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CA. tax questions

Discussion in 'Prius Tax Credit Discussion' started by priusteve, Oct 21, 2007.

  1. priusteve

    priusteve New Member

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    hello,

    my name is steve and i am seriously considering a prius or any type of hybrid vehicle with a great tax benefit as my next car.

    currently, my company (bank of america) is offering its employees $3000 to buy a hybrid vehicle. i currently drive a honda s2000 so making the change is tough, but i am planning on getting married within 2 years. so i need to cut payments and save more money. hence the reason for the hybrid car.

    so i've been doing some research and it seems to me like its almost too late for me to get any (major) tax credits for the prius. do we have any prius tax benefits professors in the house?

    if i can get the $3000 from bank of america and the $3000 tax credit from the fed, i think i can let my s2000 go, but if i can't reap any tax benefits, i dont know if i can do it.

    can somebody break the tax benefits down for me? also, i know the tax benefits are in place, but is it hard to get? is it just a matter of filling out some forms or did they make it impossible to get it right?
     
    #1 priusteve, Oct 21, 2007
  2. IsrAmeriPrius

    IsrAmeriPrius Progressive Member

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    Location:
    Southern California
    Vehicle:
    2005 Prius
    The federal tax credit has expired.
     
    #2 IsrAmeriPrius, Oct 21, 2007
  3. priusteve

    priusteve New Member

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    <div class='quotetop'>QUOTE(IsrAmeriPrius @ Oct 21 2007, 08:19 PM) [snapback]528606[/snapback]</div>

    i was afraid of that. i guess i'll buy the civic hybrid.
     
    #3 priusteve, Oct 22, 2007
  4. priusteve

    priusteve New Member

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    <div class='quotetop'>QUOTE(IsrAmeriPrius @ Oct 21 2007, 08:19 PM) [snapback]528606[/snapback]</div>

    i was afraid of that. i guess i'll buy the civic hybrid.
     
    #4 priusteve, Oct 22, 2007
  5. Betelgeuse

    Betelgeuse Active Member

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    2005 Prius
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    <div class='quotetop'>QUOTE(priusteve @ Oct 21 2007, 11:05 PM) [snapback]528662[/snapback]</div>
    The Civic Hybrid is a nice car; not as nice as the Prius, but you probably didn't expect to hear anything different on this site, did ya? :D

    You should be aware of two things about the Federal Tax Credit:

    1. It's (slightly) lower with the Civic Hybrid than with the Prius; I think it's ~$2500
    2. The tax credit WILL NOT reduce your tax burden below the AMT. So, if you make a lot of money (or even a moderate amount), there's a good chance that you won't get the full tax benefit (if you end up getting any).
     
    #5 Betelgeuse, Oct 22, 2007
  6. priusteve

    priusteve New Member

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    <div class='quotetop'>QUOTE(Betelgeuse @ Oct 21 2007, 11:31 PM) [snapback]528675[/snapback]</div>
    i doubt i make enough money for the government to deny anything.

    i wish the civic's tax credit was 2500. its actually only 2100, but i'll take it.
     
    #6 priusteve, Oct 23, 2007
  7. ronhowell

    ronhowell Active Member

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    Location:
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    2008 Prius
    Hi Steve,

    The federal tax incentive for the Toyota Prius expired as of September 30, 2007, which was the 5th quarter after the 60,000th vehicle was sold.

    For the Honda Civic hybrid, the incentive amount for 2008 is $2100, and still applies, since Honda has sold far fewer of their hybrid version of the Civic than Toyota has sold Prii. For details see:

    http://www.irs.gov/newsroom/article/0,,id=157632,00.html.

    Ron.
     
    #7 ronhowell, Nov 1, 2007
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