Heavy-duty truck dealers and trade association executives from across the county traveled to the nation's Washington DC to gain congressional support for H R 2946, a new bill that would repeal the federal excise tax (FET) on the retail sale of most heavy-duty trucks, tractors and trailers. The American Truck Dealers’ two-day legislative briefing and fly-in included 92 meetings with lawmakers on Capitol Hill.
"The 12% federal excise tax on heavy-duty trucks is the highest percentage rate of any federal excise tax that Congress levies, and it adds $12,000 to $22,000 to the price of a new heavy-duty truck," said ATD Chairman Steve Parker. "The FET depresses new heavy-duty truck sales and delays the deployment of cleaner, safer and more fuel-efficient trucks."
HR 2946, "Heavy Truck, Tractor and Trailer Retail Federal Excise Tax Repeal Act of 2017," was introduced by US Rep. Doug LaMalfa (R-CA) on June 20.
"The excessive 12% federal excise tax on heavy trucks adds tens of thousands of dollars to truck purchases and directly impacts the cost of food, consumer goods, and other products Americans need,” Rep LaMalfa said. “Even worse, truck owners large and small pay this tax whether a truck is driven 100,000 miles or never driven at all, forcing them to pay taxes on an investment that may not be generating any revenue.
"Repealing the truck tax will help small businesses invest in new equipment while jump-starting domestic manufacturing, and Congress should address this issue as we consider how to reform our outdated tax code."
Parker added: "Congress should include H R 2946 in the upcoming tax reform bill. A repeal of the FET will spur new-truck sales and get our economy moving. We commend Congressman LaMalfa for his leadership on this important issue."
The measure now heads to the House Ways and Means Committee. Other ATD legislative priorities this year include comprehensive tax reform and issues such as estate tax repeal and preserving the Like-Kind Exchange tax provision.