Hey accountants, do you have information about any tax benefits to buying a hybrid american automobile?

Question

I am considering buying a new hybrid Chevy Malibu, when they become available in the spring. Do you have any information about what the 2008 federal and state (Ohio) benefits may be, if any, to buying a hybrid vehicle. If there are could you direct me to any website or link for more information. When spending that amount of money everything figures into a purchase and we were curious about the tax benefits if any to buying energy aware.

Answer 1

The Malibu qualifies for a $1,300 credit at present. Compare that to your increased cost and adjust for any projected fuel savings. In most cases you'll probably discover that the modest savings are not worth the added expense.

Also bear in mind that the credit cannot reduce your tax liability to less than zero as it is not a refundable credit.

Here's a link to the site: http://www.fueleconomy.gov/feg/tax_hybrid.shtml

Answer 2

i do no longer understand plenty with regard to the technical area, yet from the clever-client use area, the battery in my hybrid hasn't given me any hardship. i offered it new 4 years in the past, and the battery has no longer yet mandatory to get replaced, and that i haven't observed any decreased overall performance. The battery usually recharges itself and is pretty much continually finished - i've got under no circumstances considered it dip decrease than eighty%. having the ability to substitute the battery your self could be a plus, even nevertheless it would nonetheless would desire to be disposed of competently, and that's way less complicated for a dealership with bulk volume than for a lone person.

Answer 3

The other wild card is that you must not be subject to AMT. I've dealt with a number of tax payers who didn't realize how close they were to paying AMT until they tried to claim this credit. Instead of getting the full amount they'd planned on, they got a smaller amount.

Answer 4

Just check the IRS web site at irs.gov