Buying a New Tesla? The EV Tax Credit Will Soon Come Off at Time of Purchase

By Kevin Armstrong
In 2024, the US EV tax credit will come off the car at the time of purchase
In 2024, the US EV tax credit will come off the car at the time of purchase
Tesla

The U.S. Department of the Treasury and the Internal Revenue Service (IRS) announced measures that could benefit Tesla buyers. Consumers will soon enjoy the benefits of the federal tax credits at the point of sale for new and previously owned clean vehicles, a move that aligns perfectly with Tesla's mission to accelerate the world's transition to sustainable energy.

Immediate Rebates on New and Used EVs

Starting January 1, 2024, under the Inflation Reduction Act, buyers of new clean vehicles like Teslas can transfer a credit of up to $7,500 directly to car dealers. For those eyeing previously owned clean vehicles, a credit of up to $4,000 can be transferred. This system effectively reduces the vehicle's purchase price instantly. No longer will buyers have to wait for their annual tax return to see the benefits; instead, they can enjoy an immediate reduction in their Tesla's price.

This initiative is not just a win for consumers but also for dealers. The IRS is launching a new website, IRS Energy Credits Online, where dealers must register to facilitate these clean energy tax credits. Starting in January, dealers registered on this platform can submit information on clean vehicle sales and quickly receive payments for transferred credits, often within a 72-hour window.

Ensuring Transparency and Authenticity

Buyers transferring the credit will see the purchase price of their Tesla reduced or receive a cash amount equivalent to the available credit for the eligible vehicle. Dealers must provide clear disclosures during the credit transfer process, ensuring buyers fully know the credit's amount and eligibility.

In addition to ensuring clarity for consumers, the guidance also emphasizes safeguards against fraudulent practices. Verification processes will be in place to ensure that only legitimate, tax-compliant dealers benefit from these advance payments and that only qualifying vehicles receive the credit.

Tax Implications Simplified

The newly proposed rules also address these transactions' federal income tax implications. For Tesla, credit transfers and advance payments won't significantly impact their tax liability. And for buyers, payments made by dealers, whether as cash or towards the vehicle's down payment, won't be considered part of their gross income.

The Inflation Reduction Act paves the way for more affordable access to clean vehicles. After a confusing start to these credits, it appears the IRS is now responding to consumer and market needs. This move is poised to further propel Tesla's already skyrocketing popularity, making sustainable driving more accessible.

Tesla Launches AI Agent to Improve Tesla Service Communications

By Karan Singh
Not a Tesla App

One of Tesla’s greatest weaknesses, as it has quickly become one of the world’s most ubiquitous cars on the planet has always been service. Escalating issues to managers and sometimes even reaching a Tesla Service employee can be a total coin flip, depending on your Service Center.

Tesla is continuing its push to integrate AI across its customer support channels in an effort to improve customer service. According to Raj Jegannathan, Tesla’s VP for IT, AI Infrastructure, Apps, Infosecurity, and Vehicle Service Operations (that’s a lot), Tesla is launching a pilot program for a new AI designed to improve customer interactions with Service.

This new initiative follows other recent AI deployments across Tesla’s customer-facing channels, including the personalized AI assistant within the Tesla App, the ability to ask questions to AI on Tesla’s website, and the biggest one, the new voice-based AI customer representative introduced for Tesla Insurance.

Proactive AI Support

At 10 pilot service locations, this new AI agent will begin working behind the scenes at Tesla Service, to help with customer communications. It will provide three key features:

Detect Communications Delays: The AI will actively monitor service interactions to identify potential delays in communication or progress. These are often a key pain point for customers who reach out to Tesla Service and don’t receive a response for several days, as Service has nothing new to add. The AI can now step in and let the customer know Tesla is still waiting on parts or something else.

Monitor Customer Sentiment: By monitoring the tone and content of the messages between the customer and Service agents, Tesla will be able to identify situations where a customer might be dissatisfied or facing difficulties.

Auto-Escalate: If either a communications delay or negative sentiment is detected, the AI can automatically escalate issues to human managers for review. This helps to address problems before customers need to seek escalation themselves or become upset about an issue.

Customer Escalation Requests

Alongside the new AI tool, Tesla is also introducing a more direct way for customers to get higher-level attention. According to Tesla, within the next two weeks, customers can simply type “Escalate” in order to have their issue routed directly to management.

Raj’s team is currently working on implementing guardrails to prevent abuse, but this will soon make its way to improving Tesla’s service offerings. We’re glad to see Tesla taking steps to identify and correct deficiencies in the process - it has always been a sore tooth for Tesla in the last few years.

Exclusive: A Look Inside the Tesla Diner [PHOTOS]

By Karan Singh
Thomas Adamian

Over at 7000 Santa Monica Boulevard in Hollywood, Los Angeles, Tesla’s stainless steel-clad retro diner is really coming together. Most recently, we saw the gigantic 45-foot LED screens for the outdoor theater come to life, but there’s been more going on inside than we originally knew about.

Now, thanks to photos shared with us by Thomas Adamian, who ventured over to the site, we have our very first look inside the nearly completed Tesla Diner.

While we knew the concept aimed for a retro-futuristic theme, blending a diner with Superchargers and a modern open-air theater, the initial stages of the interior are well beyond a mere nostalgia project.

Interior Explored

Inside, we’ve got a seamless blend of classic circular diner-style seating accompanied by distinctly modern lighting and fixtures. This definitely brings to life that modernist art-deco feel and feels right at home alongside Tesla’s Robovan, rather than a period set-piece.

The facility is still clearly under active construction in these images, with materials and equipment visible, but they provide the best and most detailed glimpse so far of what the indoor dining experience will look like.

Front Door / Diner Logo

The circular spaceship-like entrance
The circular spaceship-like entrance
Thomas Adamian

The circular entrance looks like something out of this world - and while we’re hoping the doors slide inside the walls, like a pocket door, they likely open in or out like a standard door.

This is also one of our first looks at the Tesla Diner sign, which hangs inside the doorway. The logo itself also has an art-deco look and feel. On the door, there’s also a sign confirming that the diner will be open 24/7.

Windows & Artwork

Shutters, Stealth Fighters, and Cybertrucks
Shutters, Stealth Fighters, and Cybertrucks
Thomas Adamian

Tesla really nailed the style with the windows and shutters, matching the diner’s vibe. In the background, you can also see the concept art for the Cybertruck. We hope Tesla includes artwork for other vehicles as well, as they help tell the Tesla story and give diners an inside look at the company.

Exterior Seating

The exterior seating
The exterior seating
Thomas Adamian

There’s also an exterior seating space, which seems to be in the early phases of being laid out. None of those pallets have been disassembled yet, but they likely have outdoor furniture, letting customers sit outside and enjoy a meal.

The Tesla Diner in Hollywood is shaping up to be much more than just a restaurant with chargers. It’ll have in-app functionality with the Tesla app and offer room for 200 diners inside, along with the ability to use a drive-in theater with in-car service. Tesla’s original plans also include rooftop seating, so there’s likely more to come once the construction phase continues.

The idea for a Tesla Diner began in 2023, when it was announced at Tesla’s Investor Day. While the diner has yet to open, it already seems like it’ll be an iconic establishment for the area. Amid recent brand turbulence tied to politics, this project has the potential to refresh Tesla’s image—offering a fun, memorable place to charge.

If there’s one thing we’re hoping for, it’s that the food matches the creativity of the design. Ideally, what Tesla is building in Hollywood becomes a blueprint for similar diners across North America—and eventually, the world.

With its unique concept and prime location, the Diner is poised to become a true LA landmark and a must-visit destination for locals and tourists alike.

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