It's my understanding that no fines apply if you took the credit in good faith (you would just owe the tax). In which case you could refile for the deduction instead. The new language on the form is discussed in post <http://groups.yahoo.com/group/toyota-prius/message/25959>
Steven B. Augustine sees the wording the same way that I do:
snip
On a different note, the new language that accompanies the Electric
Vehicle Credit is, IMHO, no less ambiguous than it was before. Please
observe that the language is:
"Caution: Gasoline/electric hybrid vehicles (such as the Honda Insight
or Toyota Prius) that are not powered primarily by an electric motor are
not qualified electric vehicles."
NOT
Caution: Gasoline/electric hybrid vehicles that are not powered
primarily by an electric motor (such as the Honda Insight or Toyota
Prius) are not qualified electric vehicles."
The difference is subtle, but by properly observing the mechanics of the
English language, one will discover that the first version simply
enumerates the Prius and Insight as hybrid vehicles, whereas the second
explicity states that they are not primarily powered by an electric
motor. As written, the caution appears to be no clearer than the version
that lacked the "such as" language.
snip
[%sig%]
Steven B. Augustine sees the wording the same way that I do:
snip
On a different note, the new language that accompanies the Electric
Vehicle Credit is, IMHO, no less ambiguous than it was before. Please
observe that the language is:
"Caution: Gasoline/electric hybrid vehicles (such as the Honda Insight
or Toyota Prius) that are not powered primarily by an electric motor are
not qualified electric vehicles."
NOT
Caution: Gasoline/electric hybrid vehicles that are not powered
primarily by an electric motor (such as the Honda Insight or Toyota
Prius) are not qualified electric vehicles."
The difference is subtle, but by properly observing the mechanics of the
English language, one will discover that the first version simply
enumerates the Prius and Insight as hybrid vehicles, whereas the second
explicity states that they are not primarily powered by an electric
motor. As written, the caution appears to be no clearer than the version
that lacked the "such as" language.
snip
[%sig%]