Dealer doesn't know about $7,500 credit under a lease

[spriteking2012]

Hey all. I am in preliminary talks via email with a local Nissan dealership about leasing a LEAF. I emailed for some ballpark numbers credit application not submitted (quote was insane... $550.00 for 39 months!) and hit a wall.

The dealer insists the $7,500 federal credit is for me to claim. I countered that only the purchaser can claim the credit. In the case of the lease that would be them as the lessor (or NMAC), not me the lessee, and that they are required to both disclose the credit and treat it as a cap cost reduction. I have had to go so far as email them a copy of the IRS form 8936 which clearly spells out the regulations. I am currently awaiting a response.

Should I even bother continuing with them or go to another dealer? They seem wholly in the dark about the entire process and frankly it's not engendering a great deal of faith in them. Am I wrong? Has anyone else hit this snag? How did you address it?

 

[mwalsh]

Yeah, I think I'd go to another dealer. The only current reason I can think of for the credit not getting passed along to you would be if Nissan had changed policy on doing so (and I haven't heard that to be the case).

 

[kubel]

It's not internally referred to as a tax credit. Ask your dealer if "lease cash" in the amount of $7500 is available for the LEAF and tell him to apply that. If not, walk away and find another dealer.

 

[redLEAF]

... or if the car has already been titled and you would be considered the 2nd purchaser (used), then of course Fed Tax credit has already been used. I have heard of other mfg. actually 'taking' some of this credit themselves (heard some BMW dealer's are doing this with the i3) and not passing the whole thing to the person who leases the car but you can't apply yourself for the Fed Tax Credit on a lease. If this guy and his finance dept. don't know how to handle these go elsewhere

 

[spriteking2012]

... or if the car has already been titled and you would be considered the 2nd purchaser (used), then of course Fed Tax credit has already been used. I have heard of other mfg. actually 'taking' some of this credit themselves (heard some BMW dealer's are doing this with the i3) and not passing the whole thing to the person who leases the car but you can't apply yourself for the Fed Tax Credit on a lease. If this guy and his finance dept. don't know how to handle these go elsewhere

It is a new vehicle so that shouldn't be the case.

It's not internally referred to as a tax credit. Ask your dealer if "lease cash" in the amount of $7500 is available for the LEAF and tell him to apply that. If not, walk away and find another dealer.

He did mention 8900.00 in " LEAF cash" off the lease and I explicitly asked if that included the 7,500 . He said it doesn't and again retorted that I have to claim that. I imagine that what you're describing is actually the case and he is just not great at his job as the finance guy or is farming his email out to interns.

 

[Limey]

The dealers are pretty blind, they only think short term.

I ran into a volt dealer that registered one of its cars as a loaner car. I was looking at buying it (they gave a real good price @ 28k) but then I asked if they registered the car, and they said yes. They wouldn't believe me that they were now the only people able to take the credit, and if they sell the car now as new, they are going to get a law suit. Even after showing them the federal tax forms and descriptions, they wouldn't take anymore off the car.

just waiting to hear the law suit

 

[davewill]

To be clear, the lessor is under no legal obligation to pass the credit on. Toyota was, for quite a while, refusing to do so on the RAV4EV. They were giving a pittance back on a lease, and would listen to no one. Needless to say there were few leases. They eventually did increase the lease cash to much more than the $7500 credit, but they never identified it as such., Nissan, however, has always been clear about it.

The dealer is an idiot.

 

[LeftieBiker]

When I started looking to lease, the closest dealership's (Nemith Nissan, now under another owner) internet sales rep told me that NMAC is a third party, not affiliated with Nissan, and that dealers can choose whether or not to honor their lease offers - and that this dealership chose not. It's sometimes hard to decide how much is ignorance and/or stupidity, and how much is an effort to discourage potential Leaf buyers/lessees. Going by the number of typos in the response, I'd have to say that idiocy was right up there...

 

[tcherniaev]

Just buy a Tesla. They don't use dealers, and they are very clear about any tax incentives available.

This is just another example of how dealers are there to "protect" consumers. Specifically, they appear to protect consumers from their money.

 

[Limey]

Just buy a Tesla. They don't use dealers, and they are very clear about any tax incentives available.

This is just another example of how dealers are there to "protect" consumers. Specifically, they appear to protect consumers from their money.

To true! but Tesla isn't exactly protecting my money either. I could buy 3 to 4 leafs for what they charge for one car!