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Tesla Model Y with apparent lift kit and large all-terrain tires spotted near Fremont Factory

Credit: The Kilowatts/Twitter

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It appears that Tesla may be working on some parts that would make the Model Y a true crossover with slight off-roading capabilities. This was hinted at recently by a sighting of a rather uniquely set-up Model Y driving near the Fremont Factory, which seemed to have been fitted with a lift kit and some all-terrain tires. 

The vehicle, which seemed to have been exposed to its own fair share of dirt, was spotted and captured on TeslaCam by electric advocate Ryan of The Kilowatts, who happened to be driving near the Fremont Factory when the lifted Model Y was on the road. Similar to the Model S refresh vehicles that have been spotted around Fremont Blvd as of late, the lifted Model Y did not have any plates. 

While the sighting was brief, the electric vehicle advocate mentioned to Teslarati that the Model Y was definitely set up differently from the typical Model Y sold by the electric car maker today. This was most evident in its higher ride height, as well as its big, thick tires that seemed to be optimized for all-terrain driving

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These characteristics could be seen in the TeslaCam footage captured of the rather strange vehicle. The clips that included the lifted Model Y were brief, but the crossover’s unique setup is evident. 

Tesla has not announced any plans about making the Model Y into a capable off-road vehicle. However, offering an all-terrain package for the crossover does make sense. After all, crossovers are expected to be refined enough for the city but capable enough to take the family to the beach or woods when needed. Examples of these include ubiquitous crossovers like the Subaru Forester and Toyota RAV4. 

Interestingly enough, Tesla actually equipped the Model Y with an “Off-Road Assist” feature, though this was considered quite strange by critics since the all-electric crossover has a low ride height. That being said, the fact that the Model Y is the only Tesla with a dedicated “Off-Road Assist” function today may not be a random decision from the EV maker. Perhaps the Model Y is really intended to be capable enough for slight off-roading, and Tesla is simply refining its production before it launches a dedicated off-road kit for the vehicle. 

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Don’t hesitate to contact us for news tips. Just send a message to tips@teslarati.com to give us a heads up. 

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla owners could be impacted by new EV tax credit extension rule

We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date. However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.

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tesla showroom
Credit: Tesla

Tesla owners could be impacted by a new EV tax credit rule, which seems to be a new hoop to jump through for those who benefited from the “extension,” which allowed orderers to take delivery after the loss of the $7,500 discount.

After the Trump Administration initiated the phase-out of the $7,500 EV tax credit, many were happy to see the rules had been changed slightly, as deliveries could occur after the September 30 cutoff as long as orders were placed before the end of that month.

However, there appears to be a new threshold that EV buyers will have to go through, and it will impact their ability to get the credit, at least at the Point of Sale, for now.

Delivery must be completed by the end of the year, and buyers must take possession of the car by December 31, 2025, or they will lose the tax credit. The U.S. government will be closing the tax credit portal, which allows people to claim the credit at the Point of Sale.

We confirmed with a Tesla Sales Advisor that any current orders that have the $7,500 tax credit applied to them must be completed by December 31, meaning delivery must take place by that date.

However, it is unclear at this point whether someone could still claim the credit when filing their tax returns for 2025 as long as the order reflects an order date before September 30.

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If not, the order can still go through, but the buyer will not be able to claim the tax credit, meaning they will pay full price for the vehicle.

This puts some buyers in a strange limbo, especially if they placed an order for the Model Y Performance. Some deliveries have already taken place, and some are scheduled before the end of the month, but many others are not expecting deliveries until January.

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Elon Musk

Elon Musk takes latest barb at Bill Gates over Tesla short position

Bill Gates placed a massive short bet against Tesla of ~1% of our total shares, which might have cost him over $10B by now

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Elon Musk took his latest barb at former Microsoft CEO Bill Gates over his short position against the company, which the two have had some tensions over for a number of years.

Gates admitted to Musk several years ago through a text message that he still held a short position against his sustainable car and energy company. Ironically, Gates had contacted Musk to explore philanthropic opportunities.

Elon Musk explains Bill Gates beef: He ‘placed a massive bet on Tesla dying’

Musk said he could not take the request seriously, especially as Gates was hoping to make money on the downfall of the one company taking EVs seriously.

The Tesla frontman has continued to take shots at Gates over the years from time to time, but the latest comment came as Musk’s net worth swelled to over $600 billion. He became the first person ever to reach that threshold earlier this week, when Tesla shares increased due to Robotaxi testing without any occupants.

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Musk refreshed everyone’s memory with the recent post, stating that if Gates still has his short position against Tesla, he would have lost over $10 billion by now:

Just a month ago, in mid-November, Musk issued his final warning to Gates over the short position, speculating whether the former Microsoft frontman had still held the bet against Tesla.

“If Gates hasn’t fully closed out the crazy short position he has held against Tesla for ~8 years, he had better do so soon,” Musk said. This came in response to The Gates Foundation dumping 65 percent of its Microsoft position.

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Tesla CEO Elon Musk sends final warning to Bill Gates over short position

Musk’s involvement in the U.S. government also drew criticism from Gates, as he said that the reductions proposed by DOGE against U.S.A.I.D. were “stunning” and could cause “millions of additional deaths of kids.”

“Gates is a huge liar,” Musk responded.

It is not known whether Gates still holds his Tesla short position.

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Cybertruck

Tesla Cybertruck gets small change that makes a big difference

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Credit: diagnosticdennis/Instagram and @smile__no via Tesla Owners of Santa Clarita Valley/X

Tesla made a change to the Cybertruck, and nobody noticed. But to be fair, nobody could have, but it was revealed by the program’s lead engineer that it was aimed toward simplifying manufacturing through a minor change in casting.

After the Cybertruck was given a Top Safety Pick+ award by the Insurance Institute for Highway Safety (IIHS), for its reputation as the safest pickup on the market, some wondered what had changed about the vehicle.

Tesla Cybertruck earns IIHS Top Safety Pick+ award

Tesla makes changes to its vehicles routinely through Over-the-Air software updates, but aesthetic changes are relatively rare. Vehicles go through refreshes every few years, as the Model 3 and Model Y did earlier this year. However, the Cybertruck is one of the vehicles that has not changed much since its launch in late 2023, but it has gone through some minor changes.

Most recently, Wes Morrill, the Cybertruck program’s Lead Engineer, stated that the company had made a minor change to the casting of the all-electric pickup for manufacturing purposes. This change took place in April:

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The change is among the most subtle that can be made, but it makes a massive difference in manufacturing efficiency, build quality, and scalability.

Morrill revealed Tesla’s internal testing showed no difference in crash testing results performed by the IIHS.

The 2025 Cybertruck received stellar ratings in each of the required testing scenarios and categories. The Top Safety Pick+ award is only given if it excels in rigorous crash tests. This requires ‘Good’ ratings in updated small and moderate overlap front, side, roof, and head restraints.

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Additionally, it must have advanced front crash prevention in both day and night. Most importantly, the vehicle must have a ‘Good’ or ‘Acceptable’ headlights standard on all trims, with the “+ ” specifically demanding the toughest new updated moderate overlap test that checks rear-seat passenger protection alongside driver safety.

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