Rep. Chris Pappas has taken a leading step that will hopefully lead to the repeal of the Federal Excise Tax, a 12% a congressional imposed tax on the retail sale of most new heavy-duty trucks. Pappas crafted a letter to the leadership of the powerful Ways and Means Committee. The letter was co-signed by several other members of congress and asks that the committee “consider phasing out the 12 percent Federal Excise Tax (FET) on heavy-duty trucks and replacing it with alternative sources of revenue while ensuring all users pay their fair share.”
The NHADA members and staff have flown out several times to Washington, D.C. to push for the repeal of the FET along with other important matters. American Truck Dealers (ATD) and the National Auto Dealers Association (NADA) have made the repeal a legislative priority.
“I am very grateful that Rep. Pappas has taken this significant step,”
said MaryBeth Alosa, Kenworth of New England and an NHADA Board member.
“This tax imposes an unfair burden purchasers of new heavy duty trucks.”
Rep. Pappas visited Kenworth of New England’s facility in Concord, NH last year to learn more about the trucking business and the FET. Alosa and other NHADA members also visited Rep. Pappas during several fly-ins over the past 18 months.
“The NHADA greatly appreciates Rep. Pappas taking up the call to repeal the FET,” said Pete McNamara NHADA President. “The FET has been the most inconsistent source of revenue to the highway trust fund (HTF) over the past 20 years. The FET delays the purchase of cleaner, safer and more fuel-efficient trucks.”
Sen. Hassan Votes to support the USMCA
Sen. Shaheen will support the bill on the Senate Floor
Congress is one another step closer to passing a new North American trade deal. The Senate Finance Committee Tuesday voted to advance the United States-Mexico-Canada Agreement (USMCA), the modernized trade agreement to replace NAFTA. NH’s Junior Senator, Maggie Hassan, sits on the powerful Finance Committee and voted to pass the USMCA. Sen. Shaheen reached out to NHADA President Pete McNamara to let him know that she will be supporting the USMCA when the bill is voted on the Senate floor.
“In terms of competition, the USMCA boosts American businesses by modernizing our current trade agreement, which pre-dated internet commerce, to protect the flow of digital trade and to better safeguard intellectual property.” Senator Hassan said.“In addition…the deal cuts costs for small businesses by increasing the share of shipments to Canada and Mexico with duty-free status. Further, the USMCA removes long-standing trade barriers that have prevented dairy farmers in New Hampshire and other states from accessing the Canadian market.”
The NADA and AIADA both supported passage of the USMCA
“Congress should pass USMCA to preserve competition in the auto industry, and to enable dealers to continue providing affordable vehicles to millions of Americans without interruption – and they should do so expeditiously,” said National Automobile Dealers Association (NADA) 2019 Chairman Charlie Gilchrist.
The USMCA deal “...is positive news for America’s international nameplate dealers and their 578,000 employees,” said American International Auto Dealers association Chairman Howard Hakes. “It removes the cloud of uncertainty that has hovered over North American trade and production, and opens up a path to prosperity and stability.”