A bill to amend the Internal Revenue Code of 1954 to permit certain deductions for interest payments on automobile indebtedness to be used in determining adjusted gross income.

Amends the Internal Revenue Code to extend the income tax deduction for interest paid on indebtedness to non-itemizing taxpayers for that portion of their interest expenses which is attributable to the cost of a new fuel-efficient passenger automobile purchased after April 27, 1981, and before January 1, 1983.