiting a deposit or paying a pre-determined dollar amount or a percentage of the total contract price for the vehicle.

An indication of a binding contract is if a buyer has made a significant non-refundable deposit or down payment.

 

[DC2TX]

• does not limit the damages a buyer or seller can receive for a breached contract, such as forfeiting a deposit or paying a pre-determined dollar amount or a percentage of the total contract price for the vehicle.

Yeah, it seems to me like the Rivian "binding contract" explicitly does not meet the IRS's definition since the damages the seller can receive are limited to $100.

 

[jeeden]

So assuming you don't exceed the income limit and the MSRP limit of the new rules is there a reason to do this other than getting the refund now? I'm taking delivery in a few weeks (I did sign the BPA in the fall) and the taxes are already done for 2022. Is the battery source still a concern for 2023? Since I'm under the limits on income and MSRP it seems like it would be easier to just wait until the 2023 tax filing.

 

[Dark-Fx]

Yeah, it seems to me like the Rivian "binding contract" explicitly does not meet the IRS's definition since the damages the seller can receive are limited to $100.

The way the BPA is written, Rivian would be well within their rights to force you to purchase an R1 vehicle that they pick out for you. Not even one you choose.

Sponsored