Tax Breaks for Hybrid Cars: 5 Things to Know and Consider
At Reliable Auto Sales, we know the appeal of driving home in a hybrid car. You can feel good about saving the environment while also benefiting from several tax incentives for hybrids, available throughout the state of Nevada after 2010. In addition, drivers who invest in hybrid vehicles also enjoy car insurance discounts and tax breaks. Put simply, there are no downsides to purchasing these types of cars.
Before you start shopping, there are a few things you should know about tax credits for hybrid cars. For example, many people plan on using their tax credits to reduce the overall cost of the vehicle. Since tax incentives are not always immediate, you may have to finance your vehicle in the meantime.
Once you learn more about the availability of these credits and the tax breaks, as well as which ones apply to you, take the time to read up on this information to ensure you find the perfect car for you. This also helps you to remain within your budget and still take advantage of all the perks that driving hybrid provide. Make sure you visit your local dealership to learn more if you have any questions.
1. Learn About All Available Breaks and Tax Rebates for Hybrid Cars
The first thing you should know about the various tax incentives for hybrid cars is how to find out if you qualify. Believe it or not, not all hybrid cars or residents qualify for tax breaks. For starters, anyone who wants to claim a tax break or rebate for their hybrid car in Las Vegas, Nevada needs to be an US resident or someone who pays taxes to the IRS. You cannot purchase a vehicle in Nevada and claim the tax break if you are a resident of another country.
2. Find a Vehicle that Qualifies for a Hybrid Car Tax Credit
Not all hybrid cars qualify for rebates or credits in Nevada. After 2011, the government restricted the list of vehicles that could qualify for tax breaks and incentives. Currently, only buyers who purchase one of the following types of cars are eligible for the tax break:
- Hybrids and Plug-in hybrids
- Electric cars
- Cars that run on diesel
- Alternative fuel vehicles
You can always double check with one of our friendly sales representatives to see if a particular vehicle qualifies for the type of credit, rebate, or discount you need. Just visit Reliable Auto Sales and our team will be happy to help.
3. Las Vegas, Nevada Insurance Providers May Offer Discounts to Green Drivers
Many Las Vegas, Nevada insurance providers offer special discounts and incentives for drivers of hybrid cars. While these are not necessarily tax breaks, they can add up to save you hundreds of dollars each year. In turn, you may find that tax season is a lot less stressful. Examples of the types of discounts you can expect to see include lower rates available for hybrid drivers who keep their vehicles charged, or cheaper fees for those who have driven hybrid cars for many years.
4. Understanding the Federal Tax Breaks on Hybrid Cars
In 2005, Congress passed legislation allowing for a tax credit of up to $3,400 for hybrid vehicles. This was increased in 2010 to $7,500 for all qualifying hybrid vehicles. In late 2017, there was a great deal of confusion about the applicability of this credit. It had appeared that Congress may eliminate it, as they removed it from their budget. However, after a few states (including Nevada) complained, the credit reappeared in the budget, seemingly for good. This means that if you purchase a hybrid manufactured after 2010, you are likely eligible for a hybrid car tax credit.
5. Additional Tax Incentives for Hybrid Car Owners
There are numerous tax credits for hybrid cars available, it is just a matter of finding the right ones for you. In addition to the federal credits and the state incentives offered, individuals who drive hybrid cars are given numerous perks. Those who drive alternative fuel vehicles can park for free at most lots in the state of Nevada. There are also taxicab restriction exemptions available. Taken together, these incentives alone can save a driver hundreds of dollars per year.
There are numerous tax credits for hybrid cars available at the state and the federal level. These breaks and incentives give consumers a compelling reason to visit Reliable Auto Sales and test drive a new or used hybrid vehicle today. We know that you value style, affordability, and an environmentally friendly vehicle. Our sales representatives are eager to help you find the perfect hybrid car for all your needs, tax-related and otherwise. Stop in and test drive your new hybrid car today.