Mercedes ML 320 Bluetec

Nonsensical Tax Credits Benefit Mercedes Diesel SUVs

One of the nation’s largest consumer incentives for energy-efficient cars—a tax credit of $1,800—goes to buyers of a $60,000-plus hulking diesel SUV that gets 17 mpg in the city. The Mercedes GL320 Bluetec and two other so-called “clean diesel” SUVs from Mercedes benefit from the tax credits. Meanwhile, today’s most efficient hybrids—such as the 50-mpg Toyota Prius and the 41-mpg Honda Insight, selling for $22,000 and $19,800 respectively—are not eligible for any federal tax incentives.