Does Your New Subaru SUV Qualify for OBBBA Tax Deductions?

If the current state of the economy has you looking for every penny to pinch, we have some good news. If you’ve bought a new Subaru SUV recently (or you’re about to), it may qualify for tax deductions under the One Big Beautiful Bill Act (OBBBA). The Subaru Crosstrek, Subaru Outback, and Subaru Ascent may qualify you for up to $10,000 in savings on your taxes. Find out more with the experts at Casey Subaru.

What Are These Tax Deductions?

Under the OBBBA, qualifying drivers can receive up to $10,000 in tax deductions if they buy a vehicle whose final assembly occurs within the United States. It incentivizes buying locally assembled cars and supports American manufacturing. This only applies to financed new vehicles purchased for personal use; a used, leased, or commercial SUV does not qualify.

Which New Subaru SUVs Qualify?

Currently, three Subaru SUVs qualify for these tax deductions if they were bought after December 31st, 2024: the Subaru Ascent, Subaru Crosstrek, and Subaru Outback. All three models undergo final assembly in the U.S. (at the Lafayette, IN Subaru plant, specifically), which makes them eligible for OBBBA deductions. Your Subaru dealer will guide you to qualifying models and trims.

How Do I Apply?

You can deduct this tax deduction from your annual tax return for every tax year you own the vehicle through 2028. This is an above-the-line deduction, so you don’t need to itemize your taxes to claim these savings. All you need to do is supply your VIN so the IRS can verify your vehicle’s eligibility. Income restrictions and phase-outs apply; talk to your Subaru dealer for details.

Find Tax Deductions for Your New Subaru SUV in Newport News, VA

As with any major purchase that has tax implications, it’s a good idea to talk this over with your accountant or tax preparer for a different perspective. In the meantime, if you want to learn more about the OBBBA tax deductions and whether your new Subaru SUV is eligible, contact Casey Subaru. Our financing experts are always here and happy to help.