Awesome! You can rice up your Prius and make it look almost as bad as the 2006 Civic!

 

I also would want to take delivery in Jan '06 to realize the tax break. Did the dealer say anything about getting an '05 in that timeframe? Just wondering when Toyota plans to stop making '05's and cut over to the 06's? Sorry if this has already been discussed. Did a quick search and did not see.

 

He just said it was unlikely there would be around by the end of 05. I guess it depends on dealer, but I tend to agree. They'll all be delivering alot in January to customers.

 

I just received an e-mail back from my dealer (in Elmira, NY), that he's received my deposit check, so I'm "on the list" and set to receive "the first Prius delivered in '06"! Woo hoo! The way it works is that when one comes in, I get first dibs, and if I don't want it (color, options, etc.), I just say so, and get called for each car that comes in until there's one I like.

At some point I'm going to drive down there when he's got a Prius on the lot for a day or two (they never stay longer than that), to test drive it (have never driven one, I know it sounds weird to put a deposit down without driving one yet, but I am pretty convinced that it's what I want), and at that point I'll let him know my preferences for option package and color, and he can request a car that matches. (I wanted red, but now hubby has weighed in and we are debating red vs. black... Also, I'm not sure how much I will be able to spend on options, or which ones will really be useful to me... I would like some things from the higher-end packages, but there is a lot that I don't need in there, so I have to figure out the best trade-off.)

Is it true that the tax credit only goes to the first 60,000 Prii sold in the U.S.? How are they going to track that (i.e., determine whether you have # 59,999 or # 60,001)? Is it the first 60,000 made, the first 60,000 sold (#60,001 off the line might be sold before #59,998 off the line), or the first 60,000 owners to claim the credit by filing their taxes early in '07? And, can anyone estimate how quickly 60,000 will be sold? Is this a "hop on it in January" thing, or will one purchased in, say, May be likely to qualify?

I am so excited... we will soon be a two-hybrid (and an exclusively hybrid) family!!!

C.

 

Actually, the 60,000 number just starts a countdown for the tax credit to phase out. Once a manufacturer sells 60,000 cars that qualify for the credit, all of the qualifying cars sold during the current quarter and the next quarter still qualify for the credit. The credit then phases out after that. You can find the details here:
http://hybridcars.about.com/od/news/...dtaxcredit.htm

As I was googling the new tax credit, it seems that a lot of reporters must be confused about the 60,000 number, because it was often stated that only 60,000 cars qualify for the credit.

I hope this helps,
Keith

 

Thanks, that link was really helpful. Now I can relax, it looks like I'll certainly get the credit, as long as I accept a vehicle within the first two quarters of '06.

Now I just have to wait... the hardest part...

 

All Great Questions. I emailed Ann Job that wrote the article for the Detroit News on this topic ...

http://www.detnews.com/2005/autosconsumer/0511/02/F01-368848.htm

and asked her if the IRS mentioned if this credit will be claimed on the 2006 tax return (which is filled out and filed on or before April 15, 2007) or if there will be another "Rebate Form" that will be used to apply for this? If it is on the tax return, how are they going to track the fact I took delivery on Jan 2, 2006 and am entitled to the full (100% of eligible rebate) rebate while my hypothetical neighbor down the street took delivery in December of 2006, possibly months after the 60, 000 Honda Hybrid vehicle was sold, and therefore he is only entitled to a percentage (possible as low as 0%) of the rebate?

She responded --------
"The IRS still doesn't have the answers, though. In fact, I couldn't get anyone from the IRS tax department to return my calls
-- and e-mails. I wound up getting what I could from someone at the IRS 800 help line. He admitted he didn't have many answers, either. And he wasn't hopeful that you -- or me -- would find them in the near future on the IRS website. In fact, he said that the maintenance of the IRS website has basically been waylaid as personnel have been shifted over to doing websites that provide timely information for hurricane victims down south. Meantime, the car companies confidentially have indicated that they're a bit frustrated that the IRS isn't jumping on this yet. Toyota, for example, has
sent in documents suggesting how to handle things, but they're nowhere near getting a response."

Also. It should be noted the 60,000 number is Hybrids manufactured by each manufacturer..NOT by model. This means for toyota it includes all the Prius', and Highlanders together. So if Toyota manufactures 20,000 Highlanders and 40,000 Prius', then they have produce 60,000 Hybrids and the clock and sliding scale begin.