Details Emerge on Bill Repealing Truck Excise Tax

Details on a bill repealing the 12-percent excise tax on heavy trucks and trailers have been released weeks after the bill was announced.  

The bill — the Modern, Clean and Safe Trucks Act of 2023 — was introduced March 8 by Sen. Todd Young (R-Ind.), but the text for it was only released this week. Along with cutting the IRS-required excise tax for heavy trucks and trailers at retail, the bill also tweaks some related mandates. 

For example, it carves out an exception for tires used in mobile machinery, which it defines as a vehicle chassis that is designed for hailing only specialized materials, rather than general loads. The document also cuts references to the excise tax from other federal regulations to avoid confusion.   

The tax, introduced in 1917 to offset World War I costs, “significantly increases the cost of new heavy-duty trucks, tractors and trailers,” according to the bill’s text. 

A bill to repeal the tax was also introduced last year but it died in committee.