I am taking delivery of a Model X in September. I've talked to my CPA, trolled the Internet, and I'm still not satisfied I REALLY know how the credit is applied.
Is the $7,500 deducted from my taxable income, and then I get the refund at my tax bracket. In other words, $7,500 less income * 28% = $2,100? Or, do I get a straight $7,500 off my taxes, like the equivalent of $28K in taxable income at 28% bracket?
And, then do I need to OWE money at the end of the year? I've intentionally stopped claiming my children as dependents,and done other tweaks to NOT owe a big fat chunk of change at the end of the year. Should I stop that? Should I take a big bonus at the end of the year so I definitively owe a bunch of money to the IRS and can offset it with this credit?
If anyone has experience and advice I would appreciate it. Last thing I want to do is leave money on the table, especially after the bastards audited me and put me through hell last year and were clearly making crap up to suck a few thousand out of me. That's another great story I should setup a blog for.
Thanks.
Ohio Dude
Is the $7,500 deducted from my taxable income, and then I get the refund at my tax bracket. In other words, $7,500 less income * 28% = $2,100? Or, do I get a straight $7,500 off my taxes, like the equivalent of $28K in taxable income at 28% bracket?
And, then do I need to OWE money at the end of the year? I've intentionally stopped claiming my children as dependents,and done other tweaks to NOT owe a big fat chunk of change at the end of the year. Should I stop that? Should I take a big bonus at the end of the year so I definitively owe a bunch of money to the IRS and can offset it with this credit?
If anyone has experience and advice I would appreciate it. Last thing I want to do is leave money on the table, especially after the bastards audited me and put me through hell last year and were clearly making crap up to suck a few thousand out of me. That's another great story I should setup a blog for.
Thanks.
Ohio Dude