Bluetec Income Tax Credit and Lease
Thread Starter
Junior Member
Joined: Dec 2008
Posts: 33
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98 SLK230, 09 GL320
Bluetec Income Tax Credit and Lease
I'm somewhat surprised the bluetec tax credit issue has not been dissected in the forum. I am getting conflicting info regarding leasee's ability to claim the income tax credit. Dealer, after putting in a call, informs me that MBCreditCorp has no interest in claiming the credit and insists I can only be advised by my tax advisor. As for those consumers leasing through commercial banks, I suggest the $1800 credit can be used as a negotiating tool...
http://www.irs.gov/newsroom/article/...157557,00.html
"The credit is only available to the original purchaser of a qualifying hybrid vehicle. If a qualifying vehicle is leased to a consumer, the leasing company may claim the credit."
http://www.energy.gov/taxbreaks.htm
"Individuals and businesses who buy or lease a new hybrid gas-electric car or truck are eligible for an income tax credit for vehicles “placed in service” after January 1, 2006 and purchased on or before December 31, 2010."
http://www.irs.gov/newsroom/article/...157557,00.html
"The credit is only available to the original purchaser of a qualifying hybrid vehicle. If a qualifying vehicle is leased to a consumer, the leasing company may claim the credit."
http://www.energy.gov/taxbreaks.htm
"Individuals and businesses who buy or lease a new hybrid gas-electric car or truck are eligible for an income tax credit for vehicles “placed in service” after January 1, 2006 and purchased on or before December 31, 2010."
MBWorld Fanatic!
Joined: Mar 2007
Posts: 1,063
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From: Charlotte, NC
2002 S430, 2004 Cobra, 2004 Tahoe
Neynhoj--this is a personal/business thing, not a dealership negotiation tool. We are told not to give/solicit any tax advice whatsoever to the consumer b/c it can get us in to the middle of something we should not be involved in. Fact is, there is a credit and all you have to do is ask your tax advisor/accountant how to apply it and how much of a break you get. Good luck with your purchase of a GL Bluetec, I have had nothing but good reviews from clients on their GL's.
Member
Joined: Jul 2004
Posts: 202
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From: Northern California
2011 BMW X5d, 2011 Nissan Leaf and Kubota L39 Tractor!
Don't get too exceited. My experience with past purchases of Toyota Prius cars (which also get a credit) is most won't get anything as Uncle Sam has a very low bar for this credit getting thrown out the window. In other words, if you can afford this car you probably won't get the credit anyway.
Senior Member
Joined: Apr 2007
Posts: 283
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From: Dallas, TX
2012 ML350BTC
Backing up cobra a little bit here, your dealer will not got involved in giving legal advice because of the litigation happy society we live in today. Also, the befit is directly from the government, not from your dealer. I am also pretty clear it is for Purchases only, not leases. In a lease, you are not the owner, your lender is the title holder, so no tax benefit would befall the lessee.
Senior Member
Joined: Feb 2002
Posts: 328
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From: Northern Virginia
05 CLK500; 07 Volvo XC90
I am surprised there is a tax credit for Bluetec engine. It is neither a hybrid nor 'green.' Reading the IRS posting above, I didn't see any type of diesel engine qualifying for any credit.
Moreover, having owned a first gen '01 Prius, I didn't get the full credit because of my taxable income.
Moreover, having owned a first gen '01 Prius, I didn't get the full credit because of my taxable income.
Senior Member
Joined: Apr 2007
Posts: 283
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From: Dallas, TX
2012 ML350BTC
It specifically gets the credit because of how 'Green' it is. Reaching the Tier 2 Bin 5 EPA standards, it effectivelly reduces Carbon Monoxide, Hydrocarbons, and NOx so that the emissions are Nitrogen (which is 70% of the air we breath) and Water.
