IRS form 8910

[bakaroma]

The 8910 form for 2008 has not yet been released according to my accountant. Does anyone know anything about that?

[Tom Stoflet]

Hi bakaroma:

You accountant has informed you correctly.

I have tried to get IRS to tell me when the 2008 Form 8910 will be released, but like so many bureacrats, they don't even reply. Hope it is before 4/15:-).

Has your accountant told you about the alternative minimum tax (AMT) that is required to be calculated on Form 6251. AMT is used to determine the amount of your vehicle tax credit on Form 8910.

Watch out for AMT, because although I made considerably less in 2008 then I did in 2007, I lost over 50% of my alternative vehicle tax credit on my 2008 GX due to AMT (>$2,000). Ouch!

When I called Honda about why that issue is not more carefully informed to the consumer, my Honda rep. told me that I should have consulted my accoutant before I purchased the GX. Go figure.

Good luck.

Tom

[cowboy]

honda is sounding like they dont care like goverment workers they wont be able to sell cars if they keep it up would you buy a car built and backed by the goverment I would not as I know they would not care when I had a problem so honda best think that kind of lip service through or they will be in the same boat as the goverment nobody wants to deal with them

[Curtis]

Tom, your rep was right. The tax credit, while available to everyone, will benefit everyone differently based on your own individual circumstances. I advise everyone to consult their tax professional to see how the credit will work for them. What more can the salesman do? He's not a trained tax consultant, does not know the buyers individual circumstance, nor whether the AMT might apply to you. I doubt you informed him of your AMT status, or did you even know of it yourself? I've seen those who received nothing due to AMT. You were fortunate. The only thing I can add is that this advise should come while the buyer is evaluating the purchase rather than after the sale has been made.

[Tom Stoflet]

Hi Curtis:

My comment was not intended to be a criticism of Honda or the Honda salesman, although in my case, he really did not know much about the product (GX).

I wish I had known you before I bought; although I still would have bought regardless of the impact of AMT on my tax credit:-).

In many seminars I have attended (and even some where I spoke), there is always talk about the vehicle tax credit, but they rarely say anything about the potential impact of AMT on the credit. And I think I understand why, because it is hard enough to get people to change their ways. (e.g., going to CNG).

With regard to AMT, I know it is tricky, and that is my point. But I guess my response in my thread was not clear.

It is my understanding that AMT was initiated as an approach to make sure the rich were not trying to get out of paying their fair share of taxes by using all the tax loop holes that are available for the rich. But in the last few years, it is my understanding that AMT has undergone a lot of revisions in US Congress since its inception.

But considering that about 1% of Americans control most of the wealth in this country, I understand why all these tax loop holes exist, and why AMT has been modified. But that does not make it fair. I'm just a guy who tries to help the underdog.

So to restate my point, we need to contact our legislators to remove AMT as it applies to anyone below a certain level of adjusted gross income, say $100,000 or some other equivalent and more fair approach. In that way, most of individual consumers would not be penalized, and therefore, would get the full $4,000 vehicle tax credit. Wouldn't it be better for your potential customers as well?

I'm open to suggestions.

Tom

[tomdotstar]

Tom,

Lets make it simple. If this credit is a good idea, why not exempt it from AMT?

And, with all those Mercedes S500s I see driving around every day, how many super rich fat cats are really driving a GX?

[Tom Stoflet]

Hi Tom:

I totally agree with you.

But your suggestion will take a legislative change to the IRS code.

I suggest we get a Coalition of people together, and take this to the US Congress.

Otherwise, we just have to work with each of our local congress people, not often easy.

Are others interested?

Tom

[OKGX]

It may have already been fixed in the new stimulus bill. See this thread.

http://www.cngchat.com/forum/showthread.php?t=4465

I wrote Senator Inholfe and Coburn last year about the AMT impact on the credit. From the response I received, I don't think they understood the problem at that time. Hopefully it has been corrected, but I haven't seen confirmation yet.

Update: I just saw a new notice posted on the IRS site regarding form 8910

http://www.irs.gov/pub/irs-dft/f8910--dft.pdf

Looks like they are updating the form to reflect changes mandated in the new stimulus bill. Lets hope it does away with the AMT limitation.

[kierandill]

Interesting. Since the PDF says the 2008 version of the form is changing, that means the change affects the 2008 tax year. I will have to file an amended return to get the part I didn't get due to the AMT calculation. TurboTax did all that automagically for me.

P.S. Since none of them actually read the bill, how could they understand it?

[Tom Stoflet]

Hi All:

I'm not sure what the PDF is since it is only text with no reference, although the web link implies it is from IRS.

The attached link is the actual 8910 form from IRS: http://www.irs.gov/pub/irs-pdf/f8910.pdf.

And one can see it is still a 2007 form.

So according to my accountant, my credit is being held up until IRS updates the form for 2008.

Also my previous comments talked a little about the impacts of AMT on the credit. AMT may not effect some, but may others; it did me.

So it appears we are still in a waiting game.

Tom