U.S. "Cash for Clunkers" Withdrawn from Stimulus Plan, Early Bronco Owners Breathe Collective Sigh Of Relief

Ok, ok, the Bronco reference was a joke, kind of. On February 9, SEMA (Specialty Equipment Market Association) announced that the "Cash for Clunkers" program has been withdrawn from inclusion in the Senate Economic stimulus bill. While such a bill would have been unlikely to usher mint, classic 4x4's into the scrap heap, it most certainly would've taken a lot of inexpensive parts vehicles off of the market.

Along with this development, a SEMA-supported amendment to the bill has been added. It will allow U.S. taxpayers to claim a tax deduction on car loan interest payments and excise taxes when they buy a new car in 2009. Interestingly, the tax break on new car purchases isn't limited to North American-made vehicles. It is, however limited by income and vehicle cost. Families with a combined income of over USD$250,000 per year won't qualify. The vehicle price has to be under USD$49,500, too.

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