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I just purchased a new 2015 Volt. This forum was very helpful in the decision to buy and now it is my pleasure to join and hopefully help some others after I learn more about the car. I am the first owner of a demo car with about 9,000 miles and fully loaded. I paid $25,500 plus tax, etc. and I would appreciate feedback on this deal. With the credit, the sales price will be $18,000.
 

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I just purchased a new 2015 Volt. This forum was very helpful in the decision to buy and now it is my pleasure to join and hopefully help some others after I learn more about the car. I am the first owner of a demo car with about 9,000 miles and fully loaded. I paid $25,500 plus tax, etc. and I would appreciate feedback on this deal. With the credit, the sales price will be $18,000.
If you are sure you qualify for the full tax credit, instead of waiting until tax season in early 2017 to collect it, you could turn off your withholdings today, collect up $7500 (and don't spend it on a dining room set or a bass boat), then turn it back on.

Pretty good deal, although 9k miles is pretty high even for a demo. I suggest you look into a voltshelf and a voltscreen from the forum user scarlett
 

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I made sure all my paperwork indicated this as a new car sale.

Your suggestions are all very good. Getting the credit now is easy for me since I just need to reduce my estimated tax payments. I have my own CPA practice and the Volt will be like a rolling advertisement for tax credits and good for my business.

I am definitely going to look into the voltscreen. Thanks.
 

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If you are sure you qualify for the full tax credit, instead of waiting until tax season in early 2017 to collect it, you could turn off your withholdings today, collect up $7500 (and don't spend it on a dining room set or a bass boat), then turn it back on.

Pretty good deal, although 9k miles is pretty high even for a demo. I suggest you look into a voltshelf and a voltscreen from the forum user scarlett
Hello..... Congrads on good deal I paid 19,400+TTL back in feb for a 2015 Demo with about 2100 miles. No tax credit on this demo, which is OK for my case, as I have med deductions. I always thought that any car with over 1600++ Miles probally has been titled. But several people here have had 2-9K miles with a "New" untitled car.
 

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It is hard to imagine how a car with only 2100 miles had ever been previously titled. My understanding is that the key is that your paperwork shows the sale as a new car sale. A car being transferred between dealerships is still a new car. If your paperwork shows used, you may be able to get that corrected.
 

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It is hard to imagine how a car with only 2100 miles had ever been previously titled. My understanding is that the key is that your paperwork shows the sale as a new car sale. A car being transferred between dealerships is still a new car. If your paperwork shows used, you may be able to get that corrected.
hello

Hello ,,,,, The car was never owned by a person just the dealer. The sales paper work shows the car as Used. The Title search shows one owner from below. The dealer used it as a rental to people who where having thier cars fixed, They would rent the cars for nothing or real cheap. Have you heard of some dealers changing the paperwork?????? Or would the below document from Florida DMV be enough to file with the Federal form. Since your a CPA you probally know the in and outs. 2400 miles not 2100

Vehicle Identification Number: 1G1RA6E41FU106129 Year/Make: 2015 CHEVROLET
Previous Title State: FLORIDA Registration Expiration Date: 12/10/2016
Title: 121033340 Title Issue Date: 3/3/2016
Title Status: ACTIVE Title Print Date: 3/8/2016
Odometer Reading/Status: 2,411 ACTUAL MILEAGE Odometer Date: 2/15/2016
Color: RED Vehicle Type: AUTO
Net Weight: 3,738 Owner Information: 1 owner
Electronic Title with Electronic Lien Salvage:
Brands:


Lien Information

Name Address Date Receipt Date
BANK OF AMERICA PO BOX 2759
JACKSONVILLE, FL 32203- 2759 2/15/2016 3/02/2016

If any of the information on this record needs to be corrected, please contact your tax collector and complete appropriate paperwork to update the record.
If you have lost or misplaced your title and need to apply for a duplicate, click here for the form and instructions.
 

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This means you are not eligible for the tax credit.
So if there is an MSO on Louisiana's car then they are good. But if the dealership owned it, then it is considered used. Checke the paperwork carefully.
 

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So if there is an MSO on Louisiana's car then they are good. But if the dealership owned it, then it is considered used. Checke the paperwork carefully.
Anyone can show you a copy of an MSO/MCO even after the car (1G1RA6E41FU106129) has been titled. This car is listed as being titled. That means the MSO/MCO has been filed with the state already.
 

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Hello. .......The idenity of a 'Demo' is highly contingent on what 'paperwork' the dealer has filed. Especially If one demo for 9000 is 'new' and another dealer's Demo with 2400 miles is 'used'. Both dealers have used the car. The title record i found at the DMV shows 'one owner' (ie Bank/me) and the active Title is to the Bank. As I read it. No mention of any title to the dealer. So I am thinking maybe the dealer messed up and did not get a title. I got a whole year to figure this out and see if I should or should not file for the credit.

Anyone can show you a copy of an MSO/MCO even after the car has been titled. This car is listed as being titled. That means the MSO/MCO has been filed with the state already.
 

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Hello Tim,

I am thinking maybe the dealer messed up and did not get a title.
A dealer can use and license a car using the MSO/MCO from and on behalf of GM. They don't have to buy and title it. State laws vary on how many miles can be on the odometer before it has to be sold as used.

The title record i found at the DMV shows 'one owner' (ie Bank/me) and the active Title is to the Bank.
Sorry, I didn't realize you (and your bank) are the first owner. In that case you can claim the credit I think.
 

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Hello....... i did not think I could either, but based on the way the words in the document from the state of FL DMV document I found, I may have a chance. I only searched for the document, after Mr Louisiana peaked my interest. TKS Mr Louisiana. I owe you a beer if this works. Two beers

Demos are in a gray legal area.

Hello Tim,
A dealer can use and license a car using the MSO/MCO from and on behalf of GM. They don't have to buy and title it. State laws vary on how many miles can be on the odometer before it has to be sold as used.



Sorry, I didn't realize you (and your bank) are the first owner. In that case you can claim the credit I think.
 

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I hope it works for you Tim. One big difference from my situation is that you use stated the car was a rental. That could be a deal breaker on the credit. Still, I question how much of a rental it could be with that few miles. My car had a lot more miles but that was from loaning it to sales personnel or so I was told.
 

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Demos are in a gray legal area.
The federal law is very clear.

Internal Revenue Bulletin: 2009-48 Section 5-02 said:
..........The purchaser may claim a credit in the certified amount with respect to the vehicle if the following requirements are satisfied:

(1) The vehicle is placed in service by the taxpayer in a taxable year beginning after December 31, 2009, and is acquired by the taxpayer after December 31, 2009;

(2) The original use of the vehicle commences with the taxpayer;

(3) The vehicle is acquired for use or lease by the taxpayer, and not for resale; and

(4) The vehicle is used predominantly in the United States.
Section 5.02 - 2) is the "first owner" rule. That would be you.

Section 4. MEANING OF TERMS
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.07 Acquired. A vehicle is not “acquired” before the date on which title to that vehicle passes under state law.
https://www.irs.gov/irb/2009-48_IRB/ar09.html
 

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Hello .......According to the words in this Internal Revenue Bulletin: 2009-48 Section 5-02 a Title may be more important then the MSO document. Also a dealer always intends to do a resale so requirement 3) seems like a grey area. No mention is made of how many miles a car must have before it is considered "used" or as 'for use" per above requiremnt 3. In the case of a dealer takening the credit the dealer is defining themselves as the taxpayer in "for use by the taxpayer".
Both the application for Title document that I was given and the document downloaded from DMV FL state show me as first owner. even listing my drivers lic number under 1st owner. So I am a bit confused and need to do more checking.

Upon researching previous posts most complaints are about dealers who say the buyer can get the credit and the buyer finds out they can not or the car was titled. In my case the dealer said the car was used. But no record of title found yet.

I would first need to do better Title search and more checking. I have till next year at tax time to check.
 

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Hello .......According to the words in this Internal Revenue Bulletin: 2009-48 Section 5-02 a Title may be more important then the MSO document. Also a dealer always intends to do a resale so requirement 3) seems like a grey area.
A car is issued to a dealer with an MSO. The dealer can license that car with the state for road use with the MSO only. They act as a selling agent for GM. When you buy the car the dealer turns in the MSO to the state and they have it titled to you as the first owner.

The dealer does not title the car to themselves unless they purchase it from GM with the intention of owning it themselves.

No mention is made of how many miles a car must have before it is considered "used" or as 'for use" per above requiremnt 3.
That's the beautiful part about this law - it says so little. If something is not defined, it's not defined and there is no gray area.

In the case of a dealer takening the credit the dealer is defining themselves as the taxpayer in "for use by the taxpayer".
Both the application for Title document that I was given and the document downloaded from DMV FL state show me as first owner. even listing my drivers lic number under 1st owner.
You are the first owner. You have documents that prove this.

So I am a bit confused and need to do more checking.
You shouldn't be confused.

IRS said:
The vehicle is placed in service by the taxpayer in a taxable year ........ and is acquired by the taxpayer
A vehicle is not “acquired” before the date on which title to that vehicle passes under state law.
I don't know how to make this more clear. You can claim the credit.
 

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Hello .... Tks ..........Sounds good to me.
Started doing my 2015 taxes last week so I can project how much the car tax Credit will help for 2016 taxes when i do them next year. I usually get the extension.

A car is issued to a dealer with an MSO.
I don't know how to make this more clear. You can claim the credit.
 

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Hello .... Tks ..........Sounds good to me.
Started doing my 2015 taxes last week so I can project how much the car tax Credit will help for 2016 taxes when i do them next year. I usually get the extension.
Plus if you are certain you can claim the credit, withhold the money this year, keep it in a back account just in case for some reason you cannot claim it, and you've reduced the risk.
 
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