Substantiation Requirements and Qualified Nonpersonal Use Vehicles

Document Headings Document headings vary by document type but may contain the following: the agency or agencies that issued and signed a document the number of the CFR title and the number of each part the document amends, proposes to amend, or is directly related to the agency docket number / agency internal file number the RIN which identifies each regulatory action listed in the Unified Agenda of Federal Regulatory and Deregulatory Actions See the Document Drafting Handbook for more details. Department of the Treasury Internal Revenue Service 26 CFR Part 1 [TD 10043] RIN 1545-BQ83 AGENCY: Internal Revenue Service (IRS), Treasury. ACTION: Final regulation. SUMMARY: This document contains final regulations relating to the definition of qualified nonpersonal use vehicles. Qualified nonpersonal use vehicles are excepted from the substantiation requirements that apply to certain listed property. These final regulations add unmarked vehicles used by firefighters or members of a rescue squad or ambulance crew as a new type of qualified nonpersonal use vehicle. These final regulations affect governmental units that provide firefighter or rescue squad or ambulance crew member employees with unmarked qualified nonpersonal use vehicles and the employees who use those vehicles. DATES: Effective date: These final regulations are effective on March 20, 2026. Applicability date: § 1.274-5(k)(2)(ii)(S), (k)(7), (k)(9)(v) and references to § 1.274-5(k)(9) in § 1.132-5(h) apply to taxable years ending on or after March 20, 2026. FOR FURTHER INFORMATION CONTACT: Stephanie Caden at (202) 317-4774 (not a toll-free number). SUPPLEMENTARY INFORMATION: Authority These final regulations are issued under the authority granted to the Secretary of the Treasury or his delegate (Secretary) by sections 274(p), 132(o), and 7805(a) of the Internal Revenue Code (Code). Section 274(p) provides the Secretary with an express grant of authority to prescribe such re…