The Big Beautiful Breakdown: Vehicle Loan Interest Gets a Deduction

In this emergency headline episode of Traction with the Tiger, host and Tax Tiger Chris Wittich unpacks a brand-new and unexpected benefit from the One Big Beautiful Bill: the ability for some individuals to deduct up to $10,000 of interest on a new car loan. But, as always, the details matter. Chris breaks down who qualifies, how the deduction works (hint: it’s not itemized), the phaseout thresholds, and what this means when deciding whether to lease, buy, or finance your next vehicle. It’s a helpful new option, but it won’t make high interest rates disappear. Tune in for a clear-eyed look at how to factor this into your car-buying math.