The federal tax credit for electric vehicles (EVs) cannot be directly applied by you as the lessee toward a down payment on your lease. Instead, the tax credit belongs to the lessor (the leasing company or dealer), not the lessee. This means the leasing company receives the tax credit and may choose to pass on some or all of those savings to you in the form of reduced lease payments or an upfront rebate, but it is entirely at their discretion.
Key points:
- When you lease an EV, the leasing company claims the federal EV tax credit (up to $7,500), not you as the lessee.
- Any benefit you get from the tax credit is indirect; the dealer or lessor might reduce the monthly lease cost or offer some concession, but this is not guaranteed.
- You do not personally file for or claim this tax credit on your taxes if you lease; the leasing company handles this.
- Some dealers might structure the lease so that the credit effectively reduces your monthly payment or lease-end purchase option price, but practices vary and are dealer-dependent.
Therefore, you cannot use the federal EV tax credit as a direct down payment on your EV lease; rather, you should negotiate with the dealer to see if they will pass on the tax credit savings to reduce your lease payments or upfront costs.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/can-the-tax-credit-be-applied-as-a-down-payment-on-my-lease/
