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      09-01-2020, 01:35 PM   #45
jmg
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Drives: G82 M4C X-Drive
Join Date: Mar 2013
Location: Orange County, CA

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2022 G82 M4C X-Drive  [9.85]
2018 F80 M3 CS  [9.87]
2019 i3 BEV  [0.00]
Quote:
Originally Posted by smyles View Post
First, I'm not sure how exactly BMW arranges that, since we're talking about individual income tax credit vs. corporate entities. In simple terms, not every lessee's income is eligible to full or partial credit, yet BMW collects full amount every time (not to mention you have to own the vehicle, which lessee don't)?
I'm not sure how exactly either, but I don't think the IRS cares if BMWFS or the owner gets the credit, so long as they BOTH don't get the credit.

Quote:
Originally Posted by smyles View Post
Second, and this can be related to the above, there many other tax & credit stipulations (CARB, state, etc.) for car manufacturers, so they have to manipulate their EV/plugin stock and sales to maximize benefits (and minimize costs). I suspect BMW collect those, but claims 'we're passing saving to you', which technically is misleading.
No, BMW cannot get state rebates because it is a direct check to the registered owne. On the registration, the leaser is still the owner, with BMWFS only listed as the leasing company. Unlike renting an apartment, the car leaser has rights under conditional "ownership" (the right to sell or buy, the right to tax credits and rebates etc).

My leasing contracts clearly stated cap cost and reductions. I know exactly what the selling price is and residual value based on MSRP. I collected an additional $3500 in state and energy and BMWCCA post sale rebates after taking possession of the car. Trunk money is the dealer's business and if they gave me less than 10% off I would be suspicious, but all three of my i3's had 11-12.5% off MSRP on top of the federal credit and lease incentives. My monthly payments for 12k/36 months were all under $200 after tax and this was an effective $0 down after the $3500 in post sale rebates.
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2022 G82///M4 Competition X-Drive - KW-HAS, EBC Bluestuff, Millway Race Camber Plates, Cup2 Connect*, PSI High Flow Midpipe, Lightweight Front Lip, M Perf Flow Through Wing
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