How to Take Advantage of Auto Loan Interest Deduction from the Big Beautiful Bill
With the recent enactment of the Big Beautiful Bill, many Americans are looking for ways to lower their tax bills and maximize new deductions. One major feature of this law is that you can now deduct interest paid on auto loans. The following details can help you determine if you're eligible.
Eligibility Requirements
To benefit from this deduction, you must meet specific requirements. Visit the IRS website at https://www.irs.gov/newsroom/one-big-beautiful-bill-act-tax-deductions-for-working-americans-and-seniors to learn more about qualification criteria.
If you want to check whether your 2025 car, truck, or motorcycle purchase qualifies, go to The National Highway Traffic Safety Administration’s VIN Decoder website at https://nhtsa.gov/vin-decoder. There, you'll find instructions and a link to the VIN Decoder.
Finding the Interest You Paid on the Auto Loan
You have two options for finding the total interest paid on your 2025 loan. First, review your December 2025 account statement; the interest paid will be shown in the loan section. Alternatively, use Online Banking: select your loan, then click Account Details to view your Prior Year To Date (PYTD) interest.
This content is for informational purposes only. Please contact your tax professional for advice specific to your circumstances.