Understanding whether your new Chevrolet SUV qualifies for the One Big Beautiful Bill Act (OBBBA) tax deduction could save thousands on your auto loan. The OBBBA allows eligible buyers to deduct up to $10,000 annually in auto loan interest, but the final assembly location determines eligibility. At Reedman Toll Chevrolet in Langhorne, we help Bucks County drivers identify qualifying American-assembled SUVs.
What is the OBBBA Auto Loan Interest Deduction?
The One Big Beautiful Bill Act provides a federal tax deduction for interest paid on auto loans for new vehicles with final assembly in the United States. This deduction applies to tax years 2025 through 2028, offering up to $10,000 annually for qualifying buyers. The benefit requires a first-lien loan originated after December 31, 2024, on a new Chevrolet SUV under 14,000 pounds for personal use.
Income limits also apply. Single filers with modified adjusted gross income up to $100,000 and joint filers up to $200,000 receive the full deduction, which is subject to a phase-out. Speak to your Chevrolet dealer or tax professional for details.
Which Chevrolet SUVs Have Final Assembly in the USA?
Final assembly location determines qualification. Only three new Chevrolet SUV models qualify through United States assembly. The Chevrolet Tahoe and Chevrolet Suburban are assembled in Arlington, TX, while the Chevrolet Traverse comes from Lansing Delta Township Assembly in Michigan. As of this writing, the Chevrolet Trax, Chevrolet Equinox ICE and EV models, Chevy Trailblazer, and Chevrolet Blazer ICE and EV don’t qualify; however, with Chevrolet onshoring production of more models, it’s entirely possible that models that don’t qualify as of this writing might before the deduction expires. Your Chevrolet dealer will help you identify qualifying models and trims.
Understanding EV Tax Deduction Changes
The federal electric vehicle tax deduction expired September 30, 2025. The OBBBA auto loan interest deduction continues through 2028 for qualifying vehicles. Buyers considering electric models should confirm final assembly location, as most Chevrolet electric vehicles complete production in Mexico and don’t qualify for the OBBBA benefit.
Experience Quality SUVs at Reedman Toll Chevrolet Langhorne
Our team at Reedman Toll Chevrolet Langhorne maintains an inventory of the Chevrolet Tahoe, Chevrolet Suburban, and Chevrolet Traverse, and will also guide you to models with active Chevrolet specials. Visit today to speak with financing specialists about maximizing your new Chevrolet SUV purchase benefits.