Representatives Blake Moore and Norma Torres introduced bipartisan legislation on Mar. 18 to expand floor plan financing tax deductions to include semi-trailer dealerships.
The proposed Semi-Trailer Tax Parity Act aims to address a gap in the current federal tax code, which allows automobile, truck, and recreational trailer dealerships to fully deduct interest paid on floor plan financing but does not extend this benefit to semi-trailer dealers. Supporters say this has placed semi-trailer dealerships at a disadvantage compared to other vehicle dealers.
Moore said, “Our federal tax code should be designed to support small businesses and encourage companies to reinvest in their own success. Semi-trailers are a critical component of nearly every sector of the economy and are essential for transporting a wide range of goods, including online orders and life-saving medicines, across the country. I’m proud to introduce the Semi-Trailer Tax Parity Act to allow semi-trailer dealers the same floor plan financing deduction that all other motor vehicle dealerships have access to.”
Torres said, “Semi-trailers play a vital part in moving goods through the Inland Empire and to the rest of America. Yet semi-trailer dealerships are treated differently under the tax code versus other vehicle dealerships, which causes strained finances for business owners and fewer choices for customers. That is why I am co-leading this bill to ensure tax parity for semi-trailer dealers in my district and nationwide.”
Gwendolyn Brown, President of the National Trailer Dealers Association, said, “The National Trailer Dealers Association is grateful for the support of Representatives Moore and Torres in crafting this bipartisan legislation that is critical for floor plan tax parity for semi-trailer dealers.” Paul Christenson, President of North American Trailer in Utah, added, “We appreciate Rep. Moore and Rep. Torres sponsoring this bill to bring parity to the deductibility of inventory interest for all motor vehicle dealers. Under the current tax structure, a semi-trailer dealer could lose money and still be required to pay taxes. The Semi-Trailer Tax Parity Act will thankfully resolve this issue for a vital part of the transportation industry.”
Under Section 163(j) of the Internal Revenue Code (IRC), businesses can generally deduct business interest expenses up to 30% of their adjusted taxable income. Congress previously enacted exclusions allowing full deduction on floor plan financing interest payments only for certain types of dealerships; this new act would add truck trailers, semi-trailer chassis, and bodies into that definition.
Blake Moore is currently serving in Congress representing Utah’s 1st district after replacing Rob Bishop in 2021 according to official records. He has served since 2021 according to congressional data. Moore was born in Ogden, Utah in 1980 and now lives in Salt Lake City according to his official biography. He graduated from the University of Utah with a Bachelor’s degree in 2005 according to university records.
