“To amend the Internal Revenue Code of 1986 to allow a deduction for qualified automobile interest.”
No CRS summary available for this bill.
This section establishes an above-the-line deduction for noncorporate taxpayers for qualified automobile interest paid or accrued on indebtedness incurred on or after January 1, 2025, to acquire a qualified automobile and secured by such automobile (effective for indebtedness incurred on or after enactment). Qualified automobile interest is excepted from the general disallowance of personal interest deductions under IRC §163(h). A qualified automobile is an automobile, as defined in the Automobile Information Disclosure Act (i.e., a passenger car or station wagon), manufactured such that its final assembly occurs in the United States. (Thus, the deduction incentivizes financing of U.S.-assembled vehicles.)