Tesla clarifies the situation over access to the federal tax credit for its buyers in the US after hitting the threshold for the phase-out last month.
Last month, we reported that Tesla confirmed hitting federal tax credit threshold of 200,000 vehicles delivered in the US.
It results in buyers having until the end of the year to take delivery of Tesla vehicles in the US in order to take advantage of the full $7,500 tax credit.
After that, the tax credit gradually phases out in 2019 and ends completely by the end of the year.
The automaker explained the entire situation in a new blog post today:
Since 2010, anyone purchasing a qualified electric vehicle, including any new Tesla model, has been eligible to receive a $7,500 federal tax credit. This tax credit begins to phase out once a manufacturer has sold 200,000 qualifying vehicles in the U.S.
Last month, Tesla sold its 200,000th such vehicle, and since then we’ve heard from some customers asking how the phase out of the tax credit works. The following federal income tax credit amounts are available to anyone who purchases a new Tesla Model S, Model X or Model 3:
While the tax credit will exist in some form through the end of 2019, those who want the full $7,500 tax credit will need to take delivery of their vehicle by the end of this year. Please remember that your eligibility for income tax credits depends on your personal tax situation. We recommend speaking with a tax professional for guidance.
That’s how the situation stands right now, but there’s also an effort to extend the EV tax credit through a new bill in Congress that is attempting to remove the delivery limit for the federal tax credit and replace it with a time limit.
But the probability of the bill becoming law under the current political climate are not expected to be very high.