Getting more information on the U.S. hybrid tax

American hybrid purchasers get a tax break when they buy one of the fuel-efficient cars. But how easy is it to claim this credit, and just what does one do to do so. Over at the money advice site Bankrate, George Saenz, CPA, answers a reader's question on the credit, although the question is more detailed and helpful than the answer.
The reader, Duke, writes in about purchasing a Prius recently. Since Toyota has sold 60,000 Priuses here in the U.S., the tax credit for the Prius starts to diminish this October. Even with all those vehicles sold, Duke couldn't get much help from the IRS on how to claim his credit and doesn't want to give the IRS an interest free loan by not claiming it. Saenz says Duke still can, and shouldn't have to move money to a Roth IRA to cover himself.

[Source: Bankrate]

Share This Photo X