# 119-hr-3450: To amend the Internal Revenue Code of 1986 to provide for special rules allowing taxpayers to deduct qualified passenger vehicle loan interest paid or accrued during the taxable year on certain indebtedness, and for other purposes.

119-hr-3450, To amend the Internal Revenue Code of 1986 to provide for special rules allowing taxpayers to deduct qualified passenger vehicle loan interest paid or accrued during the taxable year on certain indebtedness, and for other purposes., is a 119th Congress bill sponsored by Rep. Kelly, Mike [R-PA-16] (R-PA); status introduced; PRIA reads it as touching household money (as of 2026-04-21).

- Canonical: https://policyrisk.com/legislation/119-hr-3450
- As of: 2026-04-21
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-hr-3450
- Congress: 119
- Title: To amend the Internal Revenue Code of 1986 to provide for special rules allowing taxpayers to deduct qualified passenger vehicle loan interest paid or accrued during the taxable year on certain indebtedness, and for other purposes.
- Status: introduced
- Introduced: 2025-05-15
- Sponsor: Rep. Kelly, Mike [R-PA-16] (R-PA)
- Cosponsors: 1
- Policy area: Taxation
- Touches household money: yes
- Last recorded action: 2026-04-21

## Summary

**Creates a temporary rule to make interest on new personal passenger vehicle loans partially deductible as an above-the-line tax deduction for certain buyers.** The change would apply to vehicles bought after December 31, 2024, and run through 2028 with income limits and reporting rules.

## Cosponsors (1)

- Rep. Huizenga, Bill [R-MI-4] (R-MI), 2025-05-15T00:00:00.000Z

## Provisions PRIA read

- Tax break for car loan interest: benefit, high. This bill would let you deduct up to $10,000 per year of interest on a qualifying passenger vehicle loan for tax years 2025 through 2028. The deduction would work even if you do not itemize. Your loan must start after December 31, 2024, be for personal use, and be secured by a first lien. Cars, SUV…
- New reporting for car loan interest: cost, low. Businesses that receive $600 or more in interest from one person in a year would need to file a report with the IRS. The report would list the person's name, address, interest paid, outstanding principal, loan date, and vehicle details. The business would also have to send the borrower a statement…

## Related bills

- 119-hr-9237: Take Care of America’s Veterans Act
- 119-hr-4393: DIGNIDAD (Dignity) Act of 2025
- 119-hr-3151: SHIPS for America Act of 2025
- 119-hr-2725: Affordable Housing Credit Improvement Act of 2025
- 119-hr-3132: CHOICE for Veterans Act of 2025
- 119-hr-4669: FEMA Act of 2025

## Sources
- [119-hr-3450 on Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/3450)

## Related
- [119-hr-9237: Take Care of America’s Veterans Act](https://policyrisk.com/legislation/119-hr-9237)
- [119-hr-4393: DIGNIDAD (Dignity) Act of 2025](https://policyrisk.com/legislation/119-hr-4393)
- [119-hr-3151: SHIPS for America Act of 2025](https://policyrisk.com/legislation/119-hr-3151)
- [119-hr-2725: Affordable Housing Credit Improvement Act of 2025](https://policyrisk.com/legislation/119-hr-2725)
- [119-hr-3132: CHOICE for Veterans Act of 2025](https://policyrisk.com/legislation/119-hr-3132)
- [119-hr-4669: FEMA Act of 2025](https://policyrisk.com/legislation/119-hr-4669)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-hr-3450 (as of 2026-04-21).