The Internal Revenue Service’s Alternative Motor Vehicle Reduction have announced fuel consumption rates as well as greenhouse effects would be given tax incentives. The tax cut announced would act to balance the increase in cost of the vehicle. BMW would get a $900 tax credit under this scheme as their 2011 BMW ActiveHybrid 7 car does adhere to the provisions of this tax incentive scheme. Though what is interesting is that tax cut amounts to a puny $900 for a car that commands a price tag of a whooping $100k price tag.
The current BMW models that enjoy this tax privilege are the ActiviHybrid X6, 335d Sedan and X5 xDrive35d clean diesel models. The ActiveHybrid7 in its standard long wheelbase version would become the fourth and fifth BMW models to enter the fray for this tax benefit.
The tax credits though being bragged by BMW as a show of their engineering prowess over aero dynamic profiles, but buyers who have to pay about $102,300 for the standard ActiveHybrid 7 or $ 106,200 for the long wheelbase model would hardly notice the $900 tax benefit.
The ActiveHybrid 7 has an electric motor matched with a 4.4-liter twin-turbocharged V-8 and a new eight-speed automatic transmission. It can pick up speeds of 0-60 mph in 4.7 seconds flat. Claims an EPA of 17 mpg in city driving and 26 mpg in highway rides which is a near 18 percent improvement over other the 750i/Li that is just as powerful. These performance statistics makes the car one worthy of consideration especially given that it also qualifies for the Alternative Motor Vehicle credits.
Source: motorauthority
