Place YOUR Bets! Do YOU Think That Expiring Tax Credits Will Impact Tesla's Sales In 2020?

The clock has been ticking over at Tesla ever since it sold more than 200,000 units of electric vehicles in 2018. From that point forth, the US government's rather generous tax credit has been trickling down.

As we're in the home stretch now, it is down to $1,875/unit. The last day it is effective is December 31, 2019.

When we ring in a new year it won't just mark mankind stepping into 2020, it will mean Tesla will no longer have the wind at its back. Here's the thing, though. Does it even matter?

We've seen expiring tax credits cripple EV sales across the globe but Tesla is in a completely different boat with very unique brand equity and brand loyalty that rivals Apple.

I am left wondering if Tesla buyers even are aware or care that there will soon no longer be a tax credit. That said, Spies, I wanted to see what your predictions look like.

Will Tesla's expiring tax credit impact its 2020 sales figures? What say you?




Tesla's email follows:

In less than 5 weeks, the federal tax credit will be expiring and purchases of a new Model S, Model X or Model 3 will no longer be eligible for this incentive. Order online in less than three minutes and experience the ease, convenience and safety of an all-electric design.

Place your order and take delivery by December 31, 2019 to be eligible for the federal tax credit. Orders placed near the end of the year are not guaranteed to be delivered by December 31.

Any purchase of a Model S or Model X will also come with free Supercharging.

Section_31_JTK - 12/21/2019 5:41:51 PM

+2 Boost

Maybe a little bit. Tax credits are down to less than $2k at this point.

Agent00R - 12/22/2019 11:11:22 PM

+1 Boost

Right, this was mentioned above...

CANADIANCOMMENTS - 12/21/2019 5:44:59 PM

+3 Boost

Zero impact. If you have $60-$100k for a Tesla (CDN pricing) you are doing ok and won't miss or consider the $2k in your purchase decision.

MarathonBob - 12/22/2019 12:29:12 PM

+2 Boost

In response to Jizz's comment about Canadien sales crashing, this article and related drill down would suggest they are going up. https://emc-mec.ca/new/electric-vehicle-sales-in-canada-q3-2019/

skytop - 12/21/2019 6:16:59 PM

+1 Boost

Ha! Do you really have to ask?

skytop - 12/21/2019 6:18:28 PM

+3 Boost

I am tired of MY TAX DOLLARS being pissed away paying for slackers to purchase EV's.

valhallakey - 12/22/2019 3:29:49 AM

+3 Boost

Same for the oil industry.... end subsidies for both!

Truthy - 12/22/2019 1:44:44 PM

+3 Boost

Tax incentives for the energy industry are remarkably different than for Tesla. There is not $7,500 going directly to a consumer to purchase an ICE. They have to demonstrate that they are investing in technology and finding new reserves.

SanJoseDriver - 12/21/2019 6:21:09 PM

0 Boost

At this point, $1,875 isn't going to make a big difference. They may drop prices in the US or focus on international sales if it does, but there should be enough on the roadmap to more than make up for it (full self driving functionality, Model Y, entertainment upgrades like HBO and more games).

Foncool - 12/22/2019 9:47:46 PM

+1 Boost

Reality Check, even with all Federal and State tax incentives EVs are only 2% of the market. 25% of that 2% are sold in a couple of zip codes in the Land of Fruits and Nuts.

So in a way eliminating the incentives really won’t effect sales of products that consumers weren’t buying anyway.

SanJoseDriver - 12/23/2019 1:06:49 AM

+1 Boost

The EV pie has gotten larger year after year. In the country's largest auto market, it's 10% of sales now. It's a one way road, few people buying EVs are going back to ICE cars and sales will grow exponentially as all major manufacturers start delivering EVs in 2020.

supermoto - 12/22/2019 10:36:42 AM

+1 Boost

Yeah it matters. $0 tax credit for a Tesla, or $7,500 tax credit for any other brand.
I'd take a Taycan 4S any day over a Model S.

Truthy - 12/22/2019 1:46:59 PM

+1 Boost

It will definitely impact sales. Elon has used every decrease in incentives to move more cars before the experiration. Sales will slow considerably in the first quarter 2020.

Vette71 - 12/22/2019 5:02:15 PM

0 Boost

Pulling sales forward in the face of an increasing price is marketing 101, so Elon's not doing anything new. You want to get those potential sales off the street into your product and not a competitors.