IRS Rolls Out Rules For Deducting Car Loan Interest Under The New Tax Law

Taxpayers could hit a dead end with car loan interest deduction

Drivers are looking at a long list of rules if they're hoping to claim a new tax deduction for car loan interest on 2025 federal income tax returns.

New American-made vehicle tax breaks coming from IRS: What to know

The federal government’s new “No Tax on Car Loan Interest” provision was enacted through last year’s Republican tax and spending bill.

Made-in-USA Cars Granted Trump Tax Break in IRS Deduction Guidance

The Internal Revenue Service (IRS) and the Department of the Treasury issued guidance on Wednesday regarding the deduction for car loan interest payments made by taxpayers. A statement from the IRS said that the One Big Beautiful Bill Act, signed into law by President Donald Trump in July, includes a provision regarding auto loan interest paid by car owners. The provision allows owners who bought vehicles with final assembly in the United States…

The $10K US Car Tax Hack You Don't Want to Miss

The IRS has released official guidance on how Americans can deduct up to $10,000 in car loan interest annually through 2028. Here's what qualifies.

IRS issues update on tax cut for millions of drivers

Taxpayers can write off a maximum of $10,000 with this benefit enacted under President Donald Trump's One Big Beautiful Bill Act.

IRS releases new American-made vehicle tax break rules: What to know

WASHINGTON — The Internal Revenue Service released new rules this week for a tax break that lets you deduct up to $10,000 in car loan interest if you buy an American-made vehicle.