Tesla Threatens Lawsuit Against Canada Over Freeze on Tax Credits
The freeze followed Tesla’s filing of massive rebate claims for iZEV, worth more than 8,600 claims valued at $30.9 million, as per the report. The claims were all filed in 72 hours, with some from a single Quebec City Tesla showroom, which claimed to have sold 4,000 vehicles in one weekend, according to Futurism.
In March, Canadian Transport Minister Chrystia Freeland said that Tesla specifically would be prohibited from accessing future rebates under the iZEV program, as per the report. The move was considered to be in response to the United States president Donald Trump’s tariffs on Canada, according to the report. Futurism also reported that she ordered her office to ban Tesla from eligibility for future tax credit programs so long as “illegitimate and illegal US tariffs are imposed against Canada.”
What Does Tesla Want from the Canadian Government?
According to the Toronto Star, Tesla has insisted that the tax credit freeze was “inappropriate,” because “Tesla Canada has been fully compliant with its participation in the program,” quoted Futurism.
The EV maker has demanded iZEV payouts start “in the immediate term” for those rebates filed before the January cutoff, even though they are considered to be fudged, as per Furtuism.
FAQs
Did Tesla file rebate claims?
Yes. Tesla filed over 8,600 rebate claims in just 72 hours for the iZEV program, with some claims coming from a Quebec showroom that reported selling 4,000 vehicles over a single weekend.
What happened after Tesla filed those claims?
The Canadian government froze Tesla’s access to the iZEV program, blocking the company from receiving tax credits worth up to $30 million, as per Futurism.
