Sen. Bernie Moreno (R-OH) is introducing legislation that would fulfill President Donald Trump’s promise to allow people to write off interest on vehicles that are manufactured in the United States.
The bill, titled the “United States Automobile Consumer Assistance and Relief Act” or the “USA CAR Act,” would “amend the Internal Revenue Code of 1986 to allow a deduction for qualified automobile interest.”
During a recent interview on Fox News, Moreno explained that Trump was “saving autoworkers and steelworkers and the middle class” in the U.S. by allowing people to write off interest payments on loans for U.S.-made automobiles.
“First, let me just tell you that on Monday, we are introducing legislation to do what President Trump said, which is to make interest on autos purchased — that are made in America — deductible,” Moreno explained. “So, we are going to do that on Monday. What President Trump is doing is he’s saving autoworkers and steelworkers and the middle class in this country.”
Moreno added that “for forty, fifty years,” the industrial sector in the U.S. was “gutted because of terrible trade deals.”
“If you sell a car in America, you’re going to make it in America,” Moreno added. “The reality is, the tariffs will hit primarily very expensive automobiles. In effect, that’s a tax on the wealthy. You would think the Democrats would be in support of that. But, when it comes to the cars that middle class Americans buy, those cars will be made right here in America and the cost is going to go down because we’re going to get rid of all these electric vehicle mandates.”
Breitbart News’s Nick Gilbertson reported that Trump had announced he had spoken to House Speaker Mike Johnson (R-LA) and Senate Majority Leader John Thune (R-SD) about his plan to allow Americans to write off loan interest of U.S.-made vehicles.
“We’re going to do something that has never been done in this country before … if you buy a car in the United States, that’s made in the United States — if it’s manufactured here, when you borrow money, if you borrow money, you have interest payments — we’re going to let you deduct the interest payment for income tax reasons,” Trump explained.
The proposed plan from Trump comes as he is set to impose 25 percent tariffs on all vehicles imported in the United States. The tariffs are set to go into effect on April 2.
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