Congressional support for H.R. 2946 – a bill that would repeal the federal excise tax (FET) on the retail sale of most heavy-duty trucks, tractors and trailers – is gaining traction on Capitol Hill.
The measure, “Heavy Truck, Tractor and Trailer Retail Federal Excise Tax Repeal Act of 2017,” was introduced by U.S. Rep. Doug LaMalfa (R-Calif.) on June 20. The House cosponsors, to date, are Rep. Ralph Abraham (R-La.); Rep. Vern Buchanan (R-Fla.); Rep. Matt Gaetz (R-Fla.); Rep. Clay Higgins (R-La.); Rep. Francis Rooney (R-Fla); and Rep. Roger Williams (R-Texas).
The 12-percent 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.
“We are urging the American Truck Dealers (ATD) membership to call or email their House members today and ask them to cosponsor H.R. 2946,” said ATD Chairman Steve Parker. “The summer congressional recess is an ideal time to invite a member of Congress to your truck dealership or meet with them at their district office.”
On June 21-22, truck dealers and trade association executives from across the country traveled to the nation’s capital for ATD’s two-day legislative briefing and fly-in at the Trump International Hotel, which included 92 Capitol Hill meetings. Rep. LaMalfa spoke to fly-in attendees during a meeting on June 22.
“The excessive 12-percent 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. 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,” Rep. LaMalfa said.
“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while jump-starting domestic manufacturing, and Congress should address this issue as we consider how to reform our outdated tax code,” Rep. LaMalfa added.