2019 RVIA Economic Impact Study

RVs Move America infographic

RVs Move America Economic Impact Study was released June 3, 2019 at the RVIA annual meeting.

It revealed the RV industry has an overall economic impact on the US economy of $114 billion, supports nearly 600,000 jobs, with more than $32 billion in wages, and pays more than $12 billion in federal, state, and local taxes.

The announcement was made by Garry Enyart, RVIA chairman, and Onan/Cummins Director of Mobile Generator Sales & Coach Care.

For more information on the $114 billion total economic impact and what it includes, click here.

RVIA Pushes Congress to Resolve Floor Plan Issue

Tue Nov 26, 2019
Author: RVIA Staff

157478154985648.jpgUnder current law, an exemption for interest paid on dealer inventory applies only to RV motorhomes to the detriment of the RV travel trailer segment of the industry. More specifically, the tax exemption applies to “self-propelled” vehicles. Approximately 85 percent of RVs sold are non-motorized travel trailers. Consequently, almost an entire class of RVs are excluded from the full tax deduction.

This is particularly problematic for larger dealers who must now adopt different accounting rules for trailers and motorhomes.

The good news is that there is bipartisan support in the House and Senate for legislation to amend the problematic language that limits the deductibility of the RV trailer dealer’s floor plan costs. U.S. House Rep. Jackie Walorski (R-IN-2), co-chair of the House RV Caucus, and Rep. Stephanie Murphy (D-FL-7), have introduced H.R.4349, the Travel Trailer and Camper Tax Parity Act, to ensure that towable RVs are included in the floor plan interest financing deductibility provisions. U.S. Sen. Joni Ernst (R-IA), chair of the Senate RV Caucus, and Sen. Angus King (I-ME) have also introduced S.1543, a Senate companion measure.

RVIA’s federal affairs team has held dozens of meetings on this legislation this year, to ensure that members of Congress are familiar with the issue and include it in their discussions of any tax packages. These meetings have been with individual offices, as well as committee staff on the House Ways and Means and Senate Finance Committees. At the beginning of the year, we focused on finding Democratic co-sponsors for both bills and are currently working to bring on additional co-sponsors.

Additionally, RVIA members and RV dealers advocated for this issue during RVs Move America Week and have taken advantage of the RV Action Center to let their legislators know that they care about this issue. These efforts have led to more Capitol Hill champions who are educated on this issue and know that it is an industry priority, increasing the chances that this definition change will make it into any moving legislation.

At this time, there is uncertainty surrounding what tax issues, if any, Congress will address in any sort of year-end tax package. Ideally, our legislation will get pulled in to such a package with other tax fixes and extenders in December. According to Politico, Representative Kevin Brady, the top Republican on the House Ways and Means Committee, has indicated that there is a chance a year-end tax bill could come together. He stressed that such a bill would have to be “relatively tight,” but it appears that fixes to the Tax Cuts and Jobs Act could be on the table.

Due to the work of the federal affairs team and RVIA members, members of Congress in both the House and Senate will be working to ensure that should a package move, our fix will be included.

To request your members of Congress to include this fix in any year-end-tax package, click here.