10k Tax Deduction

 

Get a Tax Deduction of up to $10,000 Annual Interest Paid for USA-Built Vehicles 

Get a Tax Deduction of up to $10,000 Annual Interest Paid for USA-Built Vehicles If you recently purchased a Toyota vehicle, you may be eligible for up to $10,000 in annual tax deductions. Disclaimer: A tax deduction of up to $10,000 annual interest paid available to eligible buyers on qualifying new vehicles assembled in the U.S. Excludes used cars, leases and business purchases. Applies to interest paid in tax years 2025-28 on new debt contracted after 12/31/24. Consult a qualified tax professional orirs.gov for Income restrictions and full terms and conditions. This information does not constitute tax, accounting, or legal advice.

Key Points: 

• The One Big Beautiful Bill (OBBB) allows car buyers to deduct up to $10,000 in loan interest paid annually

• Only U.S. assembled cars are eligible for the program

• Applies to interest paid in tax years 2025 - 2028

Toyota Sienna interior touch feature - U.S. assembled family minivan
Close-up of Vehicle Identification Number (VIN) visible at the base of the windshield on the driver's side

How do I know if my Toyota was built in America?

The vehicle identification number (VIN) indicates where the vehicle was built. If your VIN starts with a 1, 4, 5, or 7, then it was assembled in the United States.

You can find the VIN printed at the base of the windshield on the driver's side. The VIN can also be found on your auto insurance card and on the vehicle registration.

If you want to find the exact location where your vehicle was assembled, you can use the VIN Decoder tool provided by the NHTSA.

Toyota Models Built in the U.S.

2025 Toyota Camry - Built in the U.S.

Camry

2025 Toyota Corolla - Built in the U.S.

Corolla

2025 Toyota Highlander - Built in the U.S.

Highlander

2025 Toyota Sienna - Built in the U.S.

Sienna

2025 Toyota Sequoia - Built in the U.S.

Sequoia

2025 Toyota Tundra - Built in the U.S.

Tundra



Please check your VIN to verify the country of origin.

Frequently Asked Questions

What are the income limits?
The deductions phase out for single taxpayers with a modified adjusted gross income over $100,000. For married taxpayers filing a joint return, the limit is $200,000.
Do the deductions apply to vehicles used for business / commercial purposes?
No, the vehicle must be for personal use to qualify.
Do used vehicles qualify?
No, the deductions only apply to new vehicles.
Do lease payments qualify?
No, lease payments do not qualify for any deductions.

Toyota Vehicles Built in the USA

America is home to the world's largest Toyota manufacturing plant, located in Georgetown, Kentucky.

The company has assembly plants throughout the U.S., including Indiana, Texas, Mississippi, Alabama, and West Virginia.

The company is investing $1.4 billion in its Princeton, IN facility, where it will build an all-new electric SUV.

Contact Information

By submitting your information, you agree to our Privacy Policy.


By submitting this form, you authorize Toyota of Santa Barbara to use an automated system to periodically text you with marketing information at the provided mobile number. You do not need to agree to this consent to get services from or through us. You may revoke this consent by replying STOP to any text we send. We will not send more than 2 text[s] per week. Message and data rates may apply. See our Terms and Privacy Policy for more information.