New Car Tax Credit

[tribone]

Here's some more interesting read:

http://www.autotrader.com/research/a...egislation.jsp

[tradosaurus]

Originally Posted by Snuggles

Not trying to hijack, but have a tax question...

I have been using TurboTAX for the last 3 years (ever since I moved to TX) and wonder if anyone prefers TurboTAX vs. H&R Block vs. a CPA or other accountant?

I DO itemize each year for the fact that I own my own home, vehicle and have other small business deductions and property tax and student loan deductions.

Reason I ask this question is: sometimes I just wonder if I went with a CPA or other accountant, would I possibly be getting more money back? I am single with "0" dependents so I havent had to pay anything back, always get $$ back.

Thanks for the help!

I've been using TurboTax for the last 7 yrs. Unless your situation changes drastically from one year to the next you can use all the information from the previous year which will transfers over to the current tax year.

Turbo tax will update with any new tax laws so it's best to wait until the end of January before completing your tax return.

I can do my taxes within 1 hour using Turbo Tax and have it e-filed within a few minutes.

[mjlash22]

Originally Posted by Cmaro214

will the dealerships be aware of this and bring it to the table or will we have to bring some proof of it to convince them it applies.

It is not a dealer incentive, just a government, so it is up to the purchaser to complete it on their own. I nice salesman will probably mention the fact that you can apply for it, but the dealership/salesman has nothing to do with it.

[tradosaurus]

Here is a clarification from Turbo Tax 2009:

Do I qualify for the vehicle registration fees deduction?

- You can deduct some or all of your vehicle registration fees in the following states:
- Alabama
- Arizona
- California
- Colorado
- Georgia
- Indiana
- Iowa
- Kentucky
- Louisiana
- Michigan
- Minnesota
- Mississippi
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- South Carolina
- Washington
- Wyoming
If your vehicle is registered in a state not listed, the fees are not deductible.

[MadMav]

You can only use this if you itemize. Not everyone will have enough to do this. Most homeowners do.

Mav

[Show-Me-SS]

Originally Posted by MadMav

You can only use this if you itemize. Not everyone will have enough to do this. Most homeowners do.

Mav

You don't have to itemize to take this deduction.

[ROBBDOGG1986]

Is FL legible for this tax credit?

[kutch720]

I did one of those tax calculators online and it has the new car tax in there. I did both with and without. I am getting almost all I paid in taxes for the Camaro.

[tradosaurus]

Originally Posted by ROBBDOGG1986

Is FL legible for this tax credit?

Wow. I just posted what states were eligible a couple of posts up.

[Frank in MD]

Originally Posted by tradosaurus

Wow. I just posted what states were eligible a couple of posts up.

No, you did not. What you posted was about registration fees. Registration fees, and sales tax and two very different things.

This tax incentive is available to EVERYONE. Please be sure that you're giving correct info if you're posting it here.

From the IRS.gove site:

“This special tax break is available for people purchasing a new car this year, and that can include people in states without a sales tax,” said IRS Commissioner Doug Shulman. “This means that more people can take advantage of this deduction when they file their tax returns next year.”

To qualify for this deduction, the vehicle must be purchased after Feb. 16, 2009, and before Jan. 1, 2010. Taxpayers can claim this special deduction only on their 2009 tax returns to be filed next year.

The deduction is limited to the fees or taxes paid on up to $49,500 of the purchase price of a qualified new car, light truck, motor home or motorcycle.

The amount of the deduction is phased out for taxpayers whose modified adjusted gross income is between $125,000 and $135,000 for individual filers and between $250,000 and $260,000 for joint filers.

The special deduction is available regardless of whether taxpayers itemize deductions on their returns. Taxpayers who do not itemize will add this additional amount to the standard deduction on their 2009 tax return. The IRS reminded taxpayers the deduction may not be taken on 2008 returns.

Source link: http://www.irs.gov/newsroom/article/...209624,00.html

[monstertodd]

Does anyone know if this tax credit applies to multiple vehicles?

I purchased two brand new cars this year so I should be seeing tax credits for the both the vehicles correct?

[tradosaurus]

Originally Posted by Rockmont

No, you did not. What you posted was about registration fees. Registration fees, and sales tax and two very different things.

This tax incentive is available to EVERYONE. Please be sure that you're giving correct info if you're posting it here.

From the IRS.gove site:

“This special tax break is available for people purchasing a new car this year, and that can include people in states without a sales tax,” said IRS Commissioner Doug Shulman. “This means that more people can take advantage of this deduction when they file their tax returns next year.”

To qualify for this deduction, the vehicle must be purchased after Feb. 16, 2009, and before Jan. 1, 2010. Taxpayers can claim this special deduction only on their 2009 tax returns to be filed next year.

The deduction is limited to the fees or taxes paid on up to $49,500 of the purchase price of a qualified new car, light truck, motor home or motorcycle.

The amount of the deduction is phased out for taxpayers whose modified adjusted gross income is between $125,000 and $135,000 for individual filers and between $250,000 and $260,000 for joint filers.

The special deduction is available regardless of whether taxpayers itemize deductions on their returns. Taxpayers who do not itemize will add this additional amount to the standard deduction on their 2009 tax return. The IRS reminded taxpayers the deduction may not be taken on 2008 returns.

Source link: http://www.irs.gov/newsroom/article/...209624,00.html

Ooops my bad. I didn't see it in Turbo Tax the first go around. I'll look again.

[foxybrown78]

Does anyone know if I would qualify for a deduction since I got my car as a prior rental?

[nova]

Originally Posted by Snuggles

Not trying to hijack, but have a tax question...

I have been using TurboTAX for the last 3 years (ever since I moved to TX) and wonder if anyone prefers TurboTAX vs. H&R Block vs. a CPA or other accountant?

I DO itemize each year for the fact that I own my own home, vehicle and have other small business deductions and property tax and student loan deductions.

Reason I ask this question is: sometimes I just wonder if I went with a CPA or other accountant, would I possibly be getting more money back? I am single with "0" dependents so I havent had to pay anything back, always get $$ back.

Thanks for the help!

Unless your return is overly complex (multiple corps, accelerated depreciation, etc) or uses some strange tax code provisions, TurboTax is the way to go. My dad is a CPA and I use TurboTax over him because paying customers go first, meaning my taxes wouldn't get done until June at the earliest...