

IR-2006-194, Dec. 22, 2006
WASHINGTON — The Internal Revenue Service announced that purchasers of qualified Ford Motor Company vehicles may continue to claim the Alternative Motor Vehicle Credit. The announcement comes after the IRS concluded its third quarterly review of the number of hybrid vehicles sold.
Ford sold 4,626 qualifying vehicles to retail dealers during the quarter ending September 30, 2006. The credit amount and make and model of qualified vehicles sold are:

Ford Escape 2WD, Model Years 2005, 2006 and 2007 — $2,600


Ford Escape 4WD, Model Years 2005, 2006 and 2007 — $1,950


Mercury Mariner 4WD, Model Years 2006 and 2007 — $1,950

This brings the total number of Ford qualifying hybrids reported to date to 16,511. Purchasers of Ford’s qualified vehicles may continue to rely on the previously issued IRS certifications concerning the vehicles’ qualification for the credit. However, those seeking the credit may want to buy early because the full credit is only available for a limited time.
Taxpayers may claim the full amount of the allowable credit up to the end of the first calendar quarter after the quarter in which the manufacturer records its sale of the 60,000th vehicle. For the second and third calendar quarters after the quarter in which the 60,000th vehicle is sold, taxpayers may claim 50 percent of the credit. For the fourth and fifth calendar quarters, taxpayers may claim 25 percent of the credit.  No credit is allowed after the fifth quarter.
Link:

Hybrid Cars and Alternative Motor Vehicles

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