Tax Credit - Fisker Announces Pre-Purchase Program Will Rivian Follow?

[Jac]

So, rivian batteries are supplied by samsung(South Korea, part of free trade deal) and If you ordered before march 1st and If your total config is priced below 80k, you should be good with tax credit of 7500 right. Why are people worried so much? Correct me If I am missing something.

We just don’t know how Rivian’s batteries will fare in this analysis. Samsung is a Korean company. Unfortunately, the factors that matter under the new tax credit law, the location of battery minerals source (possibly China?) and battery component assembly location (don’t know), are key unknowns.

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[McMoo]

Could one pay for preorder of Fiskar, lose deposit and delivery fee, claim tax credits, and still be ahead financially? Without ever actually intending to take delivery?

You need a VIN to claim the credit so probably not. I’m guessing those who qualify under the transition rule will have to go back and amend their 2022 return to claim the credit since the vehicle is deemed to be placed in service on the day before the law goes into effect. It’s possible the IRS/Treasury would give people the option to have it on the return for the year delivered, say 2023 return instead of amending 2022.

 

[Taycanfrank]

This is a cute attempt by Fisker but there's no way the IRS will view a pre-order waitlist spot as a binding PO. If your vehicle doesn't have a VIN, it's not a "binding purchase agreement". This would only work if your car was already BUILT and you were just waiting for delivery.

The IRS will just deny the refund for people that don't qualify but try to submit for it with a silly Fisker letter. Remember, you have to convince the IRS you are owed the money BEFORE they give it to you.

 

[McMoo]

This is a cute attempt by Fisker but there's no way the IRS will view a pre-order waitlist spot as a binding PO. If your vehicle doesn't have a VIN, it's not a "binding purchase agreement". This would only work if your car was already BUILT and you were just waiting for delivery.

The IRS will just deny the refund for people that don't qualify but try to submit for it with a silly Fisker letter. Remember, you have to convince the IRS you are owed the money BEFORE they give it to you.

We don’t know if it will qualify but there’s little risk ($250) for the potential to get $7,500. You wouldn’t submit the credit until you take delivery and have a VIN. So an amended return may be required.

 

[q177onique]

I put a deposit on the Fisker One a few weeks ago and just received this email from Fisker:
“Your Fisker Ocean One, Federal EV Tax Credits, and The Inflation Reduction Act
Retaining Your Eligibility for Tax Year 2022 EV Tax Credits

Congress is currently moving quickly to pass The Inflation Reduction Act of 2022 (IRA)– historic legislation to address the climate crisis and promote clean energy, including billions of dollars in electric vehicle (EV) infrastructure funding. 

What does this mean for you, our valued Fisker Ocean One customer?

Fisker believes the signing of the IRA into law is positive news. For US residents holding a pre-ordered Fisker Ocean One, when you secured your Fisker Ocean One pre-order with a $5,000 deposit and signed the Fisker Ocean Order Agreement Terms and Conditions, you committed to purchasing a Fisker Ocean One in the 2022 tax year, even if delivery occurs after the enactment of the IRA.

The IRA will amend the current rules for taxpayers to qualify for the federal $7,500 EV tax credit, in part by requiring that the EV be assembled in North America and imposing certain income caps for eligibility. The Fisker Ocean is designed and engineered in California. Consistent with Fisker’s aim to deliver the world’s most sustainable vehicle, the Fisker Ocean is assembled at Magna’s carbon-neutral plant in Graz, Austria.

To learn more about the proposed federal EV tax credits, click here. Details regarding the federal EV tax credits are in Part 4 – Clean Vehicles, Section 13401 Clean Vehicle Credit.

Although we cannot predict either the final language of the legislation or how the IRS will interpret it, we believe you entered into a binding agreement to purchase the Fisker Ocean One. This may allow you to take advantage of the existing $7500 federal tax credit scheme for which you may qualify under the Transition Rule if the Inflation Reduction Act is enacted*.

We hope this provides clarity and leaves you even happier about your decision to pre-order a Fisker Ocean One!

We thank you for your continued support, and we reaffirm our commitment to deliver the world’s most emotional and sustainable vehicles.”

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