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03-04-2007 03:03 AM #21
- Join Date
- Mar 2007
Toyota misrepresented the lease credit to me.
There hasn't been much dialog on this issue lately, but I have alerted the Attorney General's office in N.C. re: misrepresentation of who receives the tax credit for hybrid cars that are leased.
When I negotiated the acquistion of a Prius in March, 2006, I was deliberating between an outright purchase and a lease. My main concern was that I received the tax credit, since that was my main motivator in obtaining a Prius. The dealership (acting as agent for the leasing company) pointed to the IRS bulletin FS-2006 (Jan. 2006) that clearly reads in a subhead "Credit for Taxpayers who purchase or lease hybrid vehicles" and emphatically stated that it would be illegal for the leasing company to receive an undisclosed financial benefit beyond the posted leasing fee. I did not receive their promise in writing. Consequently, they charged the full sticker price and charged the standard 6% interest rate over the 3-year lease.
When the IRS apparently reversed their position in the bulletin released in May 2006 that states "the leasing company may claim the credit", Toyota told me I was out of luck. They said the IRS had given the leasing company (Southeast Toyota Finance) a gift. My $3150 plus millions from other misled consumers. This looks like it will have to be settled by the courts.