Auto dealers got a small reprieve from the Internal Revenue Service when it comes to reporting electric-vehicle sales that qualify consumers for discounts equivalent to federal tax credits.
The IRS extended the deadline for the time-of-sale reports to Jan. 19 for any EVs sold Jan. 1 through Jan. 16.
The federal agency said the extension is intended to help dealers adjust to the new reporting system, which includes an online portal.
The Biden administration instituted tax credits for purchases of qualified EVs to encourage sales in an effort to curb harmful emissions. It recently narrowed qualifications for the credits to certain vehicles whose materials aren’t sourced from countries including China, as the U.S. aims to limit reliance on those markets.
“The IRS is committed to resolving any issues facing manufacturers, dealers and sellers navigating the IRS' new ECO tool,” the agency said in its announcement of the extension.
It's offering “office hours” to answer dealers’ questions about the sales reports.
Originally posted on Auto Dealer Today