U.S. Department of Energy - Energy Efficiency and Renewable Energy

Vehicle Technologies Program

Fact #428: June 12, 2006
Light Vehicle Tax Credits

The Energy Policy Act of 2005 created tax credits for consumers who purchase certain advanced technology vehicles, such as hybrid vehicles and vehicles that run on compressed natural gas (CNG). The graph below shows that the highest estimated tax credit is for the Honda Civic that runs on CNG. Purchasers of diesel light vehicles may also be able to receive a tax credit in the future; at the current time, none of the diesel light vehicles qualify for the credit because they do not meet the emission requirements.

Estimates of Light Vehicle Tax Credits under the Energy Policy Act of 2005
Graph showing estimates of light vehicle tax credits under the Energy Policy Act of 2005. For more detailed information, see the table below.

Supporting Information


Estimated Light Vehicle Tax Credits
Make Model Fuel Type Vehicle Class Adjusted City Miles per Gallon Fuel Saved
(gallons)		 Total Credit
Honda Civic GX CNG Car 30 Not available $4,000
Toyota Prius Hybrid Car 60 2,744 $3,150
Toyota Highlander Hybrid (4wd) Hybrid SUV 31 3,316 $2,600
Toyota Highlander Hybrid (2wd) Hybrid SUV 33 3,557 $2,600
Ford Escape Hybrid (2wd) Hybrid SUV 36 3,155 $2,600
Lexus RX 400h (4wd) Hybrid SUV 31 3,316 $2,200
Lexus RX 400h (2wd) Hybrid SUV 33 3,557 $2,200
Honda Civic Hybrid Hybrid Car 49 2,348 $2,100
Mercury Mariner Hybrid Hybrid SUV 33 2,907 $1,950
Ford Escape Hybrid (4wd) Hybrid SUV 33 2,907 $1,950
Honda Insight (auto) Hybrid Car 57 1,498 $1,450
Honda Accord Hybrid Hybrid Car 25 1,697 $650
Chevrolet/GMC Silverado/Sierra (4wd) Hybrid Pickup 17 1,622 $650
Chevrolet/GMC Silverado/Sierra (2wd) Hybrid Pickup 18 1,393 $250

Source: American Council for an Energy-Efficient Economy

 

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