LIFO-Relief Bill to Be Reintroduced
U.S. Reps. to again pursue tax relief for auto dealers.
NADA says that due to diminished inventories, dealers using LIFO face “major unanticipated tax liability due to circumstances beyond their control.”
IMAGE: Mohamed Hassan
U.S. representatives intend to reintroduce a bill designed to provide tax relief to auto dealers that use the “last in, first out” accounting method, or LIFO.
The U.S. Senate passed the Supply Chain Disruptions Relief Act in December, but time ran out for the House to consider its version of the bill.
The National Automobile Dealers Association wrote at the time that the unanimous Senate approval positioned the proposed legislation for inclusion in a tax package this year, for instance.
NADA says that due to diminished inventories since the pandemic’s onset, dealers using LIFO face “major unanticipated tax liability due to circumstances beyond their control.”
The bill approved by the Senate last year would have given the Treasury Department authority to allow dealers using LIFO extended time to replace inventories before they must pay taxes on 2020 or 2021 inventory sales.
U.S. Reps. Jodey Arrington, R-Texas, and Dan Kildee, D-Mich., plan to introduce a bill for LIFO relief during the current House session that matches last year’s.
Originally posted on Auto Dealer Today
More Showroom
New-Vehicle Prices Stay Put
Affordability pressures and model availability shaped new-vehicle sales in September, according to an analysis by Kelley Blue Book.
Read More →
EV Buyer Consideration Shifts
What drives American consumers to purchase an electric vehicle is shifting as the question moves away from Should I?' to 'Which features and experience do I want to have?'
Read More →
Year-to-Date Auto Sales Holding Their Own
A forecast through August shows that automakers have shifted strategies to keep deliveries and revenues up despite tariffs and other economic challenges.
Read More →
Slow to Robo
Ten years of polling consumers shows autonomous vehicles’ profiles have risen considerably, but even more people now want at least some level of control if they go that route.
Read More →
Dealers a Little Down
A third-quarter Cox Automotive survey finds them in a mixed mood, bummed by fallen customer traffic but encouraged by better profits, costs and EV interest.
Read More →
European EV Sales Skyrocket
The EV market on the continent held strong in July with almost 25% of new-car sales being fully electric units, a stark contrast to the U.S., where EV sales declined about 42%.
Read More →
Mitsubishi Unveils U.S. Plan
The automaker announced a strategy that includes an expanded lineup and dealership presence, along with more ‘rugged’ and electric models.
Read More →
Used Lots Getting the Business
Many consumers are seeking out the units to save money, and the demand – higher in July than normal – is keeping supply limited and prices up.
Read More →
Used Market Stabilizes
The Carfax Used Car Index noted a major drop in used-vehicle price increases in July after several months of hikes.
Read More →
California Hybrids Reach State Record
The Golden State still leads the country in electric-vehicle registrations, but much like the rest of the U.S. its hybrid market share is up while full electrics stabilize after a dramatic first-quarter dip.
Read More →