Published Friday, January 30, 2004, in the Sacramento Bee
Vehicle tax break stays
By Clea Benson
The Assembly on Thursday defeated a proposal that would have taken
away business tax breaks for big vehicles such as Hummers and some
sport-utility vehicles.
The measure would have given Californians tax incentives to buy
reduced-emission vehicles instead.
Current law allows business owners to deduct thousands of dollars from
their taxes the year after they buy a vehicle weighing more than 6,000
pounds. Assemblyman Joe Nation, D-San Rafael, the author of the bill,
wanted to limit the deductions to farmers and other business owners
who haul large loads.
Nation estimated that the tax break costs the state $40 million a
year.
But only 36 of Nation's Assembly colleagues voted in favor of the
bill, five short of the margin needed to pass it.