Electric truck maker Rivian is none too happy about the passage of the new Inflation Reduction Act, which puts an $80,000 cap on the price of vehicles eligible for the full $7,500 federal tax credit. Most of Rivian’s trucks are well over $80K, but the company think it’s figured out a way to beat the system, and get pre-order holders a tax credit, anyway.
“As I’m sure you are aware,” begins a document reportedly sent to Rivian CEO, RJ Scaringe, “the ‘Transition Rule’ in the passed legislation allows for anyone with a “written binding agreement” in place before the President signs the bill to have the option to utilize the existing credit. Your preorder holders have (mostly) patiently borne the delays that are inherent with a startup car manufacturer. But these delays are now putting us in a position where many of us may not be able to go through with our purchases in absence of the $7,500 tax credit.”
Rivian’s plan: Close the pending deals, now.
El Plan Comes into Focus
Rivian pre-order holders have been bombarding the company with requests like the one, above, to let them to start the buying process as soon as possible in a bid to get the credit while the trucks still qualify. For its part, the truck maker says it’s, “working to help interested preorder holders and customers obtain a written, binding contract to purchase and secure EV tax credit eligibility before new restrictions take effect.” (Emphasis mine.)
The thinking here is that, even if those customers won’t get their trucks until next year, their binding contracts will enable them to take advantage of the current $7,500 tax credit next year … but the key word here is “binding,” and it’s unclear what might happen to consumers who claim the tax credit in the event that their Rivians fail to materialize in the allotted time.
Or what might happen to Rivian, for that matter, in the event that the customers who sign said contracts are unable to fulfill them for whatever reason when it comes time to take delivery!
That said, if you want to roll the dice and convert your Rivian per-order to a sale now, now, now – you need to act fast! Your deal has to be signed and sealed before the House of Representatives votes to pass the Inflation Reduction Act and before President Biden signs it into law. So, if you haven’t gotten an email the company, you might want to reach out to customer support ASAP to let them know you’re ready to buy.
Source | Images: Rivian, via AutoEvolution.
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