Tax Credit For New Car Purchase
Beginning in 2009, any individual who purchased a new vehicle between February 17 and December 31, 2009 is eligible for a tax credit for a new car purchase. However, there are steps to follow in order to receive the new car tax credit as imposed in 2009.
- The first thing that you will have to do is to consider your options. Generally, it is a lot cheaper and practical to buy a used car as compared to a brand new car. However, with the new car tax credit, you will have to compare details.
- Remember, the tax credit is only applicable for those who are purchasing a new car under $50,000. Consider whether or not the tax credits for a new car are worth it, when compared to additional repairs and maintenance you will have to face when purchasing a cheaper and used car.
- New car tax credits are only applicable for cars, trucks (light weight), motor homes and motorcycles. If you have decided to use the tax credit on new car purchases, then you should start scouting for a car dealer. Take time to explore the type of vehicle you are considering to purchase.
- You will have to make sure that you are qualified to receive a tax credit on your new car purchase. If your annual gross income sums up to $125,000 as a single wage earner, you are not qualified for the tax credit. The same is true if you are married and both of you earn a total of $250,000 in combined wages and income. There are other considerations attached with this new car purchase credit, so it is important that you go through the requirements before making a purchase and claiming for the tax credit.
- If you are not certain how to file for this tax credit, you will have to get in touch with a tax advisor. They can give you details on what forms are necessary to fill out and attach in your federal tax forms. Once everything has been filed and included in your taxes, all you will have to do is to wait for the tax credit to be mailed to you along with your tax refund.