Tennessee Hybrid Car Tax Incentives

Hybrid Sales Tax Reduction and HOV Exemption:

Reduces the sales tax to 3.5% on ‘Hybrid Vehicles’, and permits ‘Hybrid Vehicles’ to use the HOV lanes regardless of the amount of passengers.

Hybrid Sales Tax Exemption *bill*:

HB 64/SB 463 would create and exemption for ‘Hybrid Vehicles’ from state sales taxes, until 2012/2017.