Notice 2025-57: Transitional guidance for businesses required to report interest received on qualified passenger vehicle loans
Businesses may satisfy reporting obligations for interest received in 2025 by providing statement to individual.
The IRS today released Notice 2025-57 providing transitional guidance for businesses required to report interest received on qualified passenger vehicle loans under new section 6050AA, as enacted under Pub. L. No. 119-21 (known as the “One Big Beautiful Bill Act” (OBBBA)). The notice provides that businesses may satisfy such reporting obligations for such interest received in 2025 by making a statement available to the individual indicating the total amount of interest received in calendar year 2025:
- On an online portal that the buyer can easily access,
- In a regular monthly statement,
- On an annual statement that is provided to the buyer, or
- By other similar means, designed to provide accurate information to the buyer regarding interest received.
As explained in the related IRS release—IR-2025-105 (October 21, 2025)—section 6050AA allows individual taxpayers to deduct interest paid on a qualified passenger vehicle loan during a taxable year beginning after December 31, 2024, and before January 1, 2029, provided the loan is incurred after December 31, 2024, and the vehicle is purchased for personal use. A qualified passenger vehicle is a car, minivan, van, SUV, pick-up truck, or motorcycle, with a gross vehicle weight rating of less than 14,000 pounds, and that has undergone final assembly in the United States. Businesses that receive from any individual interest of $600 or more for any calendar year on a qualified passenger vehicle loan must file an information return reporting the receipt of the interest.