What is the Federal Excise Tax?
The Federal Excise tax was a way to help fund military vehicles back in the early 1900’s by taxing Heavy trucks with 3%. It’s still around to this day and has grown to 12%.
The tax adds an additional 22,000 dollars to the price of a new truck and or trailer, when making a purchase.
Due to Covid-19, the struggle to escape from this economic crisis is real and House Lawmakers would like to suspend the tax to give relief to the trucking industry. If the suspension goes through, trucking companies can purchase new vehicles to help add jobs and boost the economic flow during these hard times.
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