This week, Rep. Congressman Rudy Yakym (R-Indiana) and Rep. Dina Titus (D-Nevada) introduced H.R. 3624, the Travel Trailer and Camper Tax Parity Act. The bill makes a fix to the 2017 Tax Cuts and Jobs Act so that RV dealers can fully deduct the interest on their floorplan financing for all the RVs they sell, including non-motorized towable trailers, which they cannot currently do.
Non-motorized towables account for 88% of all RVs sold.
Under current law and how motor vehicles are defined, floorplan interest on travel trailers/towable units are subject to a 30% limitation on interest expenses based on earnings before interest and taxes. The RV industry has been advocating for this fix 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.
“As the representative from the ‘RV Capital of the World,’ I know just how important the RV industry is both to our regional economy and our way of life in Indiana,” said Congressman Yakym. “I am proud to introduce this commonsense and bipartisan legislative solution along with Congresswoman Titus to help ensure the RV industry thrives for years to come and so Americans can enjoy the great outdoors from an RV and experience all the natural beauty our country has to offer.”
“Many families and tourists from across the country feel that the best way to explore Nevada’s natural landscapes and diverse flora and fauna is from an RV,” said Congresswoman Titus. “This bipartisan legislation would help RVs stay competitive with other elements of the recreation industry and allow even more people to explore our country in this unique way.”
For more details and to read the bill that’s been put forth, click here.