Customers who purchase a new 2006 Honda hybrid vehicle on or after January 1, 2006, may be eligible for federal tax credits ranging from $1,300 to $2,100 when they file their 2006 tax returns, American Honda Motor Co., Inc., announced today.

The announcement is the result of a ruling by the Internal Revenue Service (IRS), which calculated the tax credits based on the Energy Policy Act of 2005, passed by Congress last year. Honda''s 2006 Civic Hybrid, Accord Hybrid and Insight with automatic transmission are eligible for the tax credits.

The federal tax credits are as follows:

*2006 Honda Accord Hybrids without updated control calibration qualify for a credit amount of $650.

Various limitations to the credit may apply, depending on the specific circumstances of the customer, and Honda is encouraging customers to contact the IRS or a tax advisor to determine if and how the tax credit will apply to their vehicle acquisition. Customers are also encouraged to contact the IRS at www.irs.gov for information on hybrid tax credit amounts applicable to Honda''s 2005 model year hybrids purchased during 2006.

"These federal tax incentives reward consumers who make environmentally responsible purchasing decisions," said John Mendel, senior vice president of American Honda. "Honda continues to be a leader in producing vehicles that set the standard for fuel economy and low emissions."

Honda first introduced U.S. consumers to hybrid technology with the Insight in December 1999. It launched its second hybrid vehicle, the Civic Hybrid, in March 2002, followed by the first-ever V6-powered hybrid, the Accord Hybrid, in December 2004.