The bill introduced in the NY Senate last week would extend the $2,000 NY income tax credit (not a deduction - a straight credit) for newly purchased hybrid vehicles, which expired last February, until December 2005. It's $2,000 for vehicles under 10,000 lbs., $4,000 for those over 10,000 lbs., and the only catch is that the $2,000 credit (which applies to any vehicle that draws power from both an ICE and an electric source, AND has regenerative braking, placed in service in 2005) would NOT be available to anyone with adjusted gross income (AGI) over $150,000.

This has NOT been passed into law yet, but the Senate is pressuring the Assembly to come back to Albany and "do something" about the energy "situation" for taxpayers here in NY. So, let's hope it gets done!

I didn't read the whole bill, it has lots of different parts, but I did notice one other interesting thing - two specified time periods (the last week in January and the week before Labor Day) of state sales tax exemption for new "Energy Star" appliances and home weatherizing products (similar to the exemptions we now have for non-luxury clothing & footwear, during specified weeks - New Yorkers will know what I mean). The sales tax on a new fridge or other appliance can be substantial, so that might be worth something to some people, and will certainly encourage purchases of energy-efficient items (if it passes).

I'll try to keep you all posted, if this bill "goes anywhere". Keep your fingers crossed for me - I bought my FEH in April, AFTER the $2,000 NY credit had expired (not realizing that it had) and before the new Federal credit takes effect. This could save me (& others similarly situated) a bundle!