Hybrid Vehicles Guide

According to the Internal Revenue Service purchasers of qualified Ford hybrid cars may claim the Alternative Motor Vehicle Credit. Currently four qualifying 2008 Ford hybrid vehicles in addition to the qualifying past year models. For those wishing to take advantage of the credit, remember that the full credit may only be available for a limited time.

The previous past year models and credits are as follows:

Mercury Mariner 4WD Hybrid, Model Years 2006 and 2007 — $1,950

Ford Escape 2WD Hybrid, Model Years 2005, 2006 and 2007 — $2,600
Ford Escape 4WD Hybrid, Model Years 2005, 2006 and 2007 — $1,950

The 2008 Ford vehicle models and credits are as follows:

2008 Mercury Mariner 2WD Hybrid — $3,000
2008 Mercury Mariner 4WD Hybrid — $2,200

2008 Ford Escape 2WD Hybrid — $3,000
2008 Ford Escape 4WD Hybrid — $2,200

You are able to claim the full amount of the credit up to the end of the first quarter after the quarter where the manufacturer sells the 60,000th vehicle. For the second and third quarters after, you may claim 50 percent of the credit. For the fourth and fifth quarters after, you may claim 25 percent of the credit. After the fifth quarter you are no longer able to claim any of the credit.

Please refer to the IRS or a Tax Professional for tax advice.