119 S1219 IS: United States Automobile Consumer Assistance and Relief Act U.S. Senate 2025-04-01 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

II119th CONGRESS1st SessionS. 1219IN THE SENATE OF THE UNITED STATESApril 1 (legislative day, March 31), 2025Mr. Moreno introduced the following bill; which was read twice and referred to the Committee on FinanceA BILLTo amend the Internal Revenue Code of 1986 to allow a deduction for qualified automobile interest.

1.

Short title

This Act may be cited as the United States Automobile Consumer Assistance and Relief Act or the USA CAR Act.

2.

Deduction for qualified automobile interest

(a)

In general

Section 163(h)(2) of the Internal Revenue Code of 1986 is amended by striking and at the end of subparagraph (E), by striking the period at the end of subparagraph (F) and inserting , and, and by adding at the end the following new subparagraph:(G)any qualified automobile interest (as defined in paragraph (5))..(b)

Qualified automobile interest

Section 163(h) is amended by adding at the end the following new paragraph: (5)

Qualified automobile interest

For purposes of this subsection—(A)

In general

The term qualified automobile interest means any interest which is paid or accrued during the taxable year on indebtedness which—(i)is incurred on or after January 1, 2025,(ii)is incurred in acquiring a qualified automobile, and(iii)is secured by such automobile.(B)

Qualified automobile

(i)

In general

The term qualified automobile means an automobile (within the mean of section 2 of the Automobile Information Disclosure Act (15 U.S.C. 1231) which is made by a manufacturer (within the meaning of section 2 of such Act) the final assembly of which occurs within the United States.(ii)

Final assembly

The term final assembly means the process by which a manufacturer produced an automobile at, or through the use of, a plant, factory, or other place from which the automobile is delivered to a dealer with all component parts necessary for the mechanical operation of the automobile included with the automobile, whether or not the component parts are permanently installed in or on the automobile..(c)

Effective date

The amendments made by this section shall apply to amounts paid or accrued on indebtedness incurred on or after January 1, 2025.