Government gives hybrid buyers raw deal on tax bre

The US Government is subsidizing Toyota Sales on vehicle which have 3% North American content. Now that makes snese doesn't it. Next year there will be a federal subsidy on clothes manufactures in China and Vietnam!

 

<_< Please do not let Malorn hijack yet another thread into another Globalism vs. Nationalism debate.

Stick to the topic as much as possible.

 

LOL... I noticed that keeps happening too

 

This thread refers only to the Prius. The 60,000 limit includes all hybrids sold by each manufacturer. The tax credit varies with the hybrid model. The chevy hybrid pick-up truck credit is zero--what a joke!! 120 volts plugs in the bed--whoopee!!

 

This whole tax credit thing is retarded.

Give everyone who owns one a MEANINGFUL credit per year, none of this read-the-fine-print-caveat BS.

And yes, I'm fully capable of understanding the mechansims underlying the concept, but I prefer to deal in "ideals".

It's almost like getting a speeding ticket, and the officer says, "I cut your fine down in order to give you a break." Total BS, nothing but a play on various "perspectives".

 

malorn said something? Oh ya, I guess he did... All I have is an entry that says:

You have chosen to ignore malorn.

I see he made "Senior Prius Poster". Uggh... Can we change that to "Troll"?

 

This 60000 limit was designed to protect Ford and GM who are not selling as many hybrids as Toyota...

This is in no way of the US government subsidizing Toyota.

I'm getting sick of his isolationist rantings.

 

i believe the credit is crap. it either should be for the entire model year or not. they instituted this in order to penalize Toyota and Honda because as you know, there aint an american manufacturer that will have a chance at this with the possible exception of Ford. Toyota will burn through their 60,000 in the first quarter.

 

Here's the part I found most irritating, given that I already knew of the limits:

uhhhh, so they put in this overly complicated "system" and have no means of tracking it? great work, government people!
-bill

 

here the gov dropped the sales tax up to a $2000 limit regardless of Manufacture. You buy a hybrid take off $2000 in tax. Your "system" is screwed.
I also got that "you have chosen to ignore Malorn" troll warning.

 

their expected increase should bring them to about 12-15,000 per month, then add the other hybrids they have and i wouldnt be surprised to see 60k in 3 months. it is all hybrids from a manufacturer right?

if its per model then that would be different. 1st quarter maybe ambitious, but to stretch it out to the 3rd... dont think we have any chance of that

 

Complicated or not, a $3150 tax credit kicks the snot out of a $2000 tax deduction.

Yep. They certainly did tailor the credit to help american manufactures by phasing out the credit quickly on (presumably) more popular foreign imports while maintaining it for (presumably) less popular domestic manufacturers.
This is probably the most straightforward way for them to do this without mentioning manufacturers by name in the law and violating various trade agreements.
(Congress does this kind of thing all the time.)

I doubt anyone on this site is going to miss out on the credit for lack of information though.

 

just how many people will qualify for the full $3150 credit which will probably only net you about 800$ in cash as it's against your income. Then you have to wait for tax time, here the day you pay for the vehicle you save 2 grand. No waiting no nothing. Save $2000 in after tax dollars.

 

Assuming the $3150 estimate is accurate, most people will qualify.
Alternate minimum tax only kicks in for higher income people (although I understand it is creeping down into the upper end of middle class).

B) Also, you don't have to wait till tax time to realize the credit.
It can be realized at ~$800 per quarter with little effort.
(See thread: http://priuschat.com/2006-Tax-Credit-Strategy-t11911.html)

 

Frank.. No.. the $3150 is FULL cash back.. It is a credit, NOT a deduction. I guess you came up with that $800 from calculating a 25% tax bracket. With the exception of those who may be subject to the even more complicated Alternative Minimum Tax, those who qualify for the $3150, will take that right off the top of their tax obligation, not their income!