LIFO Tax Relief Bill Resurfaces
Senate measure aims to remedy inventory-shortage effects.
The tax-relief legislation has been championed by the National Automobile Dealers Association.
IMAGE: Leeloo Thefirst
A Senate bill has been reintroduced that would provide tax relief to auto dealers dealing with ongoing inventory shortages.
The bipartisan Supply Chain Disruptions Relief Act would allow new-vehicle dealers using “last in, first out, or LIFO, accounting, extend until until the tax year ending before Jan. 1, 2026 the deadline to pay taxes on 2020 or 2021 inventory sales.
The legislation has been championed by the National Automobile Dealers Association.
The Senate approved a similar bill in December, but time ran out for the House to consider its version of it.
Inventory shortages have plagued dealers since the early days of the pandemic, though narrowed supply has raised model prices to historic highs, padding their profits.
LEARN MORE: NADA to Focus on Key Industry Issues in 2023
Originally posted on Auto Dealer Today
More Industry
Pennsylvania Dealership Under New Retailers
The sale of the Chrysler Dodge Jeep Ram store puts a family auto group on a leaner path as first-time dealers take the helm.
Read More →
Battery Storage Takes Priority Over EVs
U.S. automakers are prioritizing battery energy stationary storage over electric-vehicle production as the consumer demand for EVs lags the rest of the world.
Read More →
Auto Dealers Feel Better But Not Great
A second-quarter Cox Automotive poll of franchised retailers and independents found better views of the current market after a good spring but anticipation of third-quarter storminess.
Read More →
New-Vehicle Sales Picture Relative
A May forecast is complicated by last spring’s trade tariff effects on auto retail. Despite continued hard realities, many consumers took advantage of ways to bite the bullet.
Read More →
Auto Group Acquires Third Nissan Rooftop
Iowa-based Coleman Automotive Group recently acquired its seventh dealership, McGrath Nissan, which it renamed Nissan of Elgin.
Read More →
April Less Affordable
Based on prices, reduced incentives and slower household income growth, consumers found it more challenging to buy new last month, Cox Automotive reported.
Read More →
Building an Extraordinary F&I Agency
Work to determine your specialized talent, because that fact will determine everything about your agency’s future.
Read More →
Recipe for Compliance
The secret to both amazing barbecue and compliance is the same: understanding the basics and committing to a process.
Read More →
EVs Getting More Attractive
A growing percentage of U.S. consumers are open to switching and fewer are adverse to the idea, according to a recently completed survey. That’s despite the end of a tax break.
Read More →
EV Sales Drop in April Following Surge
North American electric-vehicle sales were down 28% year-over-year, a sharp contrast from global EV sales growth of 6%.
Read More →