Toyota Prius Hybrid Qualifies for Tax Break

Toyota Motor Corp.’s Prius car qualified for a $2,000 U.S. tax deduction, the first gasoline-electric vehicle to be certified in a program to encourage sales of low-pollution cars and trucks. Buyers of new 2001, 2002 and 2003 models can claim the deduction for the year in which the car first was put to use, the Internal Revenue Service said.

The fuel-efficient vehicles combine a gasoline engine and an electric motor and are more popular than electric vehicles, which have limited range because of the need to recharge the batteries.

The auto maker’s American depositary receipts, which represent two ordinary shares, fell 50 cents to $50.95 in New York Stock Exchange trading. They have declined less than 1% this year.