Tax Breaks Given on Gas-Guzzling SUVs

[CountAllVotes]

Small Businesses Get Big Tax Breaks for Buying Gas-Guzzling SUVs but Not Efficient Hybrids

LOS ANGELES (AP) -- New tax breaks are available to anyone who wants to help the environment by purchasing fuel-efficient hybrid vehicles. But if owners of small businesses really want to save money, they can get even bigger federal tax breaks by buying the largest gas-guzzling SUVs.

The disparity is drawing criticism from environmentalists and the Republican chairman of the Senate's tax-writing committee, who is working on a change. Dealers and owners who have benefited from the SUV tax incentive say it helps spur a key part of the economy -- auto-making -- and allows small business owners to purchase vehicles that improve their bottom line.

Federal tax rules that took effect last month allow a credit of up to $3,150 for anyone buying a hybrid car. The credit is the same regardless of tax bracket.

However, owners of small businesses who buy a Hummer, Ford Excursion or other SUV weighing more than 3 tons get a deduction of up to $25,000 -- depending on tax bracket -- if they use the vehicle exclusively for work.

The benefits don't stop there. Once they subtract the $25,000 from the cost of their 3-ton SUV, small business owners can deduct the depreciation on the remaining amount. Someone who bought a $60,000 SUV, for example, can claim the remaining $35,000 over six years.

http://biz.yahoo.com/ap/060218/suvs_tax_breaks.html?.v=2

:eyes:

:dem:

[Captain Hilts]

1. I thought they got rid of this tax break last year!!!!! nt

[FloridaPat]

2. Yes, same here.

[slor]

3. I guess they scrapped during the day...

and came back at night, like the little roaches they are, and put it back in.

[CountAllVotes]

4. sickening isn't it?

I guess the Dick shot some old guy story got all the attention as this was slipped through AGAIN in the middle of the night might I suggest?

Yep those good old tax-breaks for the rich working in action as they DESTROY our country with their slime ball money! This helps NO ONE but the rich! Companies can buy fuel efficient cars/trucks. SUVs are not needed in most cases if they care to look around for an alternative. It might require them to adjust their piggish lives perhaps. :grr: I am so very disgusted! :grr:


:dem: :kick:

[Newsjock]

5. "Exclusively for work," my ass

Unless "work" consists of driving the kids to soccer practice. And you know that's what they're doing. I normally am live and let live, but I'd sure like to start turning in some of these tax cheats to the IRS.

[Trillo]

6. kinda points out the disparity between accounting rules of

business versus consumer or personal, don't it?

The religion of consumerism is well entrenched.

[Yo_Mama_Been_Loggin]

7. That's the Repukes for you

Say one thing like "We need to curb our oil addiction" then do just the opposite.