Are you shopping for a new car, truck or SUV? Exciting changes to federal tax regulations now allow qualified buyers to benefit from an auto loan interest deduction when purchasing Chevrolet and GMC vehicles made in the United States.¹ This initiative helps reduce your financing costs and is a great opportunity to consider upgrading to a new Silverado or Sierra.
Our Chevy and GMC dealership in Mt. Vernon is here to guide you through the process, ensuring you understand the details and eligibility criteria for this valuable tax benefit available to buyers throughout Southern Illinois.
Understanding the Auto Loan Interest Tax Deduction
Qualified buyers can now deduct up to $10,000 annually in interest paid on loans for new Chevrolet and GMC vehicles.¹ This program will be available until December 31, 2028, offering significant financial advantages whether you opt for the standard deduction or itemize your tax return.¹
To make the most of this benefit, it's important to keep accurate records of your loan and purchase details. The Schmidt Chevrolet GMC finance team is ready to assist you with the necessary documentation to ensure a smooth tax filing process for Illinois drivers.
Eligible Chevrolet and GMC Models for the Interest Deduction
To qualify, your new GMC or Chevrolet must be assembled in the United States. Here are some models and their assembly locations that meet these criteria:¹
Eligible new Chevy models and their place of final assembly include:
- Colorado (Wentzville, MO)
- Corvette (Bowling Green, KY)
- Express (Wentzville, MO)
- Silverado 1500 (Roanoke, IN)
- Silverado EV (Detroit, MI)
- Silverado HD (Flint, MI)
- Suburban (Arlington, TX)
- Tahoe (Arlington, TX)
- Traverse (Lansing, MI)
Meanwhile, qualifying new GMC vehicles and their final place of assembly include:
- Acadia (Lansing, MI)
- Canyon (Wentzville, MO)
- Savana (Wentzville, MO)
- HUMMER EV SUV (Detroit, MI)
- HUMMER EV Pickup (Detroit, MI)
- Sierra EV (Detroit, MI)
- Sierra 1500 (Roanoke, IN)
- Sierra HD (Flint, MI)
- Yukon (Arlington, TX)
- Yukon XL (Arlington, TX)
Have questions about a particular model? Contact us for detailed information and to explore our eligible inventory.
Qualifying for the Auto Loan Interest Tax Deduction
Thinking about when to apply for GM financing in Illinois? Ensure you meet these criteria before proceeding:¹
Income Requirements: Individuals with a modified adjusted gross income up to $100,000, or couples earning up to $200,000 jointly, qualify for the full deduction. The benefit decreases and is eventually phased out for higher income filers.¹
Vehicle Assembly: Only new Chevrolet and GMC models assembled in the U.S. qualify.¹
Documentation: Maintain all finance agreements, proof of interest paid and related paperwork for your tax records.¹
Timing: Your loan must be completed by December 31, 2028, to take advantage of this benefit.¹
Our experts can help you understand these requirements and guide you through the qualification process for customers throughout the greater Mt. Vernon area.
Buy an American-Made Chevrolet or GMC in Mt. Vernon, IL
Looking for a lower cost of ownership on your new GMC Sierra or Chevy Silverado? Visit Schmidt Chevrolet GMC in Mt. Vernon for assistance with each step. From confirming model eligibility to completing your financing paperwork, we're here to help you maximize your tax savings.
Read More:
Why Buy from Schmidt Chevrolet GMC | Road Trip Checklist
Chevy Silverado 1500 vs. GMC Sierra 1500 | Buy vs. Lease a Hybrid | Buy a Car Out of State
¹ See dealer for details. Eligibility and requirements are subject to change. We recommend speaking with a tax professional.