Sen. Young introduces bill to repeal federal excise tax on heavy trucks

Submitted by Office of U.S. Senator Todd Young

Young

On Tuesday, U.S. Senators Todd Young (R-Ind.) and Angela Alsobrooks (D-Md.) introduced the Modern, Clean, and Safe Trucks Act to repeal the 12 percent federal excise tax on heavy trucks.

The 12 percent excise tax on heavy trucks is the highest excise tax levied on any product in the country. By adding as much as $15,000 to $30,000 to the cost of a new heavy truck, trailer, semitrailer chassis, or tractor, the tax makes it more expensive for trucking companies and independent operators to modernize their fleets. Additionally, because the tax applies only to new vehicle purchases and not used trucks, it creates an incentive to keep older vehicles on the road longer, slowing the adoption of newer trucks that are safer and more fuel-efficient.

“Repealing this tax is a simple step that can help the American trucking industry and consumers,” Sen. Young said. “This tax hurts the small businesses and independent truckers that are the core of American trucking, and it promotes the usage of older, less efficient trucks. Cutting the federal excise tax on heavy-duty trucks and trailers will lead to newer, safer, and cleaner trucks on America’s roads.”

Click here to read the full text of the bill.