Tax returns remain on schedule

March 5, 2025

Announced layoffs at the Internal Revenue Service are not significantly impacting the processing of returns and issuance of refund checks.

According to reports, the IRS laid off 7,000 probationary workers in February and additional cuts are expected.

“Returns are being processed timely,” said Sherri Sales, Public Affairs Specialist with the IRS.

Tax credits for qualifying used EVs are still available, though some legislation has been filed to end the credits. The credits can be transferred to a dealer at the time of sale for a qualifying vehicle. For pre-owned qualifying vehicles, the credit may be 30 percent of the sale price up to $4,000. The vehicle must be $25,000, older than two model years, weigh less than 14,000 pounds and have a 7-kilowatt battery.

“Dealers are being paid advance payments,” Sales said.

The IRS is expected to have the dealer tool for time of sales reporting available in March.

NIADA Author

The National Independent Automobile Dealers Association (NIADA) is among the nation’s largest trade associations, representing the used motor vehicle industry comprised of some 40,000 licensed used car dealers. Since 1946, NIADA has represented the voice and interests of used car dealers at the federal level in Washington D.C. Coupled with its state association network across the country, NIADA’s grass-roots framework provides a dual layer of advocacy unmatched in the used motor vehicle industry. For 75 years, NIADA has engineered programs and leveraged technology to fulfill its mission to advance, educate and promote the independent used car dealer. NIADA members subscribe to a strict Code of Ethics of duty, honor and integrity, and believe in the advancement of small business in support of the free-market system. More information about NIADA, visit www.niada.com.