hybrid car tax credit?

Question

i bought a hybrid car (toyota prius ) in 2005 and i did not take the tax credit for it on 2005 tax returns(did not know at the time).now i would like to file an amended form for 2005 but i keep getting different answers as to how and h&r block that did the 2005 return seems to know less than i do...i know someone out there knows what form besides the 1040x i have to use for this and is it a tax credit or an adjustment to my gross income...i think it is a credit ????thanks bill

Answer 1

You need to complete the 1040X and Form 8910 the amount of the credit would be reported in column C for Credits, After completing the entire 1040X (including the explaination of changes on the back or page 2 of the 1040X. attach the 8910 to the 1040X and mail it in, it will take 8 to 12 weeks to process

http://www.irs.gov/pub/irs-pdf/f8910.pdf

http://www.irs.gov/pub/irs-pdf/f1040x.pdf
http://www.irs.gov/pub/irs-pdf/i1040x.pdf

Answer 2

It's a credit now, but the credit started for cars bought on or after 1/1/2006. I found a reference at http://www.irs.gov/newsroom/article/0,,id=156381,00.html about a $2000 deduction that was previously allowed for buyers of hybrid cars.

Read through http://www.irs.gov/newsroom/article/0,,id=104549,00.html - it might give you the info you need. It at least tells how to claim it - it was an adjustment then.

Good luck.

Answer 3

You will have to file an amended return to get the credit as it is only available for the first year the car was in use.
The Credit can be taken 1 of 2 ways depending on whether it was business or personal. If the car was bought by your business, (sole proprietors) the deduction (credit) is taken on Schedule C line 27, unless your took a section 179 depreciation expense for it. If that was the case then the credit is lost.

If the car was for personal use only, the credit is taken on form 1040 (x) line 23.

Answer 4

I think it is on Schedule A