Tax Question
 

Everybody is asking me "did you get the tax credit" "how much" etc. i have no idea what the tax advantage for me is. i am leasing a 2005 HAH. could someone help me out here since I am about to talk to my tax person this weekend. :omg:

Re: Tax Question
 

Hi;

Don't Quote me on this, but I don't think that you can Honestly take the Tax credit or I should say for 2005 HAH it would be a Tax Deduction.

Reason you are not purchasing the vehicle you are {LEASING} the vehicle and then returning it to the lease company.

The Tax deduction and or tax credit is for A [NEW-OWNER-PURCHASING} the Vehicle not Leasing it.

Please, keep in mind that I am not a Tax Attorney or the IRS so if you want to find out for sure I would call the IRS local Office and ask them if that Tax-Deduction Applies to a Lease Vehicle. Better-Safe-Than-SORRY.

Don't, Guess with the IRS, They Have NO-SENSE of Humor::angry:

Good-Luck;

Terry

Re: Tax Question
 

I completed (and received) my return last week.

The DEDUCTION for the 05 HAH is the full $2000, and it is only for "purchased new." The amplifying instructions, at least in TurboTax's interpretation, specifically exclude leases.

In TT, its a little tricky to find where you even take the deduction, but a few clicks through the help tabs did the trick.

Re: Tax Question
 

GoNavy, can you tell me where the deduction shows up on the front pages of the tax return? I itemize, so I assume it will go somewhere on my schedule A itemized deductions--maybe under miscellaneous?

Re: Tax Question
 

I haven't looked at a live 1040 in years...been e-filing since the 90s, so I can't begin to tell you exactly where it fits, but yes it only applies if you itemize- it does go under miscellaneous.

IIRC, in TT you go into 'miscellaneous credits' (even though its a deduction) and look for 'clean fuel vehicle.' So it follows that the same names are used on the live forms.

You can probably poke through the IRS site and find it under clean fuel or something like that to get the specific guidelines.

Re: Tax Question
 

It's line 35 (or a line close to that) on page 1 of the 1040. You don't have to itemize to get it, since it's just an adjustment of your gross income (AGI). I believe it says "clean fuels vehicle" on that line.