Where is "here" ?Stunt822 said:there was one from customer who cancelled here, on sale for around $35k. sold now.
one more expected to come on retail soon.
I suspect you'd have a hard time convincing the IRS the car was "not for resale" if you sold it during the tax year for which you were claiming the credit.aqn said:If I buy a Leaf, drive the car for one day, then sell it, I'm OK.
Is that in Rairdon's ?Stunt822 said:sorry, Auburn, WA.
aqn said:If I buy a Leaf, drive the car for one day, then sell it, I'm OK.
Why not?planet4ever said:Well, of course, at that point you won't have been given the credit in the first place!
Again, all I know is what I read in that IRS publication (which has almost exactly the same wording as in the American Recovery and Reinvestment Act of 2009). There is nothing regarding how long you have to keep your Leaf.My guess is that if you no longer own the vehicle at the end of the tax year in which you buy it, the IRS computers are going to flag your return, and you are going to have to do some explaining in order to get the credit at all. There will, of course, be explanations that the IRS will accept. They might range from "my wife hated it" to "the car was totaled."
Why? How long do I need to keep it to avoid that? One week? One year? Ten years?tps said:I suspect you'd have a hard time convincing the IRS the car was "not for resale" if you sold it during the tax year for which you were claiming the credit.
That is the problem. It leaves it open for interpretation. Are you going to sue IRS ? A jury will probably side with IRS if the guy sold after one day ...aqn said:It's clearly ambiguous (oxymoron!).
No, 'cause I have no problem with their rules the way they are written.evnow said:That is the problem. It leaves it open for interpretation. Are you going to sue IRS ?aqn said:It's clearly ambiguous (oxymoron!).
I'm not convinced that the IRS will come after someone for not giving the tax credit back after 1 day0 (or 30 or 60 or 364 days) of ownership. Hopefully someone will post on here from a Federal pen and let us all know should it turn out different.A jury will probably side with IRS if the guy sold after one day ...
I'm addressing the question of whether or not one would have to give the tax credit back, or not claim the tax credit because one sells one's Leaf after one day/one week/six months/364 days of ownership.Randy said:Lots of things in life are ambiguous, including the tax laws.
But I find usually that the differences between "right" and "wrong" are clearer.
I would only file for a LEAF federal tax credit if I bought or leased the car to keep it.
I think you'd need to own it at least until the end of the tax year in which you purchased it and were claiming credit. Which, I suppose, could be one day if it was purchased on Dec 31. If you resold it during the tax year, my feeling is that the IRS would have a hard time believing you did not purchase it for resale, since clearly, it was resold. However, since they don't give a minimum length of time, I say selling it in the next tax year is OK. I'm not a tax accountant, but that seems to me a "common sense" way to interpret the words. However, in our society today, "right" seems to be whatever you can get away with, and I'm not about to bet what could be gotten away with.aqn said:Why? How long do I need to keep it to avoid that? One week? One year? Ten years?tps said:I suspect you'd have a hard time convincing the IRS the car was "not for resale" if you sold it during the tax year for which you were claiming the credit.
I was told Reeler sold his LEAF to someone in New Jersey last month.drees said:Reeler was (has?). Though for some reason his posts related to it are missing. I suspect that they were deleted.Stunt822 said:Wondering, if anyone is selling a Leaf yet? Any bet on when we'll see them appearing on "Craigslist"?
I believe that's where we differ. I believe that the IRS is not interested in what one does with one's Leaf, period. It's not like people can take advantage of the tax credit and profit from it.tps said:..., I believe the IRS is not that interested in what you intended to do during a tax year, but more interested in what you actually did...
Why not ?aqn said:It's not like people can take advantage of the tax credit and profit from it.
aqn said:It's not like people can take advantage of the tax credit and profit from it.
Sigh. I have the feeling nobody read what I wrote.evnow said:Why not ?
Let us say some one buys Leaf and sells the next day for a profit of $5K. You think IRS will not think the guy bought it to resell and make a tidy profit ?
I think a person who is reselling instead of rejecting to buy (i.e. orphan the car, since he would lose nothing by doing that) would have to show some change in circumstance after buying the car that resulted in him selling it. Like in Reeler's case, it was change in his work arrangements.
aqn said:the only way an used Leaf might go for more than $25K is if the demand for Leaf's is so huge that people are willing to pay more than (MSRP - tax credit) for an used Leaf because they did not have a reservation. In that case, one can make a profit selling a Leaf regardless of whether one gets a tax credit in the first place. The only difference will be the amounts involved: one pays "MSRP - tax credit" and sells for "MSRP - tax credit + mark-up because of demand", versus paying MSRP and selling it for "MSRP + mark-up because of demand".)
B. "Used Vehicle" Defined -- Section 455.1(d)(2)
Under the Rule, the term "used vehicle" includes all vehicles that have been "driven more than the limited use necessary in moving or road testing a new vehicle prior to delivery to a consumer."
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