# Federal Tax Credit Question



## beemer01 (Aug 12, 2010)

The IRS website says that any vehicle purchased after December 31, 2010 will not be eligible for the diesel tax credit. If I order my car on Dec 20th, will I be able to claim the credit even if I don't receive the car until the following year? Does anybody know if this date can get extended?


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## F32Fleet (Jul 14, 2010)

beemer01 said:


> The IRS website says that any vehicle purchased after December 31, 2010 will not be eligible for the diesel tax credit. If I order my car on Dec 20th, will I be able to claim the credit even if I don't receive the car until the following year? Does anybody know if this date can get extended?


The Imperial Federal Government could always extend the program, in any case I suggest you research the IRS website (It's not that daunting) for the information you're looking for.


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## Robert A (May 18, 2003)

You're probably out of luck. Typically, income tax credits require a completed sale.



beemer01 said:


> The IRS website says that any vehicle purchased after December 31, 2010 will not be eligible for the diesel tax credit. If I order my car on Dec 20th, will I be able to claim the credit even if I don't receive the car until the following year? Does anybody know if this date can get extended?


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## GB (Apr 3, 2002)

Robert A said:


> You're probably out of luck. Typically, income tax credits require a completed sale.


That would be my guess as well. However, if your dealer can get the VIN that will be assigned to your car and is willing to have you pay for the car and sign the sales contract before delivery, then that might constitute a completed sale from the IRS's perspective. Financing might complicate that picture though...in the end it probably wouldn't be worth the hassle and risk.

-Graham


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## Neutrinolad (Jun 23, 2009)

beemer01 said:


> The IRS website says that any vehicle purchased after December 31, 2010 will not be eligible for the diesel tax credit. If I order my car on Dec 20th, will I be able to claim the credit even if I don't receive the car until the following year? Does anybody know if this date can get extended?


I think if you buy the car before then, you are eligible to get the credit. I got it last year and I think I remember that's what I was told by the seller. I took possession in December, however, so I hope for your sake I'm not wrong.


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## Robert A (May 18, 2003)

As long as the bill of sale is dated in December, you should be fine. 

When the IRS says "purchase" in this context, they mean that you've taken title.


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## beemer01 (Aug 12, 2010)

Robert A said:


> As long as the bill of sale is dated in December, you should be fine.
> 
> When the IRS says "purchase" in this context, they mean that you've taken title.


Thanks. My CA said if I get the VIN + completed financing then the sale would be for good for tax year 2010.


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## quackbury (Dec 17, 2005)

beemer01 said:


> Thanks. My CA said if I get the VIN + completed financing then the sale would be for good for tax year 2010.


I always get my tax advice from my CA. Then I double check with my mailman. And my priest. And the kid who mows my lawn. Then I go on line and ask folks on the forum for their advice.

Seriously, if you have the wherewithal to purchase a new BMW, don't you also have a CPA? Wouldn't it be safer (and a better use of your time) to pick up the phone and call your CPA with the question? Not to be cynical, but it would seem to me that your CA has a vested interest in getting you into the vehicle before the end of hte month, so I would take anything he/she says with a grain (make that a shaker-full) of salt.


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## Moxie (Jul 26, 2010)

When taking tax credits, the Magic 8 ball alsways worked for me -

http://www.fueleconomy.gov/feg/taxLeanburn.shtml

http://www.irs.gov/businesses/corporations/article/0,,id=214283,00.html


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## TXPearl (Apr 16, 2010)

quackbury said:


> Seriously, if you have the wherewithal to purchase a new BMW, don't you also have a CPA?


Yeah, right. Everyone making $75K/yr. needs a CPA.


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## bimmerdiesel (Jul 9, 2010)

quackbury said:


> Seriously, if you have the wherewithal to purchase a new BMW, don't you also have a CPA?


Not everyone...:bawling: Only those who have 3 or more BMWs or equivalent in their stable.


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