Assembled in America Auto-Loan Interest Deduction
Looking at a new Subaru that’s built in the United States? You may be able to deduct a portion of the interest you pay on your qualifying auto loan, subject to program rules and tax law. Baldwin Subaru is here to help you understand the basics and connect you with the right vehicle and financing.
Key Points
- Available on qualifying new Subaru models assembled in the U.S.
- Interest paid on new auto loans may be eligible for a deduction.
- Vehicle must generally be under 14,000 lbs and used for eligible purposes.
- Program currently covers select tax years and may change with new laws.
*Program details are subject to federal law and may change. Always consult a qualified tax professional.
How the Auto-Loan Interest Deduction Works
A federal tax program may allow eligible customers to deduct up to a certain annual amount of interest paid on new, qualifying auto loans for select Subaru models that are assembled in the United States. The goal is to encourage the purchase of vehicles built here while helping you manage your total cost of ownership.
- Available for eligible individuals 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 any questions. This information does not constitute tax, accounting, or legal advice. Deduction subject to federal laws and regulations and manufacturing constraints. Applies to all 2025 Subaru Outback, Legacy, and Ascent models, and Crosstrek Sport, Crosstrek Limited and Crosstrek Wilderness. Also applies to all 2026 Ascent, and Forester models, and all Crosstrek models except for Hybrid.
The actual deduction you may claim can vary depending on your personal tax situation, how the vehicle is used, and any updates to federal tax law. Baldwin Subaru cannot provide tax, accounting, or legal advice, but we can help you identify which Subaru models may qualify under the current program guidelines.
Subaru Models That May Qualify
Subaru Outback
The Outback blends SUV capability with everyday comfort, making it a strong candidate for drivers who want confidence in all kinds of weather and on all kinds of roads.
Subaru Legacy
A midsize sedan with Symmetrical All-Wheel Drive, advanced safety tech, and a smooth ride that works beautifully for commuting or longer trips.
Subaru Ascent
A three-row SUV designed for families, carpools, and road trips, offering seating for up to eight and plenty of space for cargo and gear.
Subaru Crosstrek (select trims)
Certain Crosstrek trims such as Sport, Limited, and Wilderness may qualify under the program when they’re assembled in the U.S. and meet all other program requirements.
Actual eligibility can vary by VIN, model year, trim, and production location. Inventory and program availability are subject to change. Our team can look up a specific vehicle and confirm whether it is currently designated as qualifying under the program.
Important Program Details & Disclaimer
This auto-loan interest deduction program is created and governed by federal law and associated regulations. Participation requires you to meet all IRS rules in effect for the applicable tax years and to properly document your loan and vehicle.
Disclaimer: Information on this page is for general informational purposes only and does not constitute tax, legal, or accounting advice. Availability of any tax deduction depends on your individual circumstances and is subject to federal law, IRS guidance, and changes in legislation. Eligibility may be limited by income thresholds, use of the vehicle, loan terms, vehicle type, and other factors. You are strongly encouraged to consult a qualified tax, legal, or accounting professional to determine how any potential deduction may apply to you. Program details, eligible models, and dates are subject to change without notice.
Talk to Baldwin Subaru About This Program
Ready to explore a Subaru that’s assembled in America and learn how the auto-loan interest deduction could fit into your plans? Our team is happy to walk you through the vehicle lineup, available financing options, and current program details so you can make an informed decision.
Whether you’re just starting your research or you already have a vehicle in mind, reach out today. We’ll help you find the right Subaru for your life in Louisiana, and point you toward the resources you need for any tax-related questions.