Will the Interest on Your Vehicle Loan be Deductible?
Category: Tax Central Tags: Automotives, Tax Deduction Article Highlights: Vehicle loan interest Consumer loans secured by the vehicle Using home equity loans to create deductibility Exercising restraint when using home equity Whether or not the interest you pay on a loan to acquire a vehicle is deductible for tax purposes depends how the vehicle is being used (for business or personal purposes), the tax form on which the expenses are being deducted, and the type of loan. If the loan were a consumer loan secured by the vehicle, then the following rules would apply: If the vehicle is being used partially for business and the expenses are being deducted on