Qualified Vehicle Loan Interest Worksheet: Qualified Vehicle Loan Interest Worksheet for 40NR (Revision)
Alabama · Alabama DOR · Used for tax years 2025
The Qualified Vehicle Loan Interest Worksheet calculates the qualified vehicle loan interest deduction for Form 40NR. It uses amounts from Schedule A or a vehicle loan spreadsheet and Form 40NR to determine the deduction entered on Schedule A, line 11c.
What you'll need
Have these available to complete the worksheet:
- Schedule A, lines 11a and 11b, or the total from your vehicle loan spreadsheet.
- Form 40NR, line 12, column B.
Questions people ask
What amount do I start with?
On line 1, enter the sum of Schedule A, lines 11a and 11b, or the total from your vehicle loan spreadsheet. On line 2, enter the smaller of that amount or $10,000.
What amounts go on lines 3 and 4?
On line 3, enter the amount from Form 40NR, line 12, column B. On line 4, enter $100,000, or $200,000 if married filing jointly.
What if line 3 minus line 4 is zero or less?
Enter the amount from line 2 directly on line 8.
How do I calculate the reduction if line 5 is positive?
Divide line 5 by $1,000 and enter the result on line 6. If the result is not a whole number, round it up to the next whole number. For example, 1.5 becomes 2, and 0.05 becomes 1. Multiply line 6 by $200 and enter that amount on line 7.
Where do I enter the final deduction?
On line 8, subtract line 7 from line 2, unless line 5 directed you to use line 2 directly. If the subtraction result is zero or less, enter zero. Transfer the line 8 amount to Form 40NR, Schedule A, line 11c.