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HomeAbout MarkHome Buyer Credit2009/2010 TaxHistory

Energy Property Credit

Credit applies to improvements to your principal residence only.

Improvements must be placed in service January 1, 2009 to December 31, 2010.

Credit is for 30% of qualifying improvements up to a maximum of $1,500 credit.

Qualfying improvements are for energy-efficient insulation, windows, heating & air-condition systems.

Must receive a Manufacturers Certificate.

New Vehicle Sales Tax Deduction

You can deduct the sales tax paid on the purchase of a new vehicle (not pre-owned) purchased from February 17, 2009 through December 31, 2009 as a separate deduction from and in addition to Itemized Deductions.

Only the sales tax on the first $49,500 of the purchase price is qualified.

Single taxpayers with Modified Adjusted Gross Income above $125,000 and Married filers above $250,000 do not qualify.

Plug-In Electric Vehicle Credit

A credit for LSV (Low Speed Vehicles) purchased prior to January 1, 2010 is available from $2,500 for 2 or 3 wheel vehicles and $2,500 up to $15,000 for 4-wheel vehicles known as NEV (Neighborhood Electric Vehicles).

Plug-In Vehicles purchased after December 31, 2009, still qualify for the credit, but with stricter guidelines and manufacturer sales phase-outs.

Vehicles manufactured for off-road use, such as golf carts, do not qualify for the credit.

Vehicles must not be purchased for resale.

Vehicle must be Federally approved to receive the tax credit.

Dealer/seller must be a Licensed Motor Vehicle Dealer with the State.

Vehicle must not be pre-owned.  Purchase must be from Manufacturer or Manufacturer's Dealer and to the original owner only.

The vehicle must be registered, licensed and insured to qualify for the credit.

Vehicle's modified by an individual or small business, not the Manufacturer, do not qualify.

Purchaser should get a Manufacturer's Ceritfication upon purchase stating that the vehicle is qualfied for the credit.

There are also technical battery requirements that must be met and the Manufacturer's Certification is critical.

Visit www.irs.gov and refer to IRC 30D for a current list (as of November 4, 2009) of qualifying plug-in electric vehicle Manufacturer's models and amounts of related credits.

 

The preceding is presented for information purposes only and is not to be taken as Income Tax advice.  You should consult with a qualified income tax advisor before taking any action.

References:

IR-2009-45

IR-2009-54

IRS Bulletin N-2009-89

IRC 30

IRC 30D

IRS notice 2009-58