Open Today Sales: 9 AM-9 PMOpen Today Service: 7:30 AM-7 PM
The Big Beautiful Bill rewards buyers who choose American‑assembled vehicles. Finance a qualifying Volkswagen today and trim hundreds off your federal tax bill every year.
Under the BBB’s new Made-in-America Auto-Loan Interest Deduction, financing a brand-new Volkswagen which was final assembled in the United States (look for a VIN starting with 1, 4 or 5 and confirm on the window sticker) lets you deduct up to $10,000 of the interest you pay each year on that loan for purchases made between 2025 and 2028.
The break is “above the line,” so even standard-deduction filers can use it, but it phases out once your AGI tops $100k as a single filer or $200k as a married filer. To claim, all you need to do is keep the purchase contract and lender interest statements, and claim the amount on the forthcoming IRS form for “qualified passenger-vehicle loan interest” when you file.
On a typical $40k loan at roughly 8% APR, that’s roughly $600 in federal tax savings if you’re in the 20% bracket—every year you remain under the cap. In short: choose a U.S-built model, finance smart, and keep hundreds in your pocket instead of handing it to the IRS.
| Loan Amount | APR* | Year‑1 Interest | Tax Deduction | Estimated Tax Savings† |
|---|---|---|---|---|
| $40,000 | 8.0% | $3,000 | $3,000 | $600 (20% tax rate) |
| $50,000 | 7.5% | $3,750 | $3,750 | $750 |
*APR based on average new‑car rate (July 2025). †Savings vary by tax bracket; consult a tax pro.
| Model | Trim Range | Assembly Plant |
|---|---|---|
| Atlas | SE, SE with Technology, Peak Edition, SEL, and SEL Premium R-Line | Volkswagen Chattanooga Assembly Plant |
| Atlas Cross Sport | SE, SE with Technology, SEL, SEL R-Line, and SEL Premium R-Line | Volkswagen Chattanooga Assembly Plant |
| ID.4 | Standard, Pro, AWD Pro, S, Pro S, and AWD Pro S | Volkswagen Chattanooga Assembly Plant |
Keep your loan interest records and the purchase contract. When you file your 2025–28 tax return, enter the deductible amount on the designated IRS line (guidance pending). You do not need to itemize.
The '24 Volkswagen ID.4 is eligible for the $7,500 tax credit, but the '25 Volkswagen ID.4 is not. No other 2025 Volkswagen models are eligble for the $7,500 EV tax credit at this time.
The deduction applies to interest paid on qualifying loans originated 2025‑28. If you refinance, only interest on the original qualifying loan counts—TBD pending IRS clarification.