Hey, getting ready to purchase 2005 FEH...will I still get the 2600 tax credit even though it is a 2005? The dealer says yes but i still can't find any information online saying that is true? Any help is greatly appreciated!

 

My opinion (could be wrong): IF you are the first owner, the credit is based on the date of purchase as long as the vehicle qualifies for the credit, therefore you'd qualify. The key here is whether 2005 models are eligible for the 2006 credit. Based on the information at this website: http://www.fueleconomy.gov/feg/tax_hybrid_new.shtml
and the IRS's website here: http://www.irs.gov/newsroom/article/...157632,00.html and here:
http://www.fueleconomy.gov/feg/tax_hybrid_new.shtml

only the 2006 & 2007 model FEH are "qualified" - so the short answer is :

"NO".

Car dealers / salespeople can and sometimes will say anything to sell a vehicle. Sometimes they think they are correct yet are wrong [ignorant] and others they are lying. It is sometimes difficult to tell which they are. They will not be liable for tax consequences post-purchase. [ been there, done that]

 

thank you so much for your information....that is what I thought but I wanted to make sure I wasn't reading it wrong...thanks again!

 

Tell the dealer you WON'T get the credit on the vehicle because its not "qualified" and see if you can get the dealer to talk down on the price to compensate..... you never know. Its a 2005 and they might really want to move it.

 

Actually, I'd fire off an e-mail to the IRS.

Given my understanding, yes, you should, even though it's not currently listed, as you're buying a new hybrid and intending to own and use it.

 

You are kidding?

 

If its a dealer anything is worth a try.... I don't expect them to move much... but you might get *some* of it back if they can convince them that the tax credit does not apply. After all its a 2005 and the 2007's are out. Chances are the dealer will want to move the vehicle if possible and might be willing to come down a bit from sticker.

 

I would NOT buy this vehicle and expect the tax credit. As I stated in this thread:
https://www.greenhybrid.com/discuss/...l?page=1&pp=10
it is neither eligible for the 2005 deduction NOR the 2006 Credit. Ford needs to certify it to the IRS before it become eligible for the current credit. I suggest you read this thread as there are several interesting posts. The IRS tend to be sticklers for facts and specifics, and the 2005 is NOT certified regardless of it being 'the same' as the 2006's....I wouldn't count on them letting it slide.

My thought for you is to try to negotiate with the dealer based on the fact that it is NOT currently eligible for any credit. Basically, tell him he has to come down on the price AT LEAST $1950 (4wd) or $2600 (fwd) below a similar '06 otherwise it makes more sense for you to buy an '06. If he won't, then buy an '06....but if he does, and then Ford certifies the '05....then double bonus for you!

 

I agree...anything is possible. An example, in Dec2004 dealers in the DC area were charging up to $5,000 *OVER* MSRP for the FEH because they were new and a hot item. (I think they call it market adjustment--I call it ripoff!!) Anyhow, I walked out of one deal b/c the salesman pretty much lied and the lowest they would go was $1,995 over MSRP. Plus, they were ripping me off with my trade in value of my 2001 gas Escape. I told them where they could stick it.

Anyways, went to Ford.com and called/contacted all the Ford dealers within 500mi. Was willing to drive for a deal, really wanted an FEH, but it wasn't a necessary purchase...2001 Escape was a good vehicle(loved it)...running just fine...with horrible gas mileage. (~20mpg overall...I got 23mpg once on the hwy).

I had just about given up and was about to delay the purchase awhile until the market cooled. One of the last dealers I called said they would sell at MSRP. I thought this was good...but got the feeling I could wait a while and do better. I told the salesperson (a very nice guy) that I was interested in an FEH...I noticed they had XX FEHs in their inventory(off their website) and if the dealer/salesmanager wanted to move some inventory...I would buy at around invoice. They declined but said they would hold onto my phone number.

A month and a half later (Feb05) I get a call saying they would sell to me at invoice and to come on down. Drove down to SW VA....gave me a good value on my trade in, fair price(invoice). I was a very happy camper.

Overall, the BEST buying experience I've ever had for an automobile. It was smooth transactrion, they were very professional, and no high sales pressure or BS. In fact, the salesman was very knowledgeable of the FEH and knew just about as much about it as I did. That's very rare.

I plan to buy my next FEH from this dealer. The moral here is to shop around, use the internet to make lots of calls and be up front with the dealer...if you don't like the deal...walk out. I told the dealer what the other dealers had offered me The FEH really isn't that rare..and while hot in some markets...my feeling is if you're willing to drive a little you get a decent deal on one.

By the way, the dealer I bought from in in SW VA. The salesman offered to drive an FEH up to DC to make the sale and he said they deliver almost anywhere. Easy to deal with. If anyone is on the East Coast thinking of the FEH...PM me and I'll fwd the name of the dealer/salesperson.

Good Luck.

Nate

 

Thank-you all for your responses. They were greatly appreciated...well as you know the dealer told me I would get the 2600 back on the car...went home and called IRS...it does not apply...called the dealer back and told them I did not appreciate them being deceptive especially to a woman that comes in to buy a car........called me back the next day...said he did his research and I was right, appologized and took another 2600 off the price!!!!!Yeah!! I was also able to get upgrades that I had not planned on getting on the 06-safety package, apperance package, and leather package, plug in in the console, rear floor mats and retractable trunk cover...I have had the sucker less than 24 hours but I love it!!!!! averaging 28 miles to the gallon so far..I am very happy...i still am thinking about a way to get the tax credit though...once again thanks to all who replied!