Bye, Bye 4xe tax credit for 2023 Wranglers

[wdbrjr]

This thread is walking the line!

While I agree with you, it’s kind of hard to talk about tax policy without including politics. But it is one of the seven dirty words.

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[multicam]

You know that the fossil fuel and oil companies get tens of billions of dollars in government subsidies and tax credits every year, right? That industry gets the most of any. Literally every ICE based vehicle is essentially getting a tax credit, only you as the consumer are never seeing it. Lol

I do know that. I don’t care. I don’t have the energy to care.

 

[JeepChicNJ]

Just read this from 5 days ago.
https://www.carsdirect.com/deals-articles/chrysler-jeep-ev-leases-have-a-major-advantage

 

[jmdwifi]

There should be no tax credit for EV vehicles. It just keeps prices up. If they are viable and good, they will sell. Anything the govt has to subsidize, should be questioned if it makes sense yet.

 

[RockymtnJL]

I ordered a 23 JLUR 4xe a few days ago...Hoping for delivery before 12/31! Fingers are definitely crossed!

I went through this same thing a few years ago with my Tesla- Received it on 12/19/19 so it qualified that year. It was a big relief!

I went through Clutch who is a sponsor here. They pre-ordered a bunch (Like 100 of them?) of 4xe's so they arrive before 12/31. They have an availability list posted in their sponsor thread. Great experience with them. My local dealer wanted sticker +$1000!

 

[RockymtnJL]

Order through Clutch and they can use their dealer partner at Chapman Jeep in Scottsdale.

This. Great experience...waiting for my 4xe!

 

[Notnoway]

Tax rebate on EV's never worked because manufacturers just raised the price to match the discount ex Tesla
Tax rebate on EV should not apply unless a car is fully EV and not a pseudo EV like Jeep
Tax rebate on EV's is not fair for ICE vehicles
Tax rebate on EV's lead to ppl flipping 4XE jeeps and artificially manipulating the market. This lead to many dealer not allowing leases or being reluctant to lease
TAX rebate on EV's should not exist

 

[BXFXJeep]

I mean, yeah, but, it is a $75K vehicle, that is BMW and Mercedes territory - at least for a midrange or base model!

The Wrangler has always been a very expensive vehicle compared to what you can get for the same $, cross shopping the Wrangler, then ultimately buying one usually makes for unsatisfied Wrangler owners.

 

[Clutch Auto Deals]

I ordered a 23 JLUR 4xe a few days ago...Hoping for delivery before 12/31! Fingers are definitely crossed!

I went through this same thing a few years ago with my Tesla- Received it on 12/19/19 so it qualified that year. It was a big relief!

I went through Clutch who is a sponsor here. They pre-ordered a bunch (Like 100 of them?) of 4xe's so they arrive before 12/31. They have an availability list posted in their sponsor thread. Great experience with them. My local dealer wanted sticker +$1000!

We would love to help anyone take delivery before the end of the year. We have several hundred incoming units being offered at 5-6.5% off MSRP. Please check out our post for more information.

 

[Slate]

Fine, fuck tax credits. Let the product stand on its own merits.

I hear you, I have never bought anything with any kind of tax credit before and being a Jeep guy, I was/would and am going to get one anyway! The idea for the tax credits was to spur EV car adoption.

(One can argue this is an odd attempt at doing something about climate change, but the anti-EV's do have a point about energy is energy, and getting it from electrons vice burning carbon is still a "cost".)

BUT the overall cost of an EV, at least one that people want to buy, is still very high. The government isn't really thinking of those folks that make over $100K or more as the assumption is that they can afford to buy any kind of vehicle. So the intent of having a tax rebate was for the lower quartiles in the salary spectrum to be able to buy one. This hasn't exactly worked out as was intended, and I do believe as someone else mentioned that the government is a little peeved that the "richies" are the ones who can afford an EV, with or without the tax credit.

So you have to ask yourself if the tax credit was/is an incentive - who is the incentive for? Higher earners who can afford the higher cost and investment (home chargers) of an EV, hoping those early adopters will spawn other entries into the EV market and encourage investment in EV infrastructure?

Or lower earners, with short commutes, who would benefit from the tax credit to buy (any) vehicle, particularly one that "saves gas"?

Since the manufacturers don't see that $7500 it really isn't for them, but if that rebate leads to increased sales, which leads to innovation and market differentiation then...

Don't forget that Tesla's original plan was to sell the sports car version, then a sedan version, then a minivan-ish version, and then finally a "volkswagon" for all the people type EV. I might have the order wrong, but they were absolutely supposed to be selling a "cheaper" EV for the masses. What happened to that vehicle?

/rant over

 

[Pinky Tuscadero]

This should prove an interesting post once we figure it all out
Sucks though for sure if it is gone

 

[rickinAZ]

I thought that the $7,500 was only for true EV vehicles, not-plug in hybrids. And...the plug-in hybrid got a formulaically-driven lesser amount.

As for the reasonability of even having a subsidy, I'd rather spend it on this than another tax cut for billionaires. Apologies to any billionaire forum members, but you already got your Big Beautiful Tax Cut. Moderator: that is not a political statement; it's a socio-economic one.

 

[Sazabi19]

I hear you, I have never bought anything with any kind of tax credit before and being a Jeep guy, I was/would and am going to get one anyway! The idea for the tax credits was to spur EV car adoption.

(One can argue this is an odd attempt at doing something about climate change, but the anti-EV's do have a point about energy is energy, and getting it from electrons vice burning carbon is still a "cost".)

BUT the overall cost of an EV, at least one that people want to buy, is still very high. The government isn't really thinking of those folks that make over $100K or more as the assumption is that they can afford to buy any kind of vehicle. So the intent of having a tax rebate was for the lower quartiles in the salary spectrum to be able to buy one. This hasn't exactly worked out as was intended, and I do believe as someone else mentioned that the government is a little peeved that the "richies" are the ones who can afford an EV, with or without the tax credit.

So you have to ask yourself if the tax credit was/is an incentive - who is the incentive for? Higher earners who can afford the higher cost and investment (home chargers) of an EV, hoping those early adopters will spawn other entries into the EV market and encourage investment in EV infrastructure?

Or lower earners, with short commutes, who would benefit from the tax credit to buy (any) vehicle, particularly one that "saves gas"?

Since the manufacturers don't see that $7500 it really isn't for them, but if that rebate leads to increased sales, which leads to innovation and market differentiation then...

Don't forget that Tesla's original plan was to sell the sports car version, then a sedan version, then a minivan-ish version, and then finally a "volkswagon" for all the people type EV. I might have the order wrong, but they were absolutely supposed to be selling a "cheaper" EV for the masses. What happened to that vehicle?

/rant over

Typically incentives are given for the products that people don't want as a way to get people to buy them and/or clear inventory. This was nothing short of an agenda push. Popular/volume products in the real, competitive world, don't get incentives because they want max profits.

While adoption in more affluent areas would have probably been near the same I doubt we'd see nearly as many low-middle class EVs as we do. The eco-warriors would have still tried to do it but I think the hybrids would've won out for much, much longer. What is happening here is a farce just like ethanol. Both would have collapsed if the free market had its way and the govt. not propped them up. These are artificially large markets that needed more time.

Also, to answer your Tesla questions: The Roadster was there to catch the rich crowd and get a nice higher profit margin to help with capital. The Model X came in because SUV sales were exploding again and he saw the writing on the wall and made tons of money. The S was more expensive but they were "fine tuning" the tech to release the 3, the everyman's car. Prices on the tech raised and most people don't want the bare bones car, look at how many people order a bare bones Sport Wrangler.

 

[Sazabi19]

I thought that the $7,500 was only for true EV vehicles, not-plug in hybrids. And...the plug-in hybrid got a formulaically-driven lesser amount.

As a PHEV it qualifies because it can be plugged into a wall and driven from that.

 

[rickinAZ]

What is happening here is a farce just like ethanol. Both would have collapsed if the free market had its way and the govt. not propped them up. These are artificially large markets that needed more time.

So...you think the Big Oil has not been given incentives for 100 years? And we're not just talking dollars. Our soldiers have died in the Middle East to protect PRIVATE oil interests. Do you honestly believe that our main motivation in Desert Storm was liberating the Kuwaiti people?

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