hybrid toyota prius tax free in CT?

Nestor Klan: Okay I see a lot of incomplete or flat-out wrong information in previous posts so let me try to sort it out. Here's the deal on a hybrid purchase in Connecticut: Any new or used hybrid purchased before October 1, 2008, that gets at least 40 mpg is exempt from state sales tax. The Federal Tax Credit applies to the purchase of any NEW hybrid vehicle and is calculated based on the mpg that model gets compared to it's non-hybrid counterpart. A chart detailing the credit for different hybrids can be found on the IRS website. Keep in mind that the tax credit also gets cut in half after that car manufacturer has sold 60,000 hybrid vehicles. Toyota, who has led all manufacturers in hybrid production and sales, has already hit that mark and as a result the credit for any purchase of a Toyota hybrid is now half the original amount. It will be cut in half again April 1, 2007 and phased out completely October 1, 2007. So, taking the Prius as an example, it starte! d with a $3150 credit, got reduced to $1575 on 10-1-06, will be $787.50 on 4-1-07, and will be $0.00 on 10-1-07. No other manufacturer has hit the 60,000 mark at this point. So, getting back to your original question, if your friend bought a used Prius, he would be exempt from sales tax but would not receive a tax credit (because it's used). If he wants a hybrid he might be better off buying new as the resale value for hybrids is higher than most other vehicles and he would then be eligible for the IRS tax credit. Your friend's environmental consciousness is commendable and, while hybrids are not perfect in terms of efficiency, they are the best current option in cutting down on fuel consumption....Show more

Antonia Boomershine: Based on what I have seen, the IRS allows for a tax credit at the time of purchase on a new hybrid / ffv vehicle. The amount of the hybrid tax credit varies depending on the car....

Mitchell Pickens: Hybrids are not tax free, they a! re simply a subject to tax credits in 2006/2007 (see table in ! the resource below), which is still very nice. Besides, it only applies to new cars or how IRS puts it those that YOU put in use as if someone who originally bought it did not use it (at all - towed to his home, I guess). Also, I can imagine you cannot apply for a tax credit twice so if the previous owner have already applied - then you are out of luck anyways.There are plenty other reasons to buy a hybrid car though, so I would not want this tax confusion stop your friend from buying one. Good luck! I am very happy with the Prius I bought recently....Show more

Elden Dedon: Tell your friend that Alaskan oil development will stop only when and if it's depleted of all the oil. There is nothing wrong with typing CARMAX. They just built one in Hartford, before that I had never heard of them. I disagree with you being afraid of used cars. There are many reliable used cars out there and its "used" as soon as you drive it off the lot. Just advise him to get a vehicle t! hat at least has a warranty of some kind....Show more

Hubert Jestes: you wont get a tax break but it gets 40 mpg and it fits most peoples budget and is new. I would recommend the Toyota yaris nice care for the money. but that's just my opinion.

Shaquita Wernicki: Connecticut Hybrid vehicle purchase Tax IncentivesHybrid Sales Tax Exemption: Prior to July 1, 2008, Hybrids getting at least 40 mpg are exempt from the state's 6% sales tax. Free Hybrid Parking in New Haven: On June 6, 2005, the city of New Haven passed a law permitting hybrid vehicles registered in New Haven free parking at metered spots within the city. The ordinance will take effect within one month and only apply to alternative fuel vehicles registered in New Haven. Owners will have to come to City Hall to receive a decal which will be attached the to vehicle. Motorists will still need to obey posted time limits and must park in legal spots....Show more