summary
Introduced
02/01/2023
02/01/2023
In Committee
02/01/2023
02/01/2023
Crossed Over
Passed
Dead
01/03/2025
01/03/2025
Introduced Session
118th Congress
Bill Summary
A BILL To treat certain liquidations of new motor vehicle inventory as qualified liquidations of LIFO inventory for purposes of the Internal Revenue Code of 1986.
AI Summary
This bill aims to provide relief to dealers of new motor vehicles who have experienced supply chain disruptions during the COVID-19 pandemic. The key provisions are:
1. It allows dealers who use the Last-In, First-Out (LIFO) inventory method to treat certain liquidations of new motor vehicle inventory as qualified liquidations under the Internal Revenue Code, even if they do not meet the usual requirements.
2. It enables the Secretary of the Treasury to prescribe regulations allowing these dealers to elect to not recognize income from such qualified liquidations in the year they occur, and to extend the replacement period for the liquidated vehicles to the earlier of the first non-LIFO taxable year or the last taxable year ending before January 1, 2026.
3. If the dealer fails to fully replace the liquidated vehicles during the extended replacement period, they must increase their gross income by the amount they would have recognized in the original liquidation year, plus interest.
The bill applies to specified taxable years, defined as those ending after March 12, 2020 and before January 1, 2022, to provide relief for the supply chain disruptions experienced during the COVID-19 pandemic.
Committee Categories
Budget and Finance
Sponsors (170)
Jodey Arrington (R)*,
Mark Alford (R),
Mark Amodei (R),
Brian Babin (R),
Don Bacon (R),
Troy Balderson (R),
Andy Barr (R),
Joyce Beatty (D),
Don Beyer (D),
Sanford Bishop (D),
Earl Blumenauer (D),
Lisa Blunt Rochester (D),
Suzanne Bonamici (D),
Mike Bost (R),
Brendan Boyle (D),
Shontel Brown (D),
Julia Brownley (D),
Ken Buck (R),
Larry Bucshon (R),
Nikki Budzinski (D),
Tim Burchett (R),
Yadira Caraveo (D),
Salud Carbajal (D),
Mike Carey (R),
Buddy Carter (R),
Troy Carter (D),
Matt Cartwright (D),
Lori Chavez-DeRemer (R),
Judy Chu (D),
Juan Ciscomani (R),
Ben Cline (R),
Gerry Connolly (D),
Jim Costa (D),
Angie Craig (D),
Jasmine Crockett (D),
Warren Davidson (R),
Danny Davis (D),
Don Davis (D),
Monica De La Cruz (R),
Madeleine Dean (D),
Suzan DelBene (D),
Debbie Dingell (D),
Chuck Edwards (R),
Veronica Escobar (D),
Ron Estes (R),
Dwight Evans (D),
Mike Ezell (R),
Pat Fallon (R),
Randy Feenstra (R),
Drew Ferguson (R),
Brad Finstad (R),
Michelle Fischbach (R),
Scott Fitzgerald (R),
Brian Fitzpatrick (R),
Chuck Fleischmann (R),
Mike Flood (R),
Bill Foster (D),
Mike Gallagher (R),
Andrew Garbarino (R),
Carlos Giménez (R),
Jared Golden (D),
Jimmy Gomez (D),
Lance Gooden (R),
Josh Gottheimer (D),
Kay Granger (R),
Mark Green (R),
Morgan Griffith (R),
Michael Guest (R),
Harriet Hageman (R),
Josh Harder (D),
Diana Harshbarger (R),
Brian Higgins (D),
Ashley Hinson (R),
Chrissy Houlahan (D),
Richard Hudson (R),
Jeff Jackson (D),
Sara Jacobs (D),
John James (R),
Bill Johnson (R),
Jim Jordan (R),
Dave Joyce (R),
Marcy Kaptur (D),
Tom Kean (R),
Mike Kelly (R),
Trent Kelly (R),
Dan Kildee (D),
Derek Kilmer (D),
Andy Kim (D),
Young Kim (R),
Raja Krishnamoorthi (D),
Ann Kuster (D),
David Kustoff (R),
Darin LaHood (R),
Doug LaMalfa (R),
Greg Landsman (D),
Nick Langworthy (R),
John Larson (D),
Bob Latta (R),
Jake LaTurner (R),
Susie Lee (D),
Tracey Mann (R),
Betty McCollum (D),
Dan Meuser (R),
Carol Miller (R),
Max Miller (R),
Mariannette Miller-Meeks (R),
John Moolenaar (R),
Blake Moore (R),
Joe Morelle (D),
Jared Moskowitz (D),
Frank Mrvan (D),
Greg Murphy (R),
Troy Nehls (R),
Donald Norcross (D),
Zach Nunn (R),
Burgess Owens (R),
Jimmy Panetta (D),
Chris Pappas (D),
Bill Pascrell (D),
Scott Perry (R),
Dean Phillips (D),
Chellie Pingree (D),
Mark Pocan (D),
Guy Reschenthaler (R),
Mike Rogers (R),
Matt Rosendale (R),
Deborah Ross (D),
David Rouzer (R),
Dutch Ruppersberger (D),
María Salazar (R),
Linda Sánchez (D),
Hillary Scholten (D),
David Schweikert (R),
David Scott (D),
Keith Self (R),
Pete Sessions (R),
Terri Sewell (D),
Mike Simpson (R),
Adrian Smith (R),
Abigail Spanberger (D),
Pete Stauber (R),
Michelle Steel (R),
Elise Stefanik (R),
Bryan Steil (R),
Haley Stevens (D),
Eric Swalwell (D),
Emilia Sykes (D),
Claudia Tenney (R),
G.T. Thompson (R),
Tom Tiffany (R),
Dina Titus (D),
Paul Tonko (D),
Norma Torres (D),
Lori Trahan (D),
David Trone (D),
Mike Turner (R),
David Valadao (R),
Jeff Van Drew (R),
Beth Van Duyne (R),
Derrick Van Orden (R),
Juan Vargas (D),
Gabe Vasquez (D),
Marc Veasey (D),
Ann Wagner (R),
Brad Wenstrup (R),
Susan Wild (D),
Roger Williams (R),
Rob Wittman (R),
Steve Womack (R),
Ryan Zinke (R),
Last Action
Referred to the House Committee on Ways and Means. (on 02/01/2023)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://www.congress.gov/bill/118th-congress/house-bill/700/all-info |
| BillText | https://www.congress.gov/118/bills/hr700/BILLS-118hr700ih.pdf |
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