Problems with Hybrid Tax Credit - Anybody Have Issues?

[smr2112]

I just got a letter from the IRS based on my 2009 tax return. My wife and I each own a business so we file estimates and

an accountant handles it for us. If you've ever gotten one of these letters from the IRS, you know how vague they

are and you or your account has to dig out the specifics. Never had in issue in 15+ years with this accountant.

His computer calculates everything, so how it could be off by exactly that amount means they disallowed something.

 

I claimed the Alternative Motor Vehicle Form 8910 credit for my FFH delivered on 08/12/2010 - $1700

 

Basically the letter said that my calculated tax payment was short by $1700 and they were reducing

my overpayment to apply to 2010. No specifics about why, accountant will have to chase it down

with them. Hmm... I thought, that was exactly the amount of the Hybrid tax credit, but don't

know if this is just a coincidence or not. The 8910 form just asks you to list the car and

my return says "2010 Ford Fusion" (curious if some clerk flagged it because of that not saying Hybrid).

Doesn't require a VIN or other specifics besides the date.

 

I will post an update once I know more, curious if anybody else had any issues?

Still early, I filed in late March.

[Grey]

I will guess it said 2009 and not 2010???? Chech the 8910 form closely.- if someone put down 2010 instead of 2009 that may be the issue. Did you order the vehicle? The order date determines the credit amount and the in-service date determines the tax year for which the credit may be claimed.

[dogo88]

Our accountant filed in early March too. We're not a business and we took delivery in may 2009. We were eligible for the $1700 credit. We got our refund in early April.

 

Dan

[smr2112]

Sorry, my copy of the return says

 

"2010 Ford Fusion" - purchased 08/12/2009 (I made a typo) - it does not say "Hybrid" - I really doubt this

is the issue, but will take a few days for IRS to tell my accountant. It definitely is a hybrid.

 

It was ordered 06/12/2009 and delivered on 08/12/2009 - so no issues with amount

eligible for in the credit.

 

I envision a clerk seeing that and saying "only the Hybrid is eligible for the credit" and then

disallowing it. But if this is the case, it should be easy to appeal.

Edited April 26, 2010 by smr2112

[dogo88]

Sorry, my copy of the return says

 

"2010 Ford Fusion" - purchased 08/12/2009 (I made a typo) - it does not say "Hybrid" - I really doubt this

is the issue, but will take a few days for IRS to tell my accountant. It definitely is a hybrid.

 

It was ordered 06/12/2009 and delivered on 08/12/2009 - so no issues with amount

eligible for in the credit.

 

I envision a clerk seeing that and saying "only the Hybrid is eligible for the credit" and then

disallowing it. But if this is the case, it should be easy to appeal.

 

Yup, should be. I'd just send them a copy of the purchase agreement with VIN.

 

Dan

[oldschool1962]

We had this happen to us through Turbo Tax. The copy sent by turbo tax to the IRS had an issue with item lines lining up properly. Our refund was reduced by the exact amount of the credit.

 

We had to contact Turbo Tax (we use it though USAA) and they informed us we needed to send them copies of everything and some report from the IRS. We argued a bit since things were definitely screwed up from their side and decided to just file an amened return.

 

Ironically, about a week later we received the tax credit in the form of another check. Not sure what happened or how and all is good now but we haven't heard anything to the contrary on things so I believe we are finished.

 

Gee......I wonder if we qualify for another tax credit with the replacement vehicle.....nahh.....couldn't be that lucky. Hehehe

[Juris]

I also filed via Turbotax and had no problem, for my FFH ordered in May and delivered in June. The form itself states that it's for a hybrid/electronic vehicle, even if the name of the auto on form 8910 reads 2010 Ford Fusion -- without saying "hybrid" on it. I got my $1700 credit without a problem; possibly the IRS figured it out by the time I filed (April 6). Got my refund today.

Edited April 26, 2010 by Juris

[oldschool1962]

I also filed via Turbotax and had no problem, for my FFH ordered in May and delivered in June. The form itself states that it's for a hybrid/electronic vehicle, even if the name of the auto on form 8910 reads 2010 Ford Fusion -- without saying "hybrid" on it. I got my $1700 credit without a problem; possibly the IRS figured it out by the time I filed (April 6). Got my refund today.

 

 

 

Sounds like they figured it out.......we filed back in the beginning of February.