Business Tax Recovery Logo


Tax Credit Consulting: Hybrid Vehicles Hayden ID

As part of the Energy Policy Act of 2005, hybrid vehicles along with energy efficient home improvements and solar energy were made eligible for substantial tax credits. Tax credits are especially valuable as they directly reduce the amount of tax owed rather than reduce the taxable amount as is the case with deductions.

Brian Burks, MBA
5660 East Franklin Rd. Suite #130
Nampa, ID
Company
Title: Managing Partner
Company: Burks Wealth Management
Type
Investment Advisor Rep: Yes
Registered Investor: Yes
Education
U of Idaho/B.S. - Marketing
Boise State University - MBA
Years Experience
Years Experience: 15
Service
Life Settlements,IRA, 401k, Roth IRA, QDRO Rollovers,CD Alternative,Annuities,Long-Term Health Care Planning,Annuity Ideas & Strategy Planning,Estate Tax Planning,Asset Protection Strategies & Planning,Hourly Financial Planning Engagements,401k Rollover From Employer,Income for Life/ Preserve Principal,Life Insurance,Investment & Portfolio Management,Commission-Only Financial Planning (Full Disclosure),Insurance & Risk Management Planning,Retirement Income Accumulation Planning,Individual Income

Data Provided by:
Liberty Tax Service
(866) 871-1040
1116 12th Ave S
Nampa, ID

Data Provided by:
Comprehensive Tax Svc Inc
(208) 322-4649
600 N Curtis Rd Ste 210
Boise, ID

Data Provided by:
Liberty Tax Service
(866) 871-1040
1735 W Broadway St
Idaho Falls, ID

Data Provided by:
Liberty Tax Service
(866) 871-1040
25 S 16th St
Payette, ID

Data Provided by:
H&R Block
(208) 238-5958
4240 YELLOWSTONE AVE
CHUBBUCK, ID

Data Provided by:
H&R Block
(208) 454-6798
5108 CLEVELAND BLVD
CALDWELL, ID

Data Provided by:
Boise Tax PRO
(208) 375-1230
1010 N Orchard St Ste 5
Boise, ID
 
Liberty Tax Service
(866) 871-1040
1563 Fillmore St # 2e
Twin Falls, ID

Data Provided by:
H&R Block
(208) 461-9308
341 CALDWELL blvd
NAMPA, ID

Data Provided by:
Data Provided by:

Tax Credit Consulting: Hybrid Vehicles

Hybrid Vehicle Tax Credit

A hybrid vehicle is an automobile that uses electrical power coupled with a gasoline engine to produce a more fuel efficient power plant. The Hybrid Vehicle Tax Credit was designed to encourage the sales of these vehicles.

As part of the Energy Policy Act of 2005, hybrid vehicles along with energy efficient home improvements and solar energy were made eligible for substantial tax credits. Tax credits are especially valuable as they directly reduce the amount of tax owed rather than reduce the taxable amount as is the case with deductions. These tax credits are a prime example of the use of tax credits to encourage activities deemed to be in the best interest of the public. The Hybrid Vehicle Tax Credit is the common name for the part of the Energy Policy Act dealing with hybrid vehicles.

The importance of reducing the dependence of the United States on fossil fuels was the prime motivation for a generous tax credit for hybrid vehicles. The credit varied from qualified vehicle to qualified vehicle. In some cases, the credit reached as high as $3500 dollars. The hybrid vehicles tend to be a bit expensive and there is still not wide spread acceptance of the technology, so the generous credit was intended to spur sales. The IRS set the amount for each qualified vehicle.

The credit had a unique phase out method. The credit was intended to spur sales of 60,000 vehicles of each various qualified type. When the sales figure reached 60,000 for any individual model, the phase out began. In the quarter after the mark had been reached, the credit remained at 100%. In the 2nd and 3rd quarters after the mark had been reached, the credit dropped to 50%. In the 4th and 5th quarters after the mark had been reached, the credit dropped to 25%. After the 5th quarter, it ended completely.

The Hybrid Vehicle Tax Credit has had its intended impact on the sales and even the development of alternative energy vehicles. Some of the models have reached t...

Click here to read the rest of this article from BusinessTaxRecovery.com