Walorski introduces bill to help RV industry

Truth file photo Keystone RV employees push a trailer down the manufacturing line in Goshen. U.S. Rep. Jackie Walorski, R-IN-2, Tuesday introduced a bill that would restore inventory interest deductibility for towable RVs.

WASHINGTON, D.C. — U.S. Reps. Jackie Walorski, R-IN-2, and Stephanie Murphy, D-FL-7, Tuesday introduced the bipartisan Travel Trailer and Camper Tax Parity Act (H.R. 4349) to restore inventory financing interest deductibility for all types of RVs, including travel trailers and campers.

“Businesses across the country – including RV and trailer manufacturers in my district – are investing, expanding, and hiring more workers as a result of tax reform,” Walorski said. “The Travel Trailer and Camper Tax Parity Act will fix an unintended consequence of one provision that’s putting certain RVs at a disadvantage.

Walorski said this is a technical correction that is normal part of the process when Congress enacts major reforms such as the Tax Cuts and Jobs Act of 2017. 

“This bipartisan, commonsense RV floor plan tax fix will provide certainty for small businesses and manufacturers, and it will ensure the RV industry can fully unlock the benefits of tax reform and keep our nation’s economic momentum going,” said Walorski.

Under President Donald Trump’s tax bill, interest paid on RV dealer inventory inadvertently excluded non-motorized travel trailers, said Walorski. The House and Senate versions of tax reform legislation specifically intended to include towable RVs as motor vehicles, but the final version of the Tax Cuts and Jobs Act simplified the definition of motor vehicles.

As a result, the full tax exemption now only applies to RV motorhomes, putting the RV travel trailer industry at a disadvantage and forcing larger dealers to use different accounting rules for trailers and motorhomes. According to the RV Industry Association, approximately 88 percent of RVs sold are travel trailers. Shipments of towable RVs were down by 20,4 percent in July 2019 compared to July 2018. Motorhome shipments were down 22.4 percent in the same period, according to RVIA.

The Travel Trailer and Camper Tax Parity Act would restore the full deductibility of inventory financing interest for all types of RVs, including motorhomes, travel trailers and campers.

(5) comments

raindrop

Wonder what kind of kick back she got from this one. Seems like shes just appeasing her donors...


Joe King

tax brake? Really? They need to pay their fair share like every other business does...


sidearm

Joe, why do you hate business? The law will even the playing field for dealers. They should be able to write off interest charges for inventory like every other business in America. How Elizabeth Warren of you.


Joe King

Sidearm, why do you hate capitalism? I thought you were against handouts and special treatment? Why does the RV industry get a tax break over other businesses? Why did Trumps tax cuts for individuals stop while those for businesses and the 1% continue? Tell me, what public services are the RV industries willing to stop using? Fire, Police Sewer? The roads around here are terrible...why isn't the RV industries paying more for the damage to the roads? Why the RV and not other businesses? So much for fair trade....


Leeet

Ms Walorski has a good thing going by staying the marionette....is anyone keeping score? Visits in her district to Businesses touting her 'Bi-Partisan bills' - vs - visits to public forums/appearances touting her 'work for the people'........


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