50% State incentive in Louisiana?

[EmpulseRider]

Please help me translate this:

http://www.afdc.energy.gov/afdc/laws/law/LA/6603

It looks to me like there is a tax credit of 50%... but then it states: "A taxpayer may instead take a tax credit worth 10% of the cost of the motor vehicle or up to $3,000, whichever is less." Say what?!

[Brammofan]

The state offers an income tax credit worth 50% of the cost of converting a vehicle to operate on an alternative fuel, 50% of the incremental cost of purchasing an original equipment manufactured AFV, and 50% of the cost of constructing an alternative fueling station. Only vehicles registered in Louisiana may receive the tax credit. A taxpayer may instead take a tax credit worth 10% of the cost of the motor vehicle or up to $3,000, whichever is less.

You're getting hung up on the "50%" and missing the "incremental cost of purchasing an original equipment manufactured AFV" 

The "incremental cost" is usually defined as something like, "the cost of the AFV that exceeds the amount of a comparable gas-fueled vehicle."

This came into play in the Colorado calculation.  I'll look into this closer, but my guess is that you will probably end up taking the 10%, but I'll have to check. 

[Brammofan]

More gobbledy-gook:

In cases where no previous credit has been claimed pursuant to Subsection C of this Section for the cost of qualified clean-burning motor vehicle fuel property in a new motor vehicle purchased by a taxpayer with qualified clean-burning motor vehicle fuel property installed by the vehicle's manufacturer and the taxpayer is unable to, or elects not to determine the exact cost which is attributable to such property, the taxpayer may claim a credit against individual or corporate income tax for the taxable period in which the motor vehicle is purchased  equal to ten percent of the cost of the motor vehicle or three thousand dollars, whichever is less, provided the motor vehicle is registered in this state.

I think that what the statute is saying (and, btw, IANYL) is that, when the taxpayer is unable to determine the exact amount of the cost of the EV which exceeds a traditionally-fueled but comparable vehicle, then you get the 10% tax credit.

So, 7995 - 799 (federal) - 799 (Louisiana) = $6397 Not too shabby.  Nice find.

[EmpulseRider]

So do you think I could I safely add that to the calculator? Just the 10% or should it be just like the CO incentive, only 50% not 85%. I also found this:

http://go.ucsusa.org/hybridcenter/incentives.cfm#LA

Do you suppose we could get a confirmation on this somehow? Where would I make the request to see if these motorcycles qualify. Thanks! -Jeremy

[Brammofan]

Ah, the perennial question of "does this incentive apply to motorcycles?" I will tell you that it took months to get this answer (yes) from Colorado, and I actually can't recall if we ever got the Brammo Enertia listed in the tax instructions. 

I can look into this.

[Brammofan]

I don't have time today to call, but if you want to dive in...

For additional information on the tax credit, contact the Louisiana Department of Natural Resources, (225) 342-1399 or the Louisiana Department of Revenue and Taxation, (225) 219-2200.

I got that from this page.