Beginning with the 2025 tax year, taxpayers who purchase a new vehicle  may be eligible to deduct auto loan interest , even if they do not itemize deductions. This temporary federal deduction applies to vehicles purchased between 2025 and 2028  and is available for qualifying personal-use vehicles. To be eligible, the vehicle must meet specific requirements, including final assembly in the United States  and a qualifying loan structure secured by the vehicle. Income limits ap

Beginning with the 2025 tax year, eligible taxpayers who earn overtime compensation may qualify for a new temporary federal tax deduction. The No Tax on Overtime deduction  allows individuals to deduct the portion of overtime pay that exceeds their regular hourly rate. This deduction is available for tax years 2025 through 2028 . The maximum annual deduction is $12,500 for single filers  and $25,000 for married couples filing jointly , subject to income limitations. It is imp

Beginning with the 2025 tax year, a new federal tax deduction may benefit tipped workers. The No Tax on Tips deduction  allows eligible individuals to deduct up to $25,000 of qualified tips  from taxable income. This deduction applies whether a taxpayer itemizes deductions or takes the standard deduction and is available through tax year 2028. It is important to note that tips are still required to be reported as income . The deduction applies only to qualified tips earned in