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Excise Tax Rebate

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Quote..."Under the plan, first-car buyers are allowed to deduct the excise tax from their personal income tax."....???? Is this correct? What the car excise tax has to do with the personal income tax ??Hope somebody will clear this out....

Quote..."Under the plan, first-car buyers are allowed to deduct the excise tax from their personal income tax."....???? Is this correct? What the car excise tax has to do with the personal income tax ??Hope somebody will clear this out....

Nothing. A cheque will be given after the one year has expired.

Simply bad reporting.

What the car excise tax has to do with the personal income tax ?

Don't know abut the car scheme but generally not everyone pay income tax or even the correct tax so charging excise on a luxury vehicle is a way of collecting that tax. You know the sort of thing. Local government official gets 60,000 a year on which he pays tax but can afford to buy a Merc!! Also this scheme is paid for by tax payers so if you don't pay any tax then same logic as above applies.

Some people seem to have confused this scheme, which is a refund of excise tax that has nothing to do with the buyer's income tax status, with the first home buyer scheme, which is a deduction against income tax.

My friend's wife was even told this by a salesman in a dealer's showroom. I think, in that case, the salesman thought she wasn't a serious buyer and wanted to get rid of her. It worked to my friend's relief!

Recognising that both schemes are an outrageous waste of taxpayers' money, Mrs Arkady and I off to the Motor Show today to book a truck and benefit from this fiscal incontinence and at least get some of my tax back.

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