Missing Fed Rebate in NY, NJ Quotes

[VideoSteve]

I have reached out to 3 non-California dealers (I live in Atlanta) and each has returned a lease quote without the $2500 Fed Tax Rebate. In a online chat with a "representative" at chevrolet.com, they indicated no set amount to be retuned to the leasee.

Has anyone leased from an NY or NJ dealer and got the $2500 rebated, and factored into the lease?

 

[powersurge]

My understanding is that the federal tax credit goes to the OWNER of the car, which is not the Leasing person. It is not a "TAX REBATE", but a reduction of federal taxes to the OWNER, Just like if you lease your solar panels on your house. I understand that the dealer can use the tax credit to lower the monthly payments, but that is subject to negotiation.

You are not entitled to any money from the tax credit if you lease..

 

[VideoSteve]

That is correct. When I leased my Nissan Leaf, the $7500 rebate was returned to me as it was factored into the lease. The entire amount. Other posters on this site, and chevybolt.org have indicated a $2500 rebate factored into their lease, and that money is from the same $7500.

 

[VideoSteve]

A New Jersey dealership confirmed that they do reflect the Federal Tax Credit by taking a $2500 capital cost reduction + the current $250 rebate GM is doing for all. Oddly, earlier in the week, one of his staffers said this did not exist. It seems this is such a targeted small market of buyers, and with electric cars new to many dealerships, the staff may not be up to speed.

 

[SparkE]

I have reached out to 3 non-California dealers (I live in Atlanta) and each has returned a lease quote without the $2500 Fed Tax Rebate. In a online chat with a "representative" at chevrolet.com, they indicated no set amount to be retuned to the leasee.

Has anyone leased from an NY or NJ dealer and got the $2500 rebated, and factored into the lease?

1) it is a tax credit, not a rebate. Yes, they are different (for example, you *may* not be able to claim the full $7500 credit).

2) The max credit is $7500, not $2500.

3) If you aren't getting the deal you want, go elsewhere (to a different dealer) or just wait (or suck it up and get it anyway).

 

[VideoSteve]

That's correct. The $7500 Federal Tax Credit only works if you have tax liability.

When GM leasing gets involved, they have decided only to rebate $2500, not the max of $7500.

My post was not about getting the best deal, but rather why in "only" some states, GM leasing was passing along some of the Federal incentive.

I appreciate everyone's input. Thanks

 

[SeanNelson]

That's correct. The $7500 Federal Tax Credit only works if you have tax liability.

In other words, it reduces the tax you have to pay. If you don't have to pay a full $7500 of Federal tax, then you won't fully benefit from the incentive. And "pay a full $7500 of Federal tax" means the amount paid by installments through the year as well as whatever you may owe in April because those installments came up short after you did all your tax calculations.