News -> INDReporter THU, DEC 20 9:47AM by The Associated Press

New vehicle tax break regulations take effect

BATON ROUGE, La. (AP) — Gov. Bobby Jindal's administration is moving ahead with new regulations that spell out limits for the state's alternative fuel vehicle tax credit.

The final rule governing the tax credit program is being published Thursday and will take effect this week.

The alternative fuel vehicle tax break's cost has grown much larger than estimated and had become a headache for the Republican governor because of differing interpretations about eligibility.

The new regulations will definitively eliminate "flex-fuel" cars and trucks — which can burn ethanol but also use gasoline — from qualifying for the credit.

Including flex-fuel vehicles could have cost the state an estimated $240 million a year.

The program gives a credit of 10 percent of the cost of vehicle or $3,000, whichever is less.


Walter Pierce
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Comments (2)add
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written by Greg Foreman , December 20, 2012 - 11:27 am
Such is typical of the uninformative political posturing practiced by Jindal and his "lap dogs". The solution to this problem is as simply as reclassifying the alternative tax credit from that of a refundable to that of a non-refundable credit. But, in Jindal's political manner, he insist on making brain surgery out of a very simple matter. Such an approach is a typical of an executive totally out of touch with the reality of a given problem. Jindal is the poster child for such an approach.
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written by Michael A. Moss , December 21, 2012 - 02:11 pm
Greg, if you peel the onion you will notice this: The politicians who applied for the tax credit got grandfathered in. Now why is Jindal letting them slide? Louisiana 3rd world county politics at it's best!
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