Thanks to action on Oct. 2 by the U.S. Congress on the middle class tax cut bill, the alternative-fuel and hybrid vehicle federal income tax deduction of $2,000 for vehicles purchased in calendar years 2004 and 2005 was restored. According to The Alliance to Save Energy, under current law, the value of the deduction was to have been reduced by 25 percent, to $1,500 this year, and reduced by an additional 25 percent in 2005. The value of the deduction in 2006 remains at only $500, as under current law, and the deduction continues to sunset entirely at the end of 2006.