What if I bought a new car in 2025? Why do you need my VIN?
Starting in 2025, there is a new IRS rule that allows you to deduct some of the interest you paid if you bought and financed a new car after December 31, 2024. To be able to deduct the interest that you paid, the car must:
- Be for your personal use (not for business)
- Be new (used car purchases don’t count)
- Have been purchased, not leased, using financing or loans
- Final assembly must have occurred in the United States
- Be for your personal use (not for business)
- Be new (used car purchases don’t count)
- Have been purchased, not leased, using financing or loans
- Final assembly must have occurred in the United States
We need your VIN to determine if the final assembly of your car occurred in the United States. You can also look this up on your own using the VIN Decoder on the Department of Transportation website.
If you bought a new car and think you might qualify, let our tax experts know and they can walk you through the right questions to ask to know if you qualify for this new deduction.