2006 Prius tax credit - documentation

[BoosPrius]

I bot a 2006 Prius last week. The Finance manager did not even mention the tax credit. Is a dealer supposed to give a buyer some kind of certificate or other type of documentation for the buyer to attach to his tax return or submit to the IRS if audited?? Thanx.

Gary

[jrct9454]

<div class='quotetop'>QUOTE(BayouBulldog @ Apr 6 2006, 08:07 PM) [snapback]236129[/snapback]</div>

I bot a 2006 Prius last week. The Finance manager did not even mention the tax credit. Is a dealer supposed to give a buyer some kind of certificate or other type of documentation for the buyer to attach to his tax return or submit to the IRS if audited?? Thanx.

Gary
[/b]

All you need is your sales agreement, with the date and amount you paid. No "certificates"...

[prius2006rocks]

And then what would you do once you have the agreement? Like how do you go about getting the credit. Also, how do you know HOW much you will get (like how many were sold then and also, is there a chance even within the first 60,000 that some people might not get the FULL credit???)


<div class='quotetop'>QUOTE(jrct9454 @ Apr 7 2006, 06:47 AM) [snapback]236285[/snapback]</div>

All you need is your sales agreement, with the date and amount you paid. No "certificates"...
[/b]

[bagwell]

<div class='quotetop'>QUOTE(prius2006rocks @ Apr 7 2006, 11:31 PM) [snapback]236663[/snapback]</div>

And then what would you do once you have the agreement? Like how do you go about getting the credit. Also, how do you know HOW much you will get (like how many were sold then and also, is there a chance even within the first 60,000 that some people might not get the FULL credit???)
[/b]

nobody knows the answer to this>?????????

[jmpenn]

<div class='quotetop'>QUOTE(bagwell @ Apr 28 2006, 09:46 PM) [snapback]246953[/snapback]</div>

nobody knows the answer to this>?????????
[/b]

The tax credit works on quarters. The instructions for the tax credit from the IRS will state what the credit amount is if you bought your car between certain dates. You enter that amount on the correct line of your tax form or possibly worksheet to total with other credits. If you use tax software, you will probably enter your purchase date and the software will figure it out for you.

[BrianF]

<div class='quotetop'>QUOTE(jrct9454 @ Apr 7 2006, 06:47 AM) [snapback]236285[/snapback]</div>

All you need is your sales agreement, with the date and amount you paid. No "certificates"...
[/b]

I'm not finished with my research yet, but I think you should have the manufacturer's certificates that show that Toyota has obtained approval from the IRS.

Go to the Prius page on toyota.com (as of today it's http://www.toyota.com/prius/index.html?s_v...N_HYBRID_PRIUS) and look for the link that says "federal tax benefits". This takes you to a pop-up window with lots of documentation including the certificates.

[Kiloran]

<div class='quotetop'>QUOTE(BrianF @ May 1 2006, 04:57 PM) [snapback]248132[/snapback]</div>

I'm not finished with my research yet, but I think you should have the manufacturer's certificates that show that Toyota has obtained approval from the IRS.

Go to the Prius page on toyota.com (as of today it's http://www.toyota.com/prius/index.html?s_v...N_HYBRID_PRIUS) and look for the link that says "federal tax benefits". This takes you to a pop-up window with lots of documentation including the certificates.
[/b]

While it doesn't hurt you to have the certificate, it really is quite unnecessary.
Think about it a moment.
Do you think the IRS wants a couple of hundred thousand taxpayers to search out and submit the same information to them that they originated themselves?
There are a limited number of vehicles eligible for the credit and the IRS knows about all of them.

[Mardikes]

<div class='quotetop'>QUOTE(prius2006rocks @ Apr 7 2006, 09:31 PM) [snapback]236663[/snapback]</div>

And then what would you do once you have the agreement? Like how do you go about getting the credit. Also, how do you know HOW much you will get (like how many were sold then and also, is there a chance even within the first 60,000 that some people might not get the FULL credit???)
[/b]

Look in the topic 2006 AMT Rules for a post that I and others have made on this topic in greater detail.

And yes there is a chance that you might not get the credit, if you alternative minimum tax is too high.

George

[spectrablue]

If it makes you all feel better print the following documents for your records:
http://www.irs.gov/newsroom/article/...156048,00.html
http://www.toyota.com/images/vehicle...ation_2006.pdf
http://www.toyota.com/images/vehicle...ement_2006.pdf

The last two are more for use is backing up how much it "cost" to convert your car into a hybrid. These would most likely be used if your state offers an additional tax benefit.

The following illustrates the phase-out period for the federal credit:
http://www.toyota.com/images/vehicle...creds_3_06.pdf

[bagwell]

<div class='quotetop'>QUOTE(spectrablue @ May 1 2006, 04:40 PM) [snapback]248158[/snapback]</div>

If it makes you all feel better print the following documents for your records:
http://www.irs.gov/newsroom/article/...156048,00.html
http://www.toyota.com/images/vehicle...ation_2006.pdf
http://www.toyota.com/images/vehicle...ement_2006.pdf

The last two are more for use is backing up how much it "cost" to convert your car into a hybrid. These would most likely be used if your state offers an additional tax benefit.

The following illustrates the phase-out period for the federal credit:
http://www.toyota.com/images/vehicle...creds_3_06.pdf
[/b]

strange, all these Toyota links no longer work....they go to Toyota, but en error pops up.