Car Allowance Rebate System (CARS)
Have You Developed a Year-End Tax Strategy? Time Is Running Out
As 2009 closes in just a few days, there are some important tax changes that will help you save money and prepare to file your 2009 tax return in the spring. We have summarized many of the major changes in our blog post, “Tax Planning Strategies & Year-End Considerations” in November, and since it has been one of our most popular posts, we’ve reposted it here and encourage you to review this information again before starting the process for your 2009 tax return.
IRS Reminds Taxpayers that Time Draws Short for Special New Vehicle Tax Deduction
As new models hit showrooms across the country, the IRS reminds buyers that purchasing a new vehicle before January 1, 2010 may qualify them for a 2009 deduction on related state and local sales and excise taxes. Part of the American Recovery and Reinvestment Act (ARRA) , the new vehicle tax deduction applies to new cars, light trucks, motorcycles or motor homes purchased after February 16, 2009.
More Cash for Clunkers
As expected, the Senate voted yesterday 60-37 to extend additional funding for the popular Car Allowance Rebate System (CARS) , commonly known as the “Cash for Clunkers” program. The Senate vote follows House action on the bill last week, and President Obama is expected to sign the measure promptly. The legislation allocates another $2 billion to the program, which allows a rebate of either $3,500 or $4,500 to be paid to dealers toward either the purchase or lease of a new car. The additional funding is expected to keep the program running until Labor Day. Click here for an overview of how the Car Allowance Rebate System (CARS) will work. Click here to visit the FAQ at CARS.gov.
Given Overwhelming Demand, Lawmakers Seek Expansion of Clunkers Rebate Program
Given reports that the so-called “Cash for Clunkers” program has exhausted its $1 billion in federal funds within its first week, the White House is currently working with Congressional lawmakers to keep the program alive. As reported in The New York Times , White House spokesman Robert Gibbs said today, “If you were planning on going to buy a car this weekend using this program, the program continues to run. If you meet the requirements of the program, the certificates will be honored.” He went further to say, “We feel confident that we’ll have a solution that people can agree on moving forward, and that the program continues.” But. Read More.