{"version":"1.0.0","episode":{"title":"Feb. 20, 2026 | SCOTUS strikes down Trump tariffs; understanding IRS negative equity decision","url":"http://getcarcurious.com/episodes/feb-20-2026-scotus-strikes-down-trump-tariffs-understanding-irs-negative-equity-decision","audioUrl":"https://dts.podtrac.com/redirect.mp3/www.buzzsprout.com/2447022/episodes/18719857-feb-20-2026-scotus-strikes-down-trump-tariffs-understanding-irs-negative-equity-decision.mp3","description":"Automotive News reporter John Irwin discusses the Supreme Court’s decision to strike down many Trump tariffs as unconstitutional, and what happens next for the billions paid by the auto industry. Volkswagen workers in Chattanooga ratify their first UAW contract in a landslide. Plus, a look at why the IRS is excluding negative equity from the new auto loan interest deduction and whether that could change."},"annotations":[{"startTime":172.6,"endTime":175.5,"type":"brand","title":"Toyota","url":"/glossary/toyota","quote":"Toyota's Andrew Gilliland warned in January that further increases are coming...","canonicalId":"brand:toyota","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Toyota is a major Japanese automotive manufacturer known for producing reliable vehicles and innovative technologies.","simplifiedExplanation":"Toyota is a well-known car company from Japan that makes many popular cars and trucks."}},{"startTime":183.7,"endTime":185.98,"type":"brand","title":"Volkswagen","url":"/glossary/volkswagen","quote":"And Volkswagen workers in Chattanooga","canonicalId":"brand:volkswagen","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Volkswagen is a German automaker recognized for its iconic models like the Beetle and Golf, as well as its commitment to electric vehicle technology.","simplifiedExplanation":"Volkswagen is a car company from Germany that makes a variety of vehicles, including popular models like the Golf and Jetta."}},{"startTime":639.4,"endTime":645.7,"type":"concept","title":"One Big Beautiful Bill Act","url":"/glossary/one-big-beautiful-bill-act","quote":"Basically, last year, Congress passed and President Trump signed the One Big Beautiful Bill Act, which had a lot of tax changes. And one of them that they added was a, you could deduct auto loan interest on American-made vehicles.","canonicalId":"concept:one-big-beautiful-bill-act","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"The One Big Beautiful Bill Act refers to a piece of legislation that included various tax changes, including provisions related to auto loans. It is significant for consumers as it allows for the deduction of auto loan interest on certain vehicles, which can reduce the overall cost of purchasing a car.","simplifiedExplanation":"The One Big Beautiful Bill Act is a law that made changes to taxes, including a benefit for people buying cars. It lets you deduct some of the interest you pay on car loans if the car is made in America, which can save you money."}},{"startTime":743.1,"endTime":749.9,"type":"term","title":"negative equity","url":"/glossary/negative-equity","quote":"but you can't do negative equity. And what's tough about that is that there's, a lot of people do have negative equity rolled into their car loan, especially if you bought, maybe in the last couple of years, when prices were kind of elevated...","canonicalId":"term:negative-equity","priority":0.9,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Negative equity occurs when the amount owed on a vehicle loan exceeds the vehicle's current market value. This situation can arise when a car depreciates faster than the loan is paid down, leaving the owner in a position where they owe more than the car is worth.","simplifiedExplanation":"Negative equity means you owe more money on your car loan than what your car is currently worth. This can happen if the car loses value quickly or if you haven't paid down much of the loan yet."}},{"startTime":756.6,"endTime":759.3,"type":"term","title":"trade-in vehicle","url":"/glossary/trade-in-vehicle","quote":"...you might still owe more on the trade-in vehicle than your car is worth, than that car is actually worth. So you're rolling into the new loan.","canonicalId":"term:trade-in-vehicle","priority":0.5,"confidence":0.85,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"A trade-in vehicle is a car that a seller offers to a dealership as part of the payment for a new vehicle. The value of the trade-in is deducted from the price of the new car, which can help reduce the amount financed.","simplifiedExplanation":"A trade-in vehicle is a car you give to a dealership when buying a new car. The dealership gives you money for your old car, which helps lower the price of the new one."}},{"startTime":794.1,"endTime":797.1,"type":"term","title":"principal interest","url":"/glossary/principal-interest","quote":"you make your car payment, and it says your, I would imagine your principal interest, but it doesn't say what the interest is actually, it's not itemized like that.","canonicalId":"term:principal-interest","priority":0.5,"confidence":0.8,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"Principal interest refers to the original amount of money borrowed (the principal) and the cost of borrowing that money (the interest). Understanding this helps car buyers know how much they are actually paying for their vehicle over time.","simplifiedExplanation":"Principal interest is the total amount you owe on a loan, which includes the original money you borrowed and the extra money you pay as a fee for borrowing it. It's important to know how much you are really paying for your car."}},{"startTime":804.5,"endTime":807.7,"type":"term","title":"service contract","url":"/glossary/service-contract","quote":"So somebody's going to have to figure out how it's, the good news for dealers is the service contract being deductible is interest is huge because that too is usually financed as part of a loan.","canonicalId":"term:service-contract","priority":0.5,"confidence":0.9,"source":"hybrid-fuzzy+gpt-4o-mini","data":{"explanation":"A service contract is an agreement that covers the cost of certain repairs and maintenance for a vehicle after the manufacturer's warranty expires. It can provide peace of mind for car owners by helping to manage unexpected repair costs.","simplifiedExplanation":"A service contract is like an insurance policy for your car that pays for repairs after the original warranty runs out. It helps you avoid big repair bills if something goes wrong with your car."}}],"speakers":[{"id":"s1","name":"Automotive News","role":"host"}],"transcripts":[{"url":"http://getcarcurious.com/episodes/feb-20-2026-scotus-strikes-down-trump-tariffs-understanding-irs-negative-equity-decision/transcript.vtt","type":"text/vtt"}]}