Is the Cash for Clunkers Boston credit taxable?
|
|
|
The question has come up, "Is the Cash for Clunkers Boston credit considered taxable income for the consumer receiving the credit?" Although, it you are receiving money to put toward your Boston New Car purchase the Cash for Clunkers voucher is not considered income to the consumer. The CARS Act expressly provides that the cash for the clunker is not income for the MA consumer. However, the credit will be considered as income for the dealer. You may ask what about the dealership receiving the voucher that is applied to the new car purchase? The answer there is yes! The dealership must count the Cash for Clunkers credit as income.
|
|
|
|