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Discussion Starter #1 (Edited)
Hello guys,

I am brand new to the Volt club. Got my "new" car on July 10. Unfortunately, the deal was a total fraud. The dealer took the title back in March. After the deal, they admitted to me that they took the tax cred for themselves. They sold it to me as NEW. The purchase agreement, title application, everything says new.
 

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If this wasn't a lease then report this dealer to your state's Attorney General. This is fraud, pure and simple. I'd also report them to the IRS.

Under Federal Law, the tax credit goes to the leasing company as they are the actual owner of the car.
 

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Did you talk to the sales manager or general manager?
 

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I think you'll be hearing from the Michigan Attorney General pretty soon!

Don
 

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Discussion Starter #5
Really hope something happens. We did not plan on this and we're really counting on the credit. Really nerve racking situation
 

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If it was previously titled, regardless of the age or miles it must be sold as Used. New is fraud I think.
 

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Even if it's not fraud, it's definitely a gross manipulation of the description. I would definitely get your States AG involved. May I ask how you discovered all of this after purchase? Did they actually just come out and state these things after you signed paperwork? I'm sure there are other resources you can talk to about this as well. If everything in your paperwork indicates the car was new and never titled, that tax credit the dealership claimed is likely going to be a lot less than it's going to cost them after all this is done.
 

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Wow, that's awful. On the flip side, my Volt was titled by the dealership owner and listed for sale as used three months later. It didn't move for a couple of months and I was able to negotiate a very nice bargain on a like-new car with just under 1000 miles. I wouldn't have qualified for the full $7500 credit but got the car for $15k under MSRP.
 

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If you have the purchase agreement that says NEW, you can file for your rebate(s) unless it's a lease. Leasing is basically renting a car. You never own it. If you buy it out at the end, you are buying a used car from the lessor.

The leasing agency takes the credit because they are buying the car.
 

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Cuz he's running for Governor. Happen to have met him several times, as Midland is his home town.
So who is going to get him involved?

Also, who gave him more campaign dollars, the OP or the car dealership?
 

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If you have the purchase agreement that says NEW, you can file for your rebate(s) unless it's a lease.
The paperwork can say new all over it in six different colors, but unless you have the original MSO (Manufacturers Statement of Origin) it's not new. The MSO is surrendered when the vehicle is first registered.

No MSO, No Tax credit, period.
 

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The paperwork can say new all over it in six different colors, but unless you have the original MSO (Manufacturers Statement of Origin) it's not new. The MSO is surrendered when the vehicle is first registered.

No MSO, No Tax credit, period.
Depends on the State. Some require it some don't. If the bill of sale says "New" then the car is a "New" car sale. Check the Federally required odometer reading paperwork - this is the final arbiter for New/Used in car sales.

Also, how does OP know the dealership took the tax credit?
 

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The paperwork can say new all over it in six different colors, but unless you have the original MSO (Manufacturers Statement of Origin) it's not new. The MSO is surrendered when the vehicle is first registered.

No MSO, No Tax credit, period.
When they ask for proof (if at all) your Purchase Agreement is what you need.
 

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When they ask for proof (if at all) your Purchase Agreement is what you need.
Probably, but with $7500 on the line having the MSO is even better. I did get one with my 2011 Volt. I had to push the dealer for one on my 2017 Bolt.
 

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Probably, but with $7500 on the line having the MSO is even better. I did get one with my 2011 Volt. I had to push the dealer for one on my 2017 Bolt.
The MSO does not state who the retail buyer is or their address other than the dealership. No SSN on the paperwork. California will not accept one for Proof of Purchase. They need the entire purchase agreement, your license, and the temporary registration sticker. Not sure what the IRS would accept. If they take MSO's, I know a great way to make money with very little risk... :D
 

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The IRS form to claim the tax credit specifically says that the credit can’t be claimed if the car was purchased for resale. This was done to exclude slimy dealers who were doing this early-on.

If the dealer sold the car to you as new and your paperwork says that, you should be fine to claim the credit. You were the first person to buy the car with the intent of putting it into regular service. That’s the person who gets the credit. The IRS doesn’t reference MSO or titles at all.

https://www.irs.gov/pub/irs-pdf/i8936.pdf

The following requirements must be met to qualify for the credit.
You are the owner of the vehicle. If the vehicle is leased, only the lessor and not the lessee, is entitled to the credit.
You placed the vehicle in service during your tax year.
The vehicle is manufactured primarily for use on public streets, roads, and highways.
The original use of the vehicle began with you.
You acquired the vehicle for use or to lease to others, and not for resale.
You use the vehicle primarily in the United States.
 

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Discussion Starter #19
Folks, there has been an update. The dealer agreed to take the car back, so I can go find another car that has never been titled. Lesson here is to check the title history regardless of the paperwork saying new
 

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Folks, there has been an update. The dealer agreed to take the car back, so I can go find another car that has never been titled. Lesson here is to check the title history regardless of the paperwork saying new
That is good news to hear. Have you found anything yet?
 
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