The Internal Revenue Service has certified the 2006 Toyota Highlander Hybrid as being eligible for the clean-burning fuel deduction. This certification means that taxpayers who purchase one of these hybrid vehicles new during calendar year 2005 may claim a tax deduction of up to $2000 on Form 1040.
Under Working Families Relief Act of 2004, which was signed into law in October of 2004, the clean-burning fuel deduction is limited to up to $2,000 for certified vehicles first put into service in 2005 and $500 for vehicles placed in service in 2006. No deduction will be allowed after 2006.
Federal Law allows individuals to claim a deduction for the incremental cost of buying a motor vehicle that is propelled by a clean-burning fuel. By combining an electric motor with a gasoline-powered engine, these hybrid vehicles obtain greater fuel efficiency and produce fewer emissions than similar vehicles powered solely by conventional gasoline-powered engines.
This one-time deduction must be taken in the year the vehicle is originally used. The taxpayer must be the original owner. Individuals do not have to itemize deductions on their tax return to claim this deduction. This benefit can be taken as an adjustment to income on the Form 1040.
The amount of the deduction for the Toyota Highlander Hybrid was set after the manufacturer, Toyota Motor Sales, U.S.A., Inc. documented for the IRS the incremental cost related to the vehicle's electric motor and related equipment.
A $2,000 tax deduction? I'm off to my local Toyota dealer!
Richard Chapo is CEO of http://www.businesstaxrecovery.com - Obtaining tax refunds for small businesses by finding overlooked tax deductions and credits through a free tax return review.
Mercedes Benz s500 rentals Salem ..The IRS has obtained civil injunctions against more than 100... Read More
If your identity is stolen, your finances can quickly become... Read More
QUESTION: I have been contacted by my local city... Read More
A Federal Tax Lien (FTL) is a legal instrument that... Read More
Deducting Your Auto ExpensesAuto deductions are a very complex topic.... Read More
The means and types of businesses have transformed with advent... Read More
It's a moment every person dreads. You pick up the... Read More
Have you been thinking about incorporating your small business or... Read More
Often people fall on hard times and stop paying on... Read More
If you have recently started an Internet or home business,... Read More
Misconceptions, misinterpretations and just plain "untruths" are floating about income... Read More
Yes, the tax season is upon with the first filing... Read More
Media reporting of a new EU savings tax directive has... Read More
Someone once said, 'the best way to calculate your taxes... Read More
Most people look forward to getting their tax return, but... Read More
As tax time approaches, many home-based business owners begin completing... Read More
As we enter mid-March, taxpayers begin to become very interested... Read More
OverviewIn the Pre-Budget Report of December 2003 the Chancellor Gordon... Read More
April 15th looms in front of most people every year... Read More
The Internal Revenue Service has certified the 2006 Toyota Highlander... Read More
Marketing is a necessary expense in running practically any business... Read More
An early distribution from an Individual Retirement Arrangement (IRA) or... Read More
The knock on the door from a Tax Inspector is... Read More
"Deducting Meals and Entertainment"O.K. You've been working really hard on... Read More
How about a Tax Tip?As we all know Taxes are... Read More
Dowagiac cheap limo service ..Knock-Knock-KnockWho's there?The IRS!The next quarterly payment of estimated income tax... Read More
Each year, the IRS lists various scams taxpayers get caught... Read More
Running a home based business reaps many wonderful tax deductions... Read More
"What we've got here is a failure to communicate." ... Read More
It's a moment every person dreads. You pick up the... Read More
NOTE: This is the first in a series of 5... Read More
Deduction of Refinance PointsAny points that you pay in the... Read More
To tax or not to tax - this question could... Read More
Whether helping the kids with a down payment on their... Read More
Statistics for IndividualsUnfortunately, the IRS increased its rate of auditing... Read More
"Deducting Meals and Entertainment"O.K. You've been working really hard on... Read More
In a past article I relayed the plight of the... Read More
As teachers and students head back to school following a... Read More
So, you were pleasantly surprised to learn that you are... Read More
Are you in the middle of a disagreement with the... Read More
If your like many, you don't always understand what people... Read More
"Depreciation." For business owners, this word is the one most... Read More
Media reporting of a new EU savings tax directive has... Read More
Import duties continue to be significant elements in the cost... Read More
The powers of Congress, and the limitations set upon those... Read More
Does this scene sound familiar? It's April 7. You haven't... Read More
You're at your office, or home, and the doorbell rings... Read More
Just image, you are a small manufacturing company, business has... Read More
Reservists called to active duty and enlistees in the armed... Read More
How about a Tax Tip?As we all know Taxes are... Read More
Tax |