Federal sales tax deduction

A new tax deduction is available. The Minnesota Automobile Dealers Association (MADA) reports that the American Recovery and Reinvestment Act of 2009 contains a tax incentive for individuals and businesses purchasing a new car, truck or motor home from February 17, 2009 through December 31 of this year. In general, buyers will be permitted to deduct, on their federal income tax returns next year, the sales/excise tax imposed on their new vehicle purchase. For more details, visit MADA's website at mada.org.

Honda increasing hybrid production

Because of overwhelming response to the new Honda Insight hybrid, Honda is planning to increase hybrid car production, the New York Times recently reported. Honda had originally planned to sell 200,000 Insight hybrids over the next year, but the response has been dramatic so a spokesman for the automaker, Hiroshi Kobayashi, said, "We will have to increase production plans." He didn't say exactly how many more would be produced.

Chevy Spark

Auto Week reports that Chevrolet finally has revealed plans for the production version of the Spark. Initially introduced as the Beat concept at the 2007 New York Auto Show, the five-door hatchback is expected to go on sale in the United States as a 2011 model. The Spark launches in Europe with the choice of 1.0-liter or 1.2-liter four-cylinder engines. Front, front-side and side-curtain airbags, antilock brakes and stability control are standard features. No word yet on price.