Tax deduction???

Since it is tax time, and I bought my Smart in 2009, I was wondering if anyone knows of a tax deduction they have received since purchasing their Smart. I remember something early in 2009 about the government giving a tax rebate/deduction (of some sort) to vehicles that are good on gas consumption. Well, my little Smart has been averaging approximately 59-61 mpg. Yes, you read that right. I am not talking about the cash for clunker program that has since been gone for a long time. If anyone has heard anything, please post it on our blog. Thanks so much. I LOVE my little car!!!

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Comment by SPDickey on February 17, 2010 at 10:28pm: smart as never qualified for a tax credit. That was for certain hybrids like the Prius.

Comment by GetSmrt28277 on February 13, 2010 at 10:08pm: http://smartcarolinas.ning.com/profiles/blogs/smart-car-tax-incentives
Comment by Gary Bryers
.... despite the high MPG's and the ULEV engine (Ultra-Low Emission Vehicle), smartUSA/Penske never sought out the certifications necessary to gain a tax incentive for the car. As a result, as far as the IRS is concerned, it is just another car, not something that receives any sort of incentive or reward.

Comment by Jim D. on February 9, 2010 at 1:11am: The February 16 date kills me. Typical Government. I bought my smart in Nov. '09, but we also bought my wife's Toy.Venza on Jan.25th, '09. Geez, just missed a hefty deduction there!

Comment by Todd Blackley on February 8, 2010 at 9:28pm: You many want to re-look at this section and consult the IRS web site:

"This deduction can be taken regardless of whether the buyers itemize their deductions or choose the standard deduction. Taxpayers who do not itemize will add this additional amount to the standard deduction on their 2009 tax return."

Comment by JohnnyM on February 8, 2010 at 8:56pm: IRS Tax Tip 2010-26

If you bought a new vehicle in 2009, you may be entitled to a special tax deduction for the sales and excise taxes on your purchase.

Here are eight important facts the Internal Revenue Service wants you to know about this deduction.

State and local sales and excise taxes paid on up to $49,500 of the purchase price of each qualifying vehicle are deductible.

Qualified motor vehicles generally include new cars, light trucks, motor homes and motorcycles.

To qualify for the deduction, the new cars, light trucks and motorcycles must weigh 8,500 pounds or less. New motor homes are not subject to the weight limit.

Purchases must occur after Feb. 16, 2009, and before Jan. 1, 2010.

Purchases made in states without a sales tax — such as Alaska, Delaware, Hawaii, Montana, New Hampshire and Oregon — may also qualify for the deduction. Taxpayers in these states may be entitled to deduct other qualifying fees or taxes imposed by the state or local government. The fees or taxes that qualify must be assessed on the purchase of the vehicle and must be based on the vehicle’s sales price or as a per unit fee.

This deduction can be taken regardless of whether the buyers itemize their deductions or choose the standard deduction. Taxpayers who do not itemize will add this additional amount to the standard deduction on their 2009 tax return.

The amount of the deduction is phased out for taxpayers whose modified adjusted gross income is between $125,000 and $135,000 for individual filers and between $250,000 and $260,000 for joint filers.

Taxpayers who do not itemize must complete Schedule L, Standard Deduction for Certain Filers to claim the deduction.

Comment by George Oller on February 8, 2010 at 7:23pm: I talked to my tax guy about this very thing. I bought my car in May, 09 and would have been eligible for the tax deduction except for one thing. I am retired with no debts and my house is paid for. Because of this, my deductions did not exceed the standard deduction since I had no mortgage interest. Talk to your tax man, you should be able to deduct the sales tax if you have a mortgage and other deductions like most people.