Hybrids Save You Money (on your taxes I mean!)

We all knew driving a hybrid is better for the environment and saves you money on gas, but did you know it can also save you money on your taxes? Totally true! The government offers what they call an “Alternative Motor Vehicle Credit” for you environment conscious who purchased your vehicle on or after January 1, 2006.

If you are in the market for a hybrid, there is an incentive to buy earlier rather than later. The amount of the credit involves the year of your vehicle as well as what number sold your vehicle was. (As in the 4,000th hybrid sold this year sorta thing.) The earliest vehicles will qualify for the full credits. But don’t fret. There is still money in it for you depending on the financial quarter in which your car was purchased. Who knew saving the environment could also save your wallet?

For more detailed information on these credits and/or to check on your vehicle’s credit value: visit the  Summary of the Credit for Qualified Hybrid Vehicles section of the IRS website.

Tags: alternative motor vehicle credit, environment, hybrid vehicle credit, IRS, vehicle credit value