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Tax credits for good mileage...
Posted: Thu Dec 22, 2005 8:19 am
by CNF2002
http://money.cnn.com/2005/12/21/Autos/t ... /index.htm
Should motorcycles used for primary transportation qualify for a tax credit?
Posted: Thu Dec 22, 2005 2:20 pm
by mydlyfkryzis
First, how large is the vehicle? The amount of the credit is based on the vehicle's fuel economy as compared to a similar 2002 model-year vehicle. To get any credits at all, a vehicle must get at least 25 percent better fuel economy than a similar 2002 vehicle.
Worded like this, an old model converted to Hybrid (ala Ford Escape) would be eligible, but a new model that is not a conversion of an old one, such as the Prius, would not be eligible.
So Tax Law will drive the manufacturers to retrofit older models rather than come out with an optimized, clean sheet design. This is a little stupid to my way of thinking.
Posted: Fri Dec 23, 2005 3:51 am
by CNF2002
Well its worded 'similar 2002 model-year vehicle'...so if the 2005 Prius is in the same class as, say, a Honda Civic, and gets 25% better fuel economy than the 2002 Civic, it would be eligible.
And I dont mind retrofitting existing designs...because its cheaper. Heck, maybe individual companies will get into this and build hybrid kit engines for swapping out of your older vehicle.