'06 Tax Credit - a thought
If anyone is purchasing a new hybrid in '06, and it qualifies for a substantial tax credit (as does the Prius I will be picking up tomorrow), you might want to consider adjusting your withholding allowances accordingly (I increased mine), so you won't have too much withheld. (If you like the "government savings plan" and a large refund, by all means, feel free to leave them as is; to each his/her own.) As for me, I thought the extra cash (I think each exemption is now worth $3,300 on an annual basis, which is just a bit more than the $3,150 credit for the Prius) would help with the car payments as the year progresses.
Just an idea - if any accountants out there think it's not a good one, please weigh in!
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