dgpcolorado
Well-known member
You are mistaken, please read FYI Income 9 Alternative Fuel Income Tax Credits [for others here, be aware that this is a new version with a revision date of 2/2012]. You will find:GreenEyedMotors said:I read through all of this and I am afraid that none of this iv very relevant in Colorado. I am not 100% positive but I worked for Tesla and Colorado changed the EV tax credit to an "OR" so you could take the FTC OR the State but not both. So with the FTC being a higher credit it wont make much sense to take the CO credit. I hope this has been changed since 2010 but I am assuming not. If anyone has the exact wording please post it so everyone knows exactly what they can get I talked to a Nissan dealership and they were not very clear.
For vehicles purchased on or after Jan. 1, 2010, the cost used in the computations described above must be reduced by any credits, grants, or rebates, including federal credits, grants, or rebates for which the purchaser is eligible. For example, if a person purchases a 2010 Honda Insight with an incremental price difference of $3,480 and receives a $3,500 rebate from the Federal CARS program, the cost difference for the computation of the state credit will be reduced to zero and no credit will be granted. These federal tax credits offset the incremental price difference of the vehicle not the income tax credit directly.
If you would like to read the law directly:
For tax year 2011: CRS 39-22-516. Tax credit for purchase of vehicles using alternative fuels
39-22-516 (2.5) (c) The amount of the credit allowed pursuant to this subsection (2.5) shall be an amount equal to the percentage, as set forth in paragraph (d) of this subsection (2.5), of the following:
(I) The difference between the actual cost incurred by such person during the tax year in purchasing a motor vehicle that uses an alternative fuel and the cost of the same motor vehicle that uses a traditional fuel or, if the same vehicle is not available, then the cost of the most similar vehicle, taking into account the model, make, engine size, and options, that uses a traditional fuel;
39-22-516 (2.6) (a) As used in this subsection (2.6), unless the context otherwise requires:
(I) "Actual cost incurred" means the actual cost paid by the purchaser for the vehicle, conversion, or idling reduction technologies. The actual cost paid shall be calculated as the net of any credits, grants, or rebates, including federal credits, grants, or rebates for which the purchaser is eligible, but excluding the credit specified in this subsection (2.6).
For tax year 2012: CRS 39-22-516.5. Tax credit for innovative motor vehicles
39-22-516.5 (1) As used in this section, unless the context otherwise requires:
(a) "Actual cost incurred" means the actual cost paid by the purchaser for the vehicle, conversion, or idling reduction technologies. The actual cost paid shall be calculated as the net of any credits, grants, or rebates, including federal credits, grants, or rebates for which the purchaser is eligible, but excluding the credit specified in this section.
39-22-516.5 (3) The amount of the credit allowed pursuant to this section shall be an amount equal to the percentage, as set forth in subsection (4) of this section, of the following:
(a) The difference between the actual cost incurred by such person during the tax year in purchasing a motor vehicle that uses an alternative fuel and the cost of the same motor vehicle that uses a traditional fuel or, if the same vehicle is not available, then the cost of the most similar vehicle, taking into account the model, make, engine size, and options, that uses a traditional fuel;
39-22-516.5 (6) If a credit authorized in this section exceeds the income tax due on the income of the taxpayer for the taxable year, the excess credit may not be carried forward and shall be refunded to the taxpayer.