| If you want to save on your tax then the recently | | | | Also, there are limits to how much money you can |
| passed Government stimulus package includes a tax | | | | earn and still qualify for the credit. A single person |
| credit for buying a new car. That's right you can | | | | earning less than $125,000 or a couple earning less |
| actually save on your taxes!! Read on to find out what | | | | than $250,000 will be able to get the maximium benefit. |
| the tax credit is all about, how to qualify for it and the | | | | Benefits decrease after that. If you make more than |
| limits to how much money you can earn and still | | | | $135,000 & $260,000 respectively, you don't |
| qualify. | | | | qualify. The tax credit for purchasing a new car only |
| It's actually not that surprising that the government | | | | applies to your 2010 tax return, so you're going to have |
| would give you a tax credit for purchasing a new car. | | | | to wait a bit for the money. The tax credit is what is |
| The government has essentially taken over the | | | | called an above the line tax deduction, so you can still |
| management of GM and the car manufacturing sector | | | | use the deduction even if you don't do an itemised |
| is one of our biggest job producers. Because of this, | | | | deduction. |
| the government has a vested interest in getting us to | | | | The amount that the tax credits for buying a new car |
| to keep buying new cars. | | | | will benfit you will vary from state to state. People that |
| In order to qualify for this credit you need to have | | | | live in high sales tax states will benefit the most. You |
| completed your purchase between February 17, 2009 | | | | need to keep in mind the particular tax laws of your |
| and December 31, 2009. The key word here is, | | | | own state. The best way to look at the money from |
| completed. No exceptions, so make sure that you | | | | the credit is that it is bonus money, not the reason why |
| complete everything by 31 December. One Jan is no | | | | you bought the car. |
| good. Similarly, if you bought a new car before 17 Feb, | | | | If you are thinking of buying a new car then keep in |
| bad luck, you miss out. | | | | mind that you could benefit from the tax credits. But, |
| Remember, the first $49,500 of any car, light truck, | | | | you have to qualify, complete your new car purchase |
| motorcycle or mobile home purchased, counts. Not the | | | | within the time constraints and keep in mind the |
| whole price if it goes over the $49,500. | | | | different state sales tax laws. |