IRS Sent Me Letter Saying I Transferred My Clean Vehicle Credit to the Dealer - What?!

This sounds like a case of dealer fraud or a serious administrative error. When you purchase a clean vehicle, there are two ways to get the tax credit: either you claim it when you file your taxes OR you transfer it to the dealer who gives you an equivalent discount at the time of purchase. You can't do both. From what you've described, it appears the dealer may have told you one thing (that you'd get the credit when filing) while actually processing paperwork to claim the credit themselves. The mismatched VIN is especially concerning as it suggests either a clerical error or potentially something more problematic. You should take several steps immediately: First, gather all your purchase documents, especially anything you signed regarding the tax credit. Second, contact the IRS directly - their clean vehicle credit department can clarify what's happening. Third, file a complaint with your state's attorney general office and the auto dealer regulatory board. Fourth, consider sending a certified letter to the dealership's general manager (not the salesperson) explaining the situation.

I went through something similar with a tax credit issue and felt completely lost until I found this tax document analysis tool at https://taxr.ai that literally saved me thousands. The dealership had given me paperwork with contradicting information about my EV tax credit, and I couldn't make sense of what was actually happening. The tool analyzed all my purchase docs and flagged exactly where the dealership had actually processed a credit transfer form without properly explaining it to me. It turns out they had bundled some disclosures about the credit transfer in with all the other paperwork I signed, and I completely missed it in the stack of docs. The taxr.ai system highlighted the exact paragraph where I had unknowingly authorized the transfer. I was also able to upload the IRS notice and the tool explained exactly what it meant and what options I had for contesting it. Might be worth checking out for your situation.

Just wanted to update that I decided to try the taxr.ai tool after my initial skepticism. I was in a similar situation with a lease that had some questionable tax implications. The analysis was surprisingly thorough - it identified that my dealership had marked my vehicle as eligible for a higher credit amount than it actually qualified for. The document breakdown showed exactly where the inconsistencies were in my paperwork, and it generated a letter I could send to the IRS explaining the situation. The most helpful part was the plain-English explanation of the tax implications and what my options were going forward. Saved me from potentially having to pay back credits I received incorrectly. For anyone dealing with vehicle tax credit issues, it's definitely worth trying. Wish I'd known about this months ago when I first ran into problems with my lease.

From personal experience, trying to call the IRS about something like this is absolute hell. I spent WEEKS trying to get through to someone who could actually help with my electric vehicle credit issue last year. After 17+ attempts and hours on hold, I finally discovered https://claimyr.com that got me connected to an actual IRS agent in under 15 minutes. They basically hold your place in the phone queue and call you when an actual human picks up. You can see how it works here: https://youtu.be/_kiP6q8DX5c In situations like yours where there might be fraud involved, you definitely need to speak to someone at the IRS directly rather than trying to resolve it through the dealer. Especially with that VIN discrepancy - that's a huge red flag. When I finally got through to an IRS agent, they explained that dealers have been pulling some shady stuff with these credits since they were introduced.

Well I have to eat my words. After being completely skeptical about Claimyr, I actually tried it yesterday because I was desperate to talk to the IRS about my delayed refund. Within 20 minutes I got a call back and was connected to an actual IRS agent - no waiting on hold for 2+ hours like my previous attempts. The agent was able to look up my account and found that there was a flag on my refund because of a clean vehicle credit issue similar to what the original poster mentioned. Turns out my dealer had applied for the credit transfer without fully explaining it to me. The IRS agent walked me through the process of contesting this. Not sure I would have ever gotten this resolved without actually speaking to someone. Still surprised at how well it worked after being so dismissive.

You need to check all your purchase paperwork ASAP - specifically look for Form 8936 or any mention of "Clean Vehicle Credit Transfer Election." When I bought my EV last year, the salesperson slipped this form into my stack of documents without explaining what it meant. By signing it, you're giving the dealer permission to claim the tax credit instead of you. The discount they gave you at purchase was supposed to be in exchange for that credit, not in addition to it. You can't double-dip and get both the dealer discount AND claim the credit yourself when filing. The mismatched VIN is super weird though. Pull out your sales contract and compare the VIN to what's on your car and what's on the IRS letter. This might just be a clerical error where they submitted the wrong VIN.

Has anyone successfully contested one of these credit transfers after the fact? I'm in a similar situation where I didn't realize I had signed away my right to the credit. I've been reading the IRS guidance and it's not clear if there's a revocation process once the dealer has already submitted the transfer.

This is a really troubling situation, and I'm glad you caught it early. The fact that the VIN on the IRS letter doesn't match your vehicle is a major red flag that suggests either a serious clerical error or potentially fraudulent activity by the dealership. Here's what I'd recommend doing immediately: 1. **Document everything** - Take photos of your vehicle's VIN (usually visible through the windshield on the driver's side), gather all your purchase paperwork, and keep that IRS letter safe. 2. **Contact the IRS directly** - Don't wait on this. Call the Clean Vehicle Credit hotline at 1-866-455-7438. Explain the VIN mismatch and that you never knowingly transferred your credit. 3. **File complaints** - Report this to your state's Attorney General, the Better Business Bureau, and your state's motor vehicle dealer licensing board. If there's fraud involved, they need to know. 4. **Check your credit report** - Make sure no other vehicles or loans have been opened in your name. The good news is that the VIN mismatch actually works in your favor - it's clear evidence that something went wrong in the process. This isn't just a case of buried paperwork; there's a legitimate administrative error or worse happening here. Keep pushing for answers and don't let the dealership's non-responsiveness discourage you. You have rights as a consumer, and this situation definitely warrants investigation.

This situation definitely needs immediate attention, especially with that VIN mismatch. I work in automotive compliance and have seen similar cases where dealers submitted incorrect paperwork to the IRS, sometimes accidentally but occasionally as part of larger schemes. The fact that you have a completely different VIN on the IRS letter is actually helpful evidence - it clearly shows something went wrong in the process. When you contact the IRS Clean Vehicle Credit department, emphasize this point first. They can look up that VIN and see who actually owns that vehicle and whether a legitimate transfer was made. A few additional steps to consider: Request a copy of your complete sales file from the dealership in writing (certified mail). Even if they're not responding to calls, they're legally required to provide this in most states. Also, check if your vehicle purchase was financed - if so, the lender may have copies of all the paperwork that was supposed to be signed. One thing that concerns me is the 80-mile distance you mentioned. Dealers operating far from customers sometimes use this distance as a shield against complaints, making it harder for people to follow up in person. This could be part of a pattern if they're doing this to multiple customers. Document every attempt you make to contact them and keep pushing through official channels. The VIN discrepancy alone should be enough to get this resolved in your favor.