Taxpayers who bought a new car in 2025 can, in some cases, deduct interest on their auto loan. The deduction was created by the One Big Beautiful Bill Act, which also removed taxes on tips and overtime for qualifying workers, and relevant to new car shoppers eliminated a tax credit for buying electric vehicles.
At 80 percent of the area median income (AMI), the lottery offers seven studios with rents of $1,927 per month for households earning $73,166 to $103,680; eight one-bedroom units at $2,030 per month for incomes of $78,995 to $116,640; and 11 two-bedroom units at $2,363 per month for incomes of $95,520 to $140,000. At 130 percent of AMI, five two-bedroom units are available at $2,750 per month for households earning $108,789 to $227,500.
Many Americans are likely to see massive changes to their taxes in 2026, especially seniors. That's largely due to President Donald Trump's so-called big, beautiful bill, a massive 940-page bill signed into law over the summer that includes an array of new tax write-offs but also fails to renew some previous deductions from the Biden administration. One change is a $6,000 deduction for seniors.
"We will see. We need legislation for that," Treasury Secretary Scott Bessent said Sunday in an interview on Fox News when asked if Trump was going to send the tariff revenue-sharing checks soon. He said the checks would go to "working families" and that an income limit would be set. He didn't describe them as a sure thing, but said: "Those could go out."
The deduction is available to those with "qualified passenger vehicles" who fall under certain income limits. For single filers with an adjusted gross income up to $100,000, the deductions on vehicle loans are capped at $10,000 in interest each year.