If you’ve recently purchased a new Subaru SUV, you may qualify for tax deductions under the One Big Beautiful Bill Act (OBBBA). Qualifying SUVs are eligible for up to $10,000 in deductions on your tax return. To learn more, Herb Gordon Subaru can walk you through vehicle eligibility and how to apply for deductions.
What Are These Tax Deductions?
If your vehicle undergoes final assembly in the United States and it’s purchased after December 31, 2024, it may be eligible for up to $10,000 in tax deductions under the OBBBA. These deductions are meant to encourage shopping for American-assembled cars to promote local manufacturing efforts. This applies from tax years 2025 through 2028 at the time of writing.
Does My Model Qualify?
Currently, the Subaru Crosstrek, Subaru Outback, and Subaru Ascent are eligible for OBBBA tax deductions provided they (and you) meet other qualifications. For instance, this only applies to financed vehicles; you can’t apply these deductions to leased SUVs. The model must also be solely for personal use rather than commercial purposes, so no fleet vehicles are eligible. There’s also an income-based phase-out that varies for those filing individually or jointly; ask your Subaru dealer or tax professional for details.
How Do I Get These Deductions?
In order to apply for the OBBBA tax deductions, all you need to do is claim this deduction on your tax return. You’ll need to report your car’s VIN so the IRS can verify that your vehicle qualifies. This is an above-the-line deduction. While you don’t need to itemize it, it only applies to the tax years 2025 to 2028.
Compare New Subaru SUV Tax Deductions in Silver Spring, MD
Are you still unsure whether your new Subaru SUV is eligible for tax deductions? Contact Herb Gordon Subaru. Whether you’re a recent buyer or you’re currently in the market, we’ll guide you to the incentives available, no matter which model you choose.
