Earlier this year, U.S. Representatives Rudy Yakym and Dina Titus introduced the Travel Trailer and Camper Tax Parity Act (H.R. 332), a bipartisan bill aimed at supporting RV dealers nationwide. The bill would enable all RV dealers to fully deduct the interest on floorplan loans for non-motorized towable trailers, which account for 88% of all RV sales.
A companion bill to the Tax Parity Act (S.1314) was introduced in the Senate on Monday, April 7, by Senators Joni Ernst of Iowa, Angus King of Maine and Todd Young of Indiana. Identical to the House version, the bill seeks to amend the Internal Revenue Code of 1986 to provide that floorplan financing includes the financing of certain RV trailers. Indiana’s Senator Jim Banks has already joined as a cosponsor.
Why It Matters
All 50 states define and regulate towable RVs and campers as motor vehicles. Though a small fix, this bill ensures that motorized and non-motorized campers and travel trailers are treated the same under the U.S. tax code.
Currently, under the Tax Cuts and Jobs Act, floorplan interest on travel trailers/towable units are subject to a 30% limitation on interest expenses, based on earnings before interest and taxes, for dealers with more than $29 million in annual sales. The RV Industry Association and RV Dealers Association are working together to advocate for this legislation to ensure that all segments of the RV industry are treated fairly by allowing floorplan financing interest charges on towable RVs to be a deductible expense.
A New Grassroots Tool
In March, the RV Industry Association and RV Dealers Association partnered to activate a new grassroots advocacy tool that enables RV dealers to quickly send letters to their members of Congress, asking them to co-sponsor the bill. Dealers receive an email, with a link to the tool, where they can easily input their information to match with their members of Congress. It’s vital for members of the House and Senate to hear from dealer constituents who support this legislation.
As of mid-April 2025, over 75 dealers spanning 25 states have engaged with the grassroots tool.
The RV Industry Association and RV Dealers Association said they look forward to continuing their partnership on this important legislative effort to ensure all segments of the industry are treated fairly.
“This important legislation corrects a long-standing discrepancy that has unfairly impacted RV dealers, “ said Michael Happe, Winnebago Industries president and CEO, in a press release. “By restoring full deductibility of interest on financing for all RV units, S. 1314 levels the playing field and ensures that our dealers can compete on equal footing with other recreational product markets.”
“We applaud Senators Ernst, King and Young for their bipartisan leadership in reintroducing the RV tax parity bill,” said Craig Kirby, president and CEO of the RV Industry Association. “This important legislation corrects a long-standing oversight that excluded travel trailers from the definition of motor vehicles. By making this commonsense fix, RV dealers nationwide will be able to stay competitive, drive industry growth, and continue to support the millions of Americans who love to get outside and embrace the RV lifestyle.”
Contact the RV Industry Association’s Director of Federal Affairs Samantha Rocci at srocci@rvia.org or Legislative Associate Gianna Dinnini at gdinnini@rvia.org for more information.
