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Motorhome Tax Credit Set to Expire January 1, 2010

The $789 billion federal economic stimulus package signed into law in February, 2009, included a tax provision for motorhomes that is now set to expire as the year ends.


For the remainder of the calendar year, tax provisions under the stimulus package allow for sales and excise tax deductions for new purchases of qualified motor vehicles, including motorhomes. The deductions are attributable to taxes applying to the first $49,500 of the purchase price.  Individuals with an adjusted gross income of up to $125,000 and joint filers with an adjusted gross income of up to $250,000 are eligible for the deduction.


When the calendar year ends on December 31, the tax credit will no longer apply.


RVIA Vice President of Government Affairs Dianne Farrell said, “the inclusion in the stimulus package of a sales tax deduction for motorhomes was a significant boost for the RV industry, incentivizing consumers to buy RVs at a time when the industry faced historic challenges. Dealers are encouraged to remind consumers to take advantage of this tax break by purchasing a motorhome before 2009 ends.”

She added, “the RV industry is thankful to Congressmen Joe Donnelly (D-Ind.), Evan Bayh (D-IN) and Peter De Fazio (D-Ore.) who, along with their staffs, worked very hard to ensure that the RV industry was included in the stimulus legislation.”

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