On Friday, lawmakers introduced a bipartisan bill that would create a tax credit just for truckers to attract and retain more drivers in the industry.
the Strengthening supply chains with the Truck Driver Incentives Act was introduced April 1 by Reps. Mike Gallagher (R-WI) and Abigail Spanberger (D-VA).
According to a press release from Gallagher’s office, the Strengthening Supply Chains Through Incentives for Truck Drivers Act:
- Create a new refundable tax credit of up to $7,500 for truck drivers holding a valid Class A CDL who drive at least 1,900 hours in the year. This tax credit would last for two years (2022 and 2023).
- Create a new refundable tax credit of up to $10,000 for new truckers or those enrolled in a registered trucking apprenticeship. This tax credit would also last for two years.
- Allow new truck drivers to qualify for the credit if they have not driven a commercial truck in the previous year or if they have driven at least 1,420 hours in the current year . They can receive part of the credit if they drive less than 1,420 hours in the year, but drove at least 40 hours per week on average when they started driving.
The bill would also establish incentives for Americans to participate in learn-to-drive truck programs.
“The truck driving industry is facing a massive labor shortage that is disrupting supply chains and leaving store shelves empty,” Rep. Gallagher said. “We need truck drivers to keep our economy moving, and this bill takes steps to help encourage more people to pursue careers in this important work.
“Over the past two years, we have seen how important truckers are to keeping our economy growing and our communities moving. But to fully address the shortages and rising costs currently facing families and businesses, we need to attract even more additional qualified drivers to the U.S. trucking industry,” Rep. Spanberger said. “Our legislation takes a common-sense step towards solving our chronic driver shortage. By creating a refundable tax credit for the men and women who keep our goods moving, we would encourage more young people to get behind the wheel, reduce the headaches for trucking companies and ensure that experienced drivers are rewarded for their hard work. I want to thank Congressman Gallagher for his partnership on this issue and for focusing on the economic concerns of his constituents.
The bill has been endorsed by the American Trucking Associations and the American Loggers Council.
“Building the next generation of talented truck drivers and reducing the national shortage of skilled truck drivers is one of our economy’s top priorities over the next decade,” said Chris Spear, president and CEO of the American Trucking Associations (ATA). “This is an issue that directly affects all Americans, not just trucking companies. As driver compensation continues to rise at historic rates, the law on strengthening supply chains through driver incentives would draw even more drivers into the field by offering them substantial tax credits to reduce their federal tax liabilities.This bipartisan bill would make a significant difference in the lives of new truckers, further elevating the profession as one of of the few available in today’s job market that offers a stable career path to the middle class without the costly burden of a four-year college degree.. A challenge as complex as the shortage of truck drivers cannot be solved by a single solution. Solving it requires a multi-faceted approach that combines industry initiative with good p public policy like this bill. We thank Representatives Abigail Spanberger and Mike Gallagher for their leadership on this critical issue and for being strong advocates for American truckers.