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Clean diesel cars qualify for tax break

Tara Baukus Melloq_v2.gifDear Driving for Dollars,
I purchased a 2009 Volkswagen Jetta TDI SportWagen in early 2009. Several people have asked if I got the big tax check from the IRS. I had not heard that one before. I purchased it online through a well-known dealer in Pennsylvania and these types of questions were not addressed. Are you familiar with this tax break for this car at all?
-- Kent

a_v2.gifDear Kent,
Your friends are right. Well, almost right. There is a tax break on the clean diesel Volkswagen Jetta, but it's a tax credit. As part of the Alterative Motor Vehicle Credit Act, the IRS offers a $1,300 tax credit on the Jetta TDI. This tax credit is more commonly known for hybrid cars, but I'm surprised the dealer didn't mention it because some other alternative fuel vehicles, including your clean diesel, also qualify. Be sure to tell your tax preparer about your purchase so the proper forms can be submitted with your 2009 return.

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