Representatives Rudy Yakym of Indiana and Dina Titus of Nevada have reintroduced the Travel Trailer and Camper Tax Parity Act, a measure aimed at addressing a technical issue within the 2017 Tax Cuts and Jobs Act.
The legislation seeks to ensure that RV dealers can fully deduct interest on floor plan financing for all types of recreational vehicles, including towable trailers, which constitute 88% of RV sales.
“Indiana’s Second District is the home of the ‘RV Capital of the World,’ an essential part of our local economy,” Congressman Yakym said in a press release.
“I am proud to reintroduce this sensible and bipartisan legislative solution along with Congresswoman Titus that will support the continued growth of the RV industry and ensure Americans can enjoy the natural beauty of our nation through RV travel and outdoor adventures for generations to come.”
The proposed legislation addresses what its sponsors describe as a drafting error in the 2017 law.
Currently, the tax code does not allow full interest deductions for financing towable RVs, creating what the RV Industry Association (RVIA) has called “unnecessary and unintended financial strain” for dealers specializing in these products.
This legislation would place RVs on equal footing with other sectors of the recreational vehicle market.
Congresswoman Titus emphasized the broader appeal of RV travel, stating, “Many families and tourists across the country find the best way to explore our nation’s national parks and beautiful natural landscapes is from an RV.
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.”
Craig Kirby, president and CEO of the RVIA, expressed strong support for the measure, highlighting its potential benefits for the industry.
“By ensuring dealers can fully deduct the interest on their floor plan financing for all units, this legislation will help RV travel trailer dealers stay competitive, drive industry growth, and support the millions of Americans who embrace RV travel as a way of life.”
”We strongly encourage Congress to act quickly and pass this important legislation to secure the continued success of the all-American RV industry.”
The reintroduction of the bill underscores its importance to both legislators and industry stakeholders, who argue that its passage would rectify an oversight and support sustained growth within the RV sector.
