Rivian to offer Binding Purchase Agreements (to help obtain EV tax credit)

[Gsxr150]

Let's start a cheer! Let's go RIVIAN....clap clap clap clap clap! Drumroll on them getting out this BPA on time.

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[kanundrum]

From CS 1 min ago

Hi , Rivian is working to help interested preorder holders and customers obtain a written, binding contract to purchase and secure EV tax credit eligibility before new restrictions take effect. We'll be sharing more information and next steps very shortly.

 

[Speedrye]

Sure would be nice to know battery content percentages to make a more informed decision on signing a PBA at this point.

 

[emoore]

Sure would be nice to know battery content percentages to make a more informed decision on signing a PBA at this point.

I think we will be lucky if they figure it out before the end of the year.

 

[mkg3]

I have posted this elsewhere but in the interest of sanity I will post it again, hopefully with more clarity.

As per the current regulations, here's link to the form that should answer most of the questions forum members are asking. Fill it out, based on your last year's return or estimated return for this year, and you may find some surprising answers.

IRS Form 8936

Since the IRS form 8936 requires VIN, how can Rivian's PBA for something that's not produced yet qualify as future proofing the tax credit?

Clearly, if you're in the process of taking delivery this year or even early 2023 but are in the final stages of purchase, and are given VIN in the last quarter of this year, it probably works. For those that have 2023 estimate, this form will not allow you to qualify for 2022 tax year right?

One can go back and amend the 2022 return sometime in 2023 but that's not clear if that actually qualifies since the VIN will show its 2023 manufactured date sequence, legally.

If this was discussed earlier, sorry - I didn't real the entire scroll....

 

[moosetags]

I thought that I understood this EV tax rebate thing. After reading this thread, I am now not so sure. My annual federal income tax liability exceeds $20,000 each year. My Rivian order date was 11/28/18. I ordered an R1T Explore version. The estimated price is $70,775. I received an estimated delivery date of the first half of 2023.

Do I need to sign a binding purchase agreement at this time?

Brian

 

[TXR1S]

I thought that I understood this EV tax rebate thing. After reading this thread, I am now not so sure. My annual federal income tax liability exceeds $20,000 each year. My Rivian order date was 11/28/18. I ordered an R1T Explore version. The estimated price is $70,775. I received an estimated delivery date of the first half of 2023.

Do I need to sign a binding purchase agreement at this time?

Brian

To have a chance of getting the full $7,500, yes.

 

[sub]

I thought that I understood this EV tax rebate thing. After reading this thread, I am now not so sure. My annual federal income tax liability exceeds $20,000 each year. My Rivian order date was 11/28/18. I ordered an R1T Explore version. The estimated price is $70,775. I received an estimated delivery date of the first half of 2023.

Do I need to sign a binding purchase agreement at this time?

Brian

You probably did understand the origional EV credit. But this week a law is going to be passed that will essentially cancel the EV tax credit. Going forward, very few EV's will qualify for the credit, and few buyers will be eligible even if they do buy an EV that qualifies (how many people earning less than 150K will spend 80K on a vehicle?).

Rivian probably won't qualify for the new credit, and you probably won't be eligible, so if you want a tax credit you need to get the old one. And to do that you need a binding agreement signed before the new law passes.

 

[Narya]

Wondering if I should be waiting for an email, or if I should be reaching out to Rivian about this? Don't want to create more noise, since I am sure they are getting hammered with everyone piling in, asking the same questions.

 

[pc500]

Wondering if I should be waiting for an email, or if I should be reaching out to Rivian about this? Don't want to create more noise, since I am sure they are getting hammered with everyone piling in, asking the same questions.

I'm sure you'll hear about it here or Reddit.

 

[Max]

At this point, it doesn't matter. If they hit 200k this quarter, next quarter is still the full $7500 rebate. The quarter after that, the new law will take effect. (Assuming it actually passes)

I have not looked into the entire thread and Lightning components source and have no clue what the incentives will be in 23 for Ford. In other words not sure how a fall order (22 or 23 delivery?) will impact the amount of incentive. From your post, I get the feeling, if it passes, I could get close to $7500 in 23? With Ford, I am only interested in the bottom of the barrel trim (pro) which is an urban legend and a small chance it is not “sold out” from the first day like last time so all of this may be immaterial. On the other hand with Rivian, unless I switch to R1T and get lucky with lottery, I am definitely 23, 24. If most of credit disappears for R1 and they have a change of heart about keeping the original price, that may keep it out of the running for me (even though I still consider it a hell of a bargain comparing to model X). At this point, I am thinking to order the Ford and see what the facts are way down the road when Rivian finally give me a call.

 

[Gsxr150]

Wondering if I should be waiting for an email, or if I should be reaching out to Rivian about this? Don't want to create more noise, since I am sure they are getting hammered with everyone piling in, asking the same questions.

They will be e-mailing everyone with preorders. (Or should be)

 

[Acoustic71]

Since the IRS form 8936 requires VIN, how can Rivian's PBA for something that's not produced yet qualify as future proofing the tax credit?

Clearly, if you're in the process of taking delivery this year or even early 2023 but are in the final stages of purchase, and are given VIN in the last quarter of this year, it probably works. For those that have 2023 estimate, this form will not allow you to qualify for 2022 tax year right?

One can go back and amend the 2022 return sometime in 2023 but that's not clear if that actually qualifies since the VIN will show its 2023 manufactured date sequence, legally.

If this was discussed earlier, sorry - I didn't real the entire scroll....

Sorry for the confusion. I posted the form as a realistic method not to determine whether anyone qualified, but more to answer how it really works if you do qualify. Way too much opinion out there without much basis in facts. If you are assigned a VIN, and take delivery in 2022 you should be good to go. The form then shows you, under current regulations, how it would apply to your individual tax situation.

Having said that, I do hope everyone who preordered gets an opportunity to have either a tax credit, or have the $7,500 applied to their purchase price. YMMV.

 

[R1Sky Business]

In short, nothing.

Now that's something.....

 

[Jac]

I have not looked into the entire thread and Lightning components source and have no clue what the incentives will be in 23 for Ford. In other words not sure how a fall order (22 or 23 delivery?) will impact the amount of incentive. From your post, I get the feeling, if it passes, I could get close to $7500 in 23? With Ford, I am only interested in the bottom of the barrel trim (pro) which is an urban legend and a small chance it is not “sold out” from the first day like last time so all of this may be immaterial. On the other hand with Rivian, unless I switch to R1T and get lucky with lottery, I am definitely 23, 24. If most of credit disappears for R1 and they have a change of heart about keeping the original price, that may keep it out of the running for me (even though I still consider it a hell of a bargain comparing to model X). At this point, I am thinking to order the Ford and see what the facts are way down the road when Rivian finally give me a call.

My recollection from months ago is Ford was initially only allowing its commercial customers to order the base “Pro” trim Lightning, making the next higher trim level the cheapest available to non-commercial buyers. Just curious if regular retail customers can buy those base Ford Pro trucks now — with or without outrageous additional Ford dealer markups.

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