Dealers who missed the initial time-of-sale report deadline for clean vehicle credits can benefit from several relief options provided by the IRS:
Relief Options for Dealers
- Submission of Previously Unsubmitted Reports:
- As of December 10, 2024, dealers can submit time-of-sale reports that were not filed within the initial 3-day window using the IRS Energy Credits Online (ECO) Tool.
- This allows dealers to rectify missed submissions for transactions in 2024, ensuring customers can claim their credits on tax returns.
- Continued Reporting Beyond the Initial Deadline:
- Even after the specific temporary relief window, dealers are encouraged to submit reports as soon as possible if they cannot meet the 3-day timeframe.
- Submissions should include an explanation for the delay, and they are subject to IRS review.
- Cancellation and Resubmission for Incorrect Reports:
- Dealers can submit cancellation requests for time-of-sale reports filed for ineligible vehicles, such as leased vehicles or those not put into service.
- After the IRS processes and accepts the cancellation, dealers can re-submit a new time-of-sale report if needed.
- Reopened Time-of-Sale Reporting for 2024 Transactions:
- The IRS has announced plans to reopen time-of-sale reporting for qualifying 2024 transactions, allowing both traditional and advance payment transactions to be processed.
- This measure aims to address issues where customers face difficulties in claiming credits due to missing reports.
- Advocacy and Support from Industry Organizations:
- Organizations like NADA have actively advocated for relief measures, communicating with the IRS and Congress to facilitate solutions for dealers facing challenges with time-of-sale reporting.
Original article by NenPower, If reposted, please credit the source: https://nenpower.com/blog/what-relief-options-are-available-for-dealers-who-missed-the-initial-time-of-sale-report-deadline/
