Southeast Louisiana drivers interested in a new Ford can extend their savings with a new federal tax deduction. This deduction, which applies to vehicles assembled in the United States, will allow taxpayers to deduct up to $10,000 annually on interest paid on their car loan.* Learn more about how this new tax break can work for your wallet with this overview from Terrebonne Ford. 

What Is The New Car Tax Deduction?

The new federal tax deduction on U.S.-assembled** vehicles was designed to encourage drivers to buy American-made models. And, with nearly 80% of Ford vehicles sold in America built domestically,*** that makes Ford models a smart purchasing decision for those who want to keep their hard-earned money in their pockets. As mentioned above, this new tax break allows drivers to deduct up to $10,000 annually on interest paid on vehicles assembled in the U.S., and this applies whether you itemize deductions or take the standard deduction. 

Ford Tax Deduction FAQs

Who Qualifies?

The full deduction is available for taxpayers who make less than $100,000 annually (or $200,000 for joint filers). After those modified gross incomes have been reached, the deduction phases out, and is completely phased out for taxpayers who make over $150,000 annually (or $250,000 for joint filers). 

What Loan Types Are Eligible?

The new tax deduction is only available for individuals financing a personal vehicle. Commercial and/or fleet purchases are not eligible. 

Is There A Purchase-By Date?

Any vehicle financed after December 31, 2024, is eligible for the program. However, the new deduction is only in effect from the 2025 to 2028 tax years. Any contracts refinanced before 2025 do not qualify. 

What Ford Vehicles Are Eligible?

Any vehicle that lists the United States as its final assembly location qualifies. Get in touch with our team for more information on specific models. 

Save On American-Made Vehicles At Terrebonne Ford

To learn more about which Ford sedans, trucks, and SUVs qualify for this money-saving tax break, visit the financial experts at Terrebonne Ford. Our team will be happy to walk you through all the exciting ways you can save on a new Ford in Houma. 

Disclaimers:

*Available for eligible individual buyers on new qualifying vehicles assembled in the U.S. Only applies to interest paid in tax years 2025-2028 on new debt contracted after 12/31/2024. Tax deduction subject to change and filing requirements. Income restrictions and other restrictions and limitations may apply. Consult your tax, legal, or accounting professional if you have questions. This information does not constitute tax, accounting, or legal advice. Deduction subject to federal laws and regulations and manufacturing constraints. 

**Assembled with U.S and globally sourced parts.

***Based on S&P Global Mobility CYE 2023 US Light Vehicle Production data and CYE