American Truck Dealers, an off-shoot of the National Automobile Dealers Association, has dedicated this week as “Suspend the FET Week” and is asking trucking industry stakeholders to advocate for the suspension of the Federal Excise Tax (FET) on heavy-duty trucks.
The FET has grown from 3% to 12% since it was instituted in 1917 to help fund World War I, and with many fleet tractors ringing registers for around $150,000, it tacks an extra $18,000 onto most Class 8 trucks. With the revenue tied to the Highway Trust Fund, an account used to help states with infrastructure maintenance and construction, Jerry Kocan, dealer principal for Four Star Freightliner – a dealership group with locations around the southeast – said the tax is also unfair since those charged with paying it see limited returns from its proceeds.
