Tax Credit Clarification

[Singletracker]

Assuming a purchase price below $80K and with income limits met, does a new R1T, purchased after April 2023, qualify for the full $7500 tax credit or only $3750? Specifically, is there an issue with the batteries that could reduce the maximum credit to $3750? I thought Rivian was okay on Critical Minerals and Battery Component Requirements issue. However, the IRS site seems to show a maximum credit of $3750, but I’m not sure if they are assuming all new Rivians will exceed the $80K threshold.

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[DuoRivians]

$3750 currently

 

[Sevn86]

What are the income limits?

 

[Singletracker]

• $300,000 for married couples filing jointly
• $225,000 for heads of households
• $150,000 for all other filers

 

[Singletracker]

$3750 currently

Got it. Clearly there is no credit for an $80K+ vehicle, under any circumstances. Don’t know what I was thinking. So, in my case, I guess $3750 is about it. Of course, that doesn’t take into account the signed Rivian BPA I have, for what they may be worth. Don’t know if anybody has yet tried that one on the IRS. May be a little early for that to have occured. Actually, I have postponed filing my 2022 return, waiting to see how all this plays out. I would rather not have to file an amended 2022 return, if I don’t have to.

 

[Dark-Fx]

Got it. Clearly there is no credit for an $80K+ vehicle, under any circumstances. Don’t know what I was thinking. So, in my case, I guess $3750 is about it. Of course, that doesn’t take into account the signed Rivian BPA I have, for what they may be worth. Don’t know if anybody has yet tried that one on the IRS. May be a little early for that to have occured. Actually, I have postponed filing my 2022 return, waiting to see how all this plays out. I would rather not have to file an amended 2022 return, if I don’t have to.

Businesses can still qualify for the full credit but I am not a tax lawyer so it's up to you to figure it out.

 

[DuoRivians]

Got it. Clearly there is no credit for an $80K+ vehicle, under any circumstances. Don’t know what I was thinking. So, in my case, I guess $3750 is about it. Of course, that doesn’t take into account the signed Rivian BPA I have, for what they may be worth. Don’t know if anybody has yet tried that one on the IRS. May be a little early for that to have occured. Actually, I have postponed filing my 2022 return, waiting to see how all this plays out. I would rather not have to file an amended 2022 return, if I don’t have to.

You can claim full $7500 with signed PBA prior to Aug 15, 2022

 

[shap]

Got it. Clearly there is no credit for an $80K+ vehicle, under any circumstances. Don’t know what I was thinking. So, in my case, I guess $3750 is about it. Of course, that doesn’t take into account the signed Rivian BPA I have, for what they may be worth. Don’t know if anybody has yet tried that one on the IRS. May be a little early for that to have occured. Actually, I have postponed filing my 2022 return, waiting to see how all this plays out. I would rather not have to file an amended 2022 return, if I don’t have to.

I think many folks already filed amended 2022 returns, and right now the waiting time is about 3 months (as far as it was reported). I prepared to file my amendment as soon as I take delivery.

 

[Singletracker]

You can claim full $7500 with signed PBA prior to Aug 15, 2022

Claim and get may be two different things. We’ll see.

 

[fbitz777]

Is there even a R1T under 80k to order/buy now. I bought one in October at about 75k.

I put a deposit for another one yesterday (they claim 14 days delivery!) BUT they don't show me the pricing or the configurator!

 

[Singletracker]

The dual motor version would be just under $80K, but that is not available, yet. Any current version is well over $80K.

 

[DuoRivians]

Claim and get may be two different things. We’ll see.

I got it and received my credit

 

[Singletracker]

I got it and received my credit

Wow! That is great to hear!

 

[JayinNJ]

I got it and received my credit

That doesn't mean they won't still audit or challenge it later. Still, I plan to file my amendment this week. I there is a problem, I guess I will amend the 2023 and get half the credit.

 

[Singletracker]

That doesn't mean they won't still audit or challenge it later. Still, I plan to file my amendment this week. I there is a problem, I guess I will amend the 2023 and get half the credit.

Good point.

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