What is the Big Beautiful Bill Car Tax Credit?
Coulter Tempe Cadillac has long been considered the premier destination for those in Phoenix, AZ, seeking the finest selection of new and certified pre-owned Cadillacs. Throughout our 100-year history, we have set the standard by which all Cadillac dealerships are measured. From our easy-going and always-friendly sales team, our expert Cadillac mechanics, technicians, and parts people, to our incredible finance team, it is no wonder people see us as the can-do Cadillac dealer.
Whether you’re looking for a luxury SUV like the Cadillac Escalade, the always-impressive Cadillac OPTIC, the XT4 or XT5, or you’ve always wanted one of the high-performance luxury sedans like the Cadillac CT4 or Cadillac CT5, Coulter Tempe Cadillac is guaranteed to have what you’re looking for.
Get to Know the Big Beautiful Bill Car Tax Credit:
With the Big Beautiful Bill car tax credit, now is the time to act. So, what is the new car tax credit Big Beautiful Bill? More importantly, what tax deduction news does it provide Cadillac enthusiasts?
Read on to learn more about how the Coulter Tempe Cadillac dealership is the car financer with all the answers.
What is the Big Beautiful Bill car tax credit?
The Big Beautiful Bill car tax credit comes from the signing of the One Big Beautiful Bill Act of 2025, which was signed into law on July 4th, 2025. This legislation offers numerous tax advantages, deductions, and tax credits for businesses and consumers. One such tax credit includes new car owners can now deduct interest paid on a car loan for new qualifying vehicles.
What is considered a “qualifying vehicle” in the new car tax credit Big Beautiful Bill?
The bill defines a qualified vehicle as any SUV, van, pickup, car, or minivan that has gone through final assembly in the USA and whose gross vehicle weight does not exceed 14,000 pounds. Provided that the vehicle is for personal use, it is considered a qualifying vehicle.
This means all Cadillac models are considered qualifying vehicles. This includes the Cadillac XT4, XT5, and XT6, Cadillac Escalade and Escalade ESV, and the Cadillac CT4 and Cadillac CT5.
Do you get a tax credit for buying a car?
Yes, however, the tax deduction is not extended to any leases or pre-owned Cadillacs. The tax credit only applies to new qualifying vehicles purchased from 2025 to 2028. The tax credit allows Coulter Tempe Cadillac customers a maximum annual deduction of $10,000 of the interest paid on a loan when buying a Cadillac.
If the interest paid on the car loan occurs after December 31, 2024, the tax credit can be applied. As such, any new 2025 Cadillac model bought with a loan after the above date qualifies.
What other conditions are there?
The tax deductions with the bill apply whether a Coulter Tempe Cadillac customer itemizes their deductions or takes the standard deduction on their IRS tax forms. However, the deduction gradually decreases for those customers with annual gross incomes over $100,000. For married or joint IRS filers, the deduction decreases with combined annual incomes of $200,000.
Coulter Tempe Cadillac: Your Big Beautiful Bill Car Tax Credit Partner
At Coulter Tempe Cadillac, we have always been proud to sell and service the exclusive Cadillac lineup of luxury SUVs and sedans. Every day, we help people realize their dream of driving away in a Cadillac. Whether it is a family wanting to take advantage of the impressive Cadillac lineup of family-friendly, but no less luxurious, SUVs, or someone who has longed to enjoy the refined and luxurious interior of a great-handling Cadillac sedan.
To learn more about this all-important 2025 tax credit or inquire about a car loan tax return, contact us online, or visit us in Tempe, AZ today!
