It goes without saying that it pays to be safe. And for the trucking industry, at least, there may be an added bonus in the form of a tax credit. The Commercial Motor Vehicle Advanced Safety Technology Tax Act (HR 3820), filed by Representatives Mike Thompson (D-Calif.) and Ron Lewis (R- Ky.), would create a tax incentive for owners and manufacturers of large trucks and buses to outfit their vehicles with safety systems that have been proven to reduce accident rates.
"California has the second-highest fatality rate in the country when it comes to accidents involving large trucks," said Thompson when announcing the filing. "Our highways connect people and economies—and with over 200 million licensed drivers in our country, improving road safety is paramount. Technology will be a key tool in that effort, and this legislation will expand access to proven safety systems."
The tax breaks would cover the following technologies:
- Brake-stroke monitoring systems, which monitor brakes to ensure they are functioning properly;
- Lane-departure monitoring systems, which warn the driver when the vehicle drifts into the wrong lane;
- Collision warning systems, which warn the driver if the vehicle is getting close enough to another vehicle or object to cause an accident; and
- Vehicle stability systems, which automatically stabilize the vehicle when there is a threat of a roll-over.
Prices for those systems range from $1,000 to $3,500 per vehicle. Under the proposal, fleet owners would be eligible for a maximum credit of $350,000 per year. Owners of large trucks and buses who purchase one or more of these systems would be eligible for a tax credit of up to $3,500 annually, with a maximum of $1,500 per system.
