Direct deposit: All taxpayers receiving refunds for 2025 must provide direct deposit information on their tax return. If it is not provided, the IRS will process the return but will not issue a refund. Instead they will send a notice asking for the reason the direct deposit information was not provided. Taxpayers can request an exception if they do not have access to banking such as living in a rural area with limited financial services or other limited hardships. The current estimate for this additional step is an additional six week delay in receiving a refund.
Loan Interest: For the next five years there is an above the line deduction for interest paid on a car loan. This amount can be up to a $10,000 deduction for a new car purchased for personal use after December 31, 2024 and before January 1. 2029. It cannot be a used car and cannot be a lease and final assembly must have occurred in the United States.
