Tax changes

NPR - Taxpayers who purchased a new vehicle in 2025 may qualify for a new deduction this filing season. It comes from the One Big Beautiful Bill Act, which also removes taxes on tips and overtime for qualifying workers, but eliminates the tax credit for electric vehicle purchases. Here's what you should know:

🚘 The deduction only works on new vehicles purchased after Dec. 31, 2024. If you purchased a used car, you are out of luck.
🚘 To qualify, the vehicle's final assembly process must have occurred in the U.S. You can determine this with your vehicle identification number.
🚘 The vehicle must be for personal use and not for a business purpose.
🚘 Unlike most tax deductions, this one is available to taxpayers who take the standard deduction instead of itemizing.