[Congressional Bills 119th Congress] [From the U.S. Government Publishing Office] [S. 1219 Introduced in Senate (IS)] <DOC> 119th CONGRESS 1st Session S. 1219 To amend the Internal Revenue Code of 1986 to allow a deduction for qualified automobile interest. _______________________________________________________________________ IN THE SENATE OF THE UNITED STATES April 1 (legislative day, March 31), 2025 Mr. Moreno introduced the following bill; which was read twice and referred to the Committee on Finance _______________________________________________________________________ A BILL To amend the Internal Revenue Code of 1986 to allow a deduction for qualified automobile interest. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``United States Automobile Consumer Assistance and Relief Act'' or the ``USA CAR Act''. SEC. 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. <all>