Does My New BMW SUV Qualify for OBBBA Tax Deductions?

The One Big Beautiful Bill Act (OBBBA) promises significant tax deductions for drivers who buy a new BMW SUV from 2025 to 2028. Six BMW SUVs are eligible for these deductions, helping you save up to $10,000 per year on your financed vehicle. Casey BMW has all the information you need about these savings and how to apply.

Eligible New BMW SUVs

One provision of the bill is that a vehicle’s final assembly must take place in the United States after December 31, 2024. Six new BMW SUVs whose final assembly happens at the BMW plant in Spartanburg, North Carolina, qualify as of this writing:

• BMW X3
• BMW X4
• BMW X5
• BMW X6
• BMW X7
• BMW XM

Vehicle Requirements

In order to qualify for the One Big Beautiful Bill Act tax deductions, your model must be manufactured between 2025 and 2028. You’ll know this is the case if your VIN starts with a 1, 4, or 5 — numbers that also prove the vehicle’s final assembly was in the U.S. These tax deductions also only apply for financed personal vehicles; if you lease or use your BMW SUV for business purposes, you won’t qualify.

Tax Deductions Savings

By taking advantage of these tax deductions, you can deduct up to $10,000 of loan interest per year from your tax return, depending on your tax bracket. No need to itemize, either; this is an above-the-line deduction that you can claim on its own. When you claim this deduction, you will need to provide your VIN so the IRS can verify your eligibility.

Buy Your New BMW SUV in Newport News, VA

We can help you learn more about these tax deductions when you buy a new BMW SUV. Contact Casey BMW today to compare financing options and learn about your tax savings potential.