October 15 is the deadline to take advantage of Tesla's $7,500 vehicle tax incentive
In brief: One of Tesla’s main vehicle selling points has always been guaranteed $7,500 tax credits for US-based customers. However, due to Tesla recently hitting the 200,000-cars-delivered milestone, that incentive will soon be going away. Orders placed before October 15 will qualify for the full incentive, while orders placed after that date may only receive a $3,750 tax credit.
As we reported back in July, Tesla’s near-iconic $7,500 electric vehicle tax incentive will soon be on its way out. The incentive is set to be halved, halved again, and then halted entirely due to the company recently surpassing 200,000 vehicles sold (the upper limit for federal tax incentives to stick around).
Now, we have more details regarding exactly when we can expect the full tax incentive to depart. As first spotted by Electrek, Tesla has added a notice to the store page for its vehicles warning customers that “All orders placed by October 15, 2018 will be delivered by the end of the year and eligible for the full $7,500 Federal Tax Credit.”
Though the full tax credit will most likely technically exist for orders placed past October 15, Tesla is clearly trying to avoid backlash by warning customers ahead of time that cars ordered after that date may not be delivered in time to qualify for the full incentive.
If you’ve been saving up for a Tesla vehicle but you still can’t quite afford one, you aren’t completely out of luck if you delay your order beyond October 15. Once 2018 ends and the first half of 2019 begins, the tax credit will still exist. However, as mentioned before, it will be halved twice during 2019. First, it will be cut to $3,750 during Q1 and Q2 2019, and then it will be slashed again to $1,875 during Q3 and Q4. Beginning in 2020, the credit will be pulled outright.
Image courtesy Electrek