Stimulus gives tax breaks to scooter, motorcycle, car buyers

Can’t figure out how the federal stimulus package applies to you?

Buy a motorscooter, Bill Gornto suggests.

Gornto, who’s been selling scooters in Atlanta since 2003, has been talking up the tax break on scooters, courtesy of the federal stimulus package.

Blink, and you’ll miss it. The information is buried in the 400-some-page document that explains the $787 billion federal stimulus act. But, in short, anyone who buys a motorscooter — and some other modes of transportation — between Feb. 17, 2009 and Jan. 1, 2010 can take a tax deduction for state or local sales tax for up to $49,500 of the purchase price, the federal Internal Revenue Service Web site says.

Paolo Timoni, president and chief executive officer of Vespa-maker Piaggio Group Americas, cautions that there’s no immediate benefit for consumers but that they can claim the sales tax on next year’s tax filings.

“Anything helps, right?” he said.

Gornto, owner of Twist ‘n’ Scoot, said he’s heard all of the stories behind why people walk through the doors of his shop.

They just got married and only need one car. They can work from home and don’t need to be on the road as much. Gas prices are too high. Car insurance is expensive.

Gornto said the tax break gives reluctant buyers a little nudge.

“A lot of people are actually getting a little giddy about it,” he said.

He’s just happy to be included. The stimulus-backed tax incentives are for cars and light trucks also. As the gangly legislation was being hammered out in Congress, other types of transportation such as electric cars and motorcycles were added as well.

“If car purchasers were going to get a break, well, motorcycles are more fuel efficient and easier to park,” and have other economic and environmental advantages, said Kathy Van Kleek, spokeswoman for the Motorcycle Industry Council.

Mike McQuary, CEO of Wheego Electric Cars, is hoping to take advantage of stimulus money as he’s trying to develop a fleet of cars. McQuary has submitted his technology and project for money as part of the Department of Energy’s advanced-vehicle technology program.

Then, starting next January, all full-speed highway-certified electric cars will have a $7,500 federal tax credit. McQuary said that will help offset the pricey early-stage technology: his fleet of cars with a lithium ion battery are likely to be priced around $28,000. They will be closer to $21,000 with that tax break.

“I think it’s exactly the sort of stimulus that it was intended to be,” said McQuary, co-founder of homegrown Internet company MindSpring, which merged with EarthLink in 2000.