Travel Trailer and Camper Tax Parity Act

This bill lets dealers who sell towable campers and travel trailers count their inventory loans the same way car and RV dealers do. It adds certain non-motorized campers and trailers to the kinds of “floor plan” loans that are not limited by the usual cap on business interest deductions. In plain terms, dealers who finance these campers and trailers can deduct more of their interest costs from their taxes, similar to motor vehicle dealers today.

The change starts for tax years that begin after December 31, 2024.

• Who is affected: Businesses that finance inventory of towable campers and travel trailers, not consumers directly.
• What changes: Interest on these inventory loans is excluded from the usual limit on deducting business interest expenses, like it already is for motor vehicles.
• When: Applies to taxable years beginning after December 31, 2024.