Analysis of rapid variability at 4.85 GHz for the BL BLac object 0925+504 is presented and discussed. The structure functions (SF) are investigated with both refractive and weak interstellar scintillation (RISS/WISS) models analytically. Parameters obtained with these models are quantitatively compared, suggesting that the emission region of IDV is remarkably compact and the responsible interstellar scintillation medium (ISM) lies very close to the observer. Furthermore possible evidence of annual modulation of the variability timescales is detected in this source. Our findings indicate that the observed rapid variability in 0925+504 is predominantly caused by a scattering screen located along the line of sight to the source, at a distance of ∼110pc to the observer.