Not much to add. Other than the IRS PDF is written is legalese…

  • Wooster@startrek.websiteOP
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    1 year ago

    It’s worth noting that the CNN article doesn’t say what happens if your taxes for the year are lower than the incentive.

    I assume you get the full incentive at the dealership, and then are responsible for the difference come tax day.

    So if your taxes are… say $4,000 and you buy a new car with the $7,500 rebate. That’s a difference of $3,500 and your taxes become 4K + 3.5K = $7,500 for that year… or so I’m assuming.

    • Stillhart@lemm.ee
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      1 year ago

      I believe with these sorts of things, you’re signing it over to the dealership so it goes against THEIR tax burden, not yours.

      • Wooster@startrek.websiteOP
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        1 year ago

        Currently, if your taxes are under the rebate, your tax incentive is only as good as your taxes are. So if you owe $3k in taxes, you’re only getting a $3K tax incentive, regardless of if it’s new ($7.5k) or used ($4k).

        I’m seeing the government giving us easier access to that $3K… not granting the full 4k or 7.5k. For simplicity’s sake, the full rebate is applied at the dealership, but the difference is still due for that year’s taxes.