No it is not too late to deduct the interest, but it is too early to amend your return. The amended forms do not come out until mid February to early March.
In order to claim this interest the following criteria must be met:
- The car was purchased not leased
- Final assembly occurred in the US
- It is NOT a business use, but was purchased for personal use
- It has a GVWR of less than 14,000lbs (car, truck, SUV, mini van or motorcycle)
- Loan was originated in 2025 and must be secured by a lien on the vehicle or the title
- Your income must be less than $100,000 if single or $200,000 if married filing jointly to receive the full deduction.
- If your income is over $150,000 if single or $250,000 if Married filing jointly, you are not eligible
Note: The interest deduction is capped at $10,000. This is an above the line deduction, not a credit meaning it will lower your AGI and taxable income. It will not be an amount that is refunded to you, but it could result in a refund by lowering your taxable income. If you already received a refund of all of the money you had withheld, then you may not see a difference in your return.
When the amended forms are ready, you will just need to log in, select Amend my return and then take the steps below.
You can enter your car loan interest by selecting the following:
- Deductions and credits
- Cars and Other things you own
- Start next to Car Loan Interest
- You will need to enter the VIN and information from the lender
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
