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#250 of 258 Re: Latest on state tax incentives [gagrice]
Nov 17, 2007 (7:47 am)
Seams like every site has different information about state tax incentives. I guess I will need to check again before April 15th.
#251 of 258 Credit Bye Bye
Nov 20, 2007 (6:05 am)
TOYOTA HYBRID TAX CREDIT EXPIRES
The Internal Revenue Service has discontinued the federal tax credits for Toyota hybrid vehicles—including the flagship Prius—as of Oct. 1, 2007. Toyota Motor Corporation hit a legal cap in the number of vehicles sold that can offer the credit. Only hybrids purchased before the Oct. 1 deadline are now eligible for the incentive.
According to IRS rules, tax credits for new hybrid vehicles phase out when an automaker sells 60,000 hybrids. Toyota hit the magic number last summer, which initiated the beginning of the process. Honda recently reached the mark of 60,000 hybrids sold, and will now start their phase-out next year. GM, Ford, and Nissan are not expected to reach cap before 2009 when the incentive laws will be reconsidered or entirely discontinued.
Feb 14, 2008 (7:10 pm)
I bought my 07 Hybrid last year and was just curious what I can expect as far as a tax credit. I live in Ca, divorced, no dependents....income around $60 thousand. Thanks
#253 of 258 Re: Tax Credit [supercub43]
Feb 15, 2008 (6:30 am)
You'll get the full $2,100, but don't brag about it. Otherwise, people will know that you earn less than $100,000, which makes you a slacker!
Especially in California.
#254 of 258 Re: Tax Credit [supercub43]
Feb 15, 2008 (5:02 pm)
It depends what hybrid you bought. What date you bought it and if you will be stuck with the AMT. Those that get stuck with Alternate Minimum Tax cannot claim the tax credit. Good luck.
#256 of 258 Tax credit incentive?
Jun 03, 2008 (10:21 am)
I know the Altima still has the $2350 tax credit incentive.
Anyone know if there are any gross income limitations on this?
(i.e.: Can you make "too much" to get it?)
#257 of 258 Re: Tax credit incentive? [cephraim]
by PFFlyer@Edmunds HOST
Jun 03, 2008 (11:10 am)
Here's an answer that was given on CNNMoney.com
Qualifying for the credit - and how much of it you can take - depends on how close you come to having to pay the Alternative Minimum Tax.
It's a problem that could affect many hybrid car buyers who have six-figure incomes and take a lot of deductions, said Wisconsin tax preparer David Mellem.
As the name implies, the AMT sets a minimum amount of tax you must pay even if you have deductions that would seem to allow you to pay less.
The AMT disallows a lot of common deductions that are allowed under the regular code. If the AMT amount is higher, you must pay the AMT.
The rule - and the rub - when it comes to determining how much of a hybrid tax credit you get is this: it isn't allowed under the AMT.
Even if you don't have to pay the AMT, it could still take a bite out of your tax credit. If the difference between your taxes and the AMT amount happens to be less than the hybrid tax credit, you can only take part of the credit. (Otherwise, it would make your taxes less than the AMT.)
Here's how it works: Bob, Jack and Jane each purchased a Ford Escape hybrid SUV in late 2007, and each was counting on a $3,000 tax credit.
At tax time, Bob finds that his tax bill is greater under the AMT than it is under the regular code, so he must pay the AMT. Bob's Escape can't help him escape his big tax bill. He gets no hybrid tax credit.
Jack's regular taxes, on the other hand, are $3,500 more than what he would have to pay under AMT. So he doesn't have to pay AMT and he gets the full $3,000 tax credit.
Jane doesn't have to pay the AMT, either. But her taxes are just $1,200 more than she would have had to pay under AMT. So instead of the $3,000 credit she was expecting, she gets a credit of just $1,800.
#258 of 258 AMT ate our 2007 Tax Credit
Jun 03, 2008 (12:59 pm)
The AMT kicked in for us this year and as a result our tax credit went by the wayside.