The National Truck Equipment Association (NTEA) joined National Auto Dealers Association, American Trucking Associations and more than 100 other state and local organizations to ask that Congress suspend the 12% Federal Excise Tax (FET) on heavy trucks and trailers through 2021 as they consider additional legislation to respond to the coronavirus pandemic and assist with U.S. economic recovery.
Congress is expected to consider another economic recovery bill this summer. Urge your legislators to include FET suspension in future coronavirus-related legislation to help retain industry jobs, spur new truck sales, and promote deployment of cleaner, safer trucks.
Points to consider:
- The average age of a truck on the road today is almost 10 years old.
- The 12% FET on heavy trucks and trailers is the highest excise tax in the nation.
- FET has grown from 3% to 12% since it was instituted in 1917 to help fund World War I. Today, it routinely adds $12,000 to 22,000 to the cost of a newer, safer, cleaner and domestically produced truck.
Suspending FET will help:
- Keep the nation well supplied and rebuild America’s vital truck manufacturing industry and related employment.
- Improve highway safety by accelerating the purchase of new trucks with the latest safety improvements.
- Benefit the environment by ensuring quicker deployment of cleaner and more fuel-efficient trucks.
"NTEA believes that suspending the FET at this time would serve as an effective incentive to increase the sale of safer and cleaner trucks while helping to retain domestic-based manufacturing jobs and rebuild the economy," says Steve Carey, president, NTEA.
You are urged to contact your representative or senator and weigh in on the topic.