PHOTO CAPTION: Toyota Camry Hybrid would not qualify for Washington State sales tax exemption.

Washington State to Give Sales Tax Exemption on Hybrid Cars

The tax break only covers cars and trucks getting at least 40 highway mpg, which includes the Prius and hybrid Honda Civic, but not hybrid SUVs or the Toyota Camry pictured here.

Published: 14-Sep-2008

A new sales tax exemption that encourages Washington car shoppers to choose hybrids and alternative-fuel vehicles will save them an estimated $18.6 million over the next two years.

The savings provide an extra incentive for consumers to trade in gas guzzlers, a trend that's already in full bloom.

"It's probably not going to make that big of an impact on hybrid sales in Washington," said Bill Soholt, general sales manager of Toyota and Honda of Seattle.


This concept can be driven for about 100 km on battery power alone before its four-cylinder 1.6-litre Flexifuel engine is required.

The conversion is part of a two-year research project sponsored by the National Rural Cooperative's Research Association's Cooperative Research Network. Photo courtesy of Athens Banner-Herald.

The plug-in variant would ditch the concept Up!'s hatchback profile for a more traditional sedan configuration, and offer 100 mpg fuel efficiency.


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