Holiday Car Sales tax events bring Christmas Cheer.
Dealers of luxury Trucks, SUV’S and Cars are seeing a record-breaking extra bonus in year-end sales events thanks to the foreboding news of the end of Bush-era tax cuts.
One of the most popular Bush tax deals was the FARM BILL, also known as SEC. 179 of the IRS code.
In an effort to encourage business owners to invest in capital equipment, the tax perk included a one-time, first year write-off of up to $125,000.00 in expenditures, including BIG TRUCKS and SUV’s weighing over 6,000 lbs. When created over ten years ago, the annual business truck and SUV buying spree often accounted for 50% of car dealer sales. In recent years dealers have scaled back inventory in December as the economy wrecked havoc on profit and annual bonuses.
Fiscal Cliff 2012
With the looming threat to this loophole likely to close on December 31st, dealers have seen a 60% increase in business vehicle sales the past ten days of December, clearing lots of heavy-duty trucks like the Ford F250-F350,
Porsche Cayenne, Land Rover, and other luxury passenger vehicles that meet the weight limit.
Clean Energy vehicles not expected to lose $7500 tax credit.
The
Fisker Karma, and other hybrid electric plug-in vehicles are also seeing a bump in sales, as some buyers are concerned the $7500 tax credit might also be eliminated in the post-Fiscal Cliff economy.
However, clean energy advocates do not predict this will happen, noting President Obama’s’ commitment to energy sustainability and independence.
“Better to buy now than be sorry later,” a recent Fisker Karma buyer pronounced.
December 2012 will surely be remembered as one where the GRINCH of Congress brought Christmas cheer and lots of holiday car sales to needy car dealers everywhere.
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Sarah Lee Marks is MyCarlady. She has over 23+ years of experience. She writes about cars, and is a staunch consumer advocate on car related subjects. MyCarlady offers free car buying advice, and private, auto-related services to help you maintain your personal or commercial vehicles. Call Sarah Lee for more information: 702-521-7546. Join the MyCarlady newsletter to be kept up-to-date on this and other important car information. ————————————————–
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