IRS Certifies Toyota and Lexus Vehicles for New Energy Tax Credit
AEN News
Washington - The Internal Revenue Service has acknowledged the
certification by Toyota Motor Sales U.S.A., Inc. that the
Toyota Camry Hybrid and Lexus GS 450h Model Year 2007 vehicles
qualify for the hybrid tax credit enacted by the Energy Policy
Act of 2005. The tax credit for hybrid vehicles applies to
vehicles purchased on or after January 1, 2006, and may be
as much as $3,400 for those who purchase the most fuel-efficient
vehicles.
The hybrid vehicle certifications recently acknowledged by the
IRS and their credit amounts are:
2007 Toyota Camry Hybrid $ 2,600
2007 Lexus GS 450h $ 1,550
Starting in 2006, this tax credit replaces the tax deduction
of $2,000, which was previously allowed for taxpayers who
purchased a new hybrid vehicle before December 31, 2005 for
the clean-burning fuel deduction. The tax credit requires
a different certification. Many currently available hybrid
vehicles may qualify for this new tax credit.
Consumers seeking the credit may want to buy early since the
full credit is only available for a limited time. Taxpayers
may claim the full amount of the allowable credit up to the
end of the first calendar quarter after the quarter in which
the manufacturer records its sale of the 60,000th vehicle.
For the second and third calendar quarters after the quarter
in which the 60,000th vehicle is sold, taxpayers may claim
50 percent of the credit. For the fourth and fifth
calendar quarters, taxpayers may claim 25 percent of
the credit. No credit is allowed after the fifth quarter.
Source: IRS.gov
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