What is a Domestic assembly requirement?

A domestic assembly requirement is a qualification standard mandating that eligible vehicles for certain tax benefits must complete final assembly within the United States. Under the One Big Beautiful Bill Act's car loan interest deduction, qualifying vehicles must have their final assembly location in the United States to support American manufacturing jobs while ensuring tax benefits flow to families purchasing domestically produced vehicles. This requirement applies to cars, minivans, vans, SUVs, pickup trucks, and motorcycles weighing less than 14,000 pounds. Taxpayers must maintain assembly verification documentation to support deduction claims. Strategic coordination with Vehicle expenses maximizes comprehensive tax benefits for qualifying transportation investments.

Related Terms

What is a Car loan interest deduction?

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What is a Tax deduction?

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