With added Tax Deductions, Model X better choice than Model 3?

jtdiddy

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#1
I'm a day 1 in-store reservation holder but after crunching the numbers and applying all tax credits and special deductions for the model x like IRS section 179 heavy vehicle, the difference between a standard model x 75D and fully loaded model 3 is surprisingly closer than one would think.

I'm leaning toward the getting an X now.

@TrevP , care to chime in?
 

Ronnie

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#2
I’ve also heard about this and talking to a tax person to see if it can work with us. I found this video about it. Would love to hear others opinions and if anyone has used this credit.
 

SoFlaModel3

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#3
I'm a day 1 in-store reservation holder but after crunching the numbers and applying all tax credits and special deductions for the model x like IRS section 179 heavy vehicle, the difference between a standard model x 75D and fully loaded model 3 is surprisingly closer than one would think.

I'm leaning toward the getting an X now.

@TrevP , care to chime in?
I’m not sure I’d say close, because it’s hard to compare loaded Model 3 and base Model X. When I configure a Model X I have a hard time keeping it away from mid-90s making it a solid $40k more than my Model 3. Even if you didn’t get the Model 3 in the full credit and just 50% credit — the difference is $3,750.
 

garsh

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#4
TLDR: if you own your own company and can claim the car as a business expense, then the Model X weighs enough that you can deduct a much larger percentage of the vehicle cost from your taxes.

If you don't own your own company, then they're not that close in price.
 

mtdoak

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#5
TLDR: if you own your own company and can claim the car as a business expense, then the Model X weighs enough that you can deduct a much larger percentage of the vehicle cost from your taxes.

If you don't own your own company, then they're not that close in price.
Don't forget you also have to prove that you use the model x is 100% used for business purposes to claim this rebate. (Or at least to get the full cost of the vehicle deducted) . This is the kind of thing that can trigger an audit if your business doesn't typically make large purchases .
 

jtdiddy

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#6
Don't forget you also have to prove that you use the model x is 100% used for business purposes to claim this rebate. (Or at least to get the full cost of the vehicle deducted) . This is the kind of thing that can trigger an audit if your business doesn't typically make large purchases .
yes, I own my own business and will probably use the x for about 50%-75% for business so I only plan to deduct accordingly.
 

DR61

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#7
TLDR: if you own your own company and can claim the car as a business expense, then the Model X weighs enough that you can deduct a much larger percentage of the vehicle cost from your taxes.
This policy is idiotic. When I become dictator this is the first tax deduction I will get rid of.
 

garsh

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#8
This policy is idiotic. When I become dictator this is the first tax deduction I will get rid of.
It's meant to help offset the cost of delivery/work trucks. My father-in-law used to own a small business and had 3-4 box trucks. It can be a large expense for a business.

The Model X just happens to meet the arbitrarily-chosen weight used to define a delivery truck. Sounds like a loophole that should be fixed, but I don't blame people for taking advantage of it.
 

Ronnie

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#10
Hey! I was wondering if anyone has bought a Model X and did the section 179 Tax deduction. I've heard many things about this and people writing off the entire car. My wife and I got intrigued with this so I thought to reach out to see if anyone has done this and how did everything work out.