Congress to reconsider tax credits to address truck driver shortage

WASHINGTON — According to industry analysts, the U.S. faces a shortage of truck drivers, and steps have already been taken to address the issue. The industry has engaged in an effort to make the career field appealing to an undertapped segment the nation’s workforce in recent years through recruiting more female drivers. In addition, the National Transportation Safety Board has been considering lowering the qualifying age for interstate drivers — particularly those with military driving experience — for some time.

The COVID-19 pandemic only amplified the shortages and the pressing need to recruit more truck drivers.

“During the pandemic, truckers didn’t have any remote options — yet they went to work every single day to keep our economy moving and our communities strong,” said Rep. Abigail Spanberger (D-Virginia). With the support of co-sponsor Rep. Mike Gallagher (R-Wisconsin), a new round of legislation is making its way through the halls of Congress, which will hopefully make careers in trucking more appealing to the workforce.

And this time, Congress is putting its money where its mouth is.

This week (April 2-8, 2023)The bipartisan Strengthening Supply Chains through Truck Driver Incentives Act was reintroduced to Congress after failing to gain traction in 2022. The co-sponsors developed the legislation to provide financial incentives to qualified drivers through refundable tax credits. The credits are intended to make truck driving a more lucrative career — one that is more appealing to new drivers, and one that can retain those who have already chosen trucking as a career.

The bill’s provisions for tax credits address three areas.

• First, it will create a new refundable credit of up to $7,500 for Class A CDL drivers who log at least 1,900 hours during the year (an average of about 37 hours per week). The credit is planned for two years (2023 and 2024).
• Second, a new refundable credit of up to $10,000 would apply to new drivers or prospective drivers enrolled in a registered trucking apprenticeship (also for 2023 and 2024).
• Finally, the bill will allow new drivers to be eligible for the credit if they did not drive a commercial truck in the previous year or drive at least 1,420 hours in the current year. New CDL holders who drive less than 1,420 hours for the year — but at least an average of 40 hours a week once they begin to drive professionally — would be eligible to receive a partial credit.

According to Gallagher, passage of the bill would do more than simply increase the number of young men and women who consider trucking as a career path.

“This bipartisan bill is a commonsense way to recruit and retain more drivers to keep our shelves stocked and our economy moving,” he said.

The bill has already received the support of a host of stakeholders including the American Logger’s Association, the National Grocers Association, the International Foodservice Distributors Association, the American Building Materials Alliance, the Forest Resources Association, the Hardwood Federation, the Wood Machinery Manufacturers of America, Third Way and the National Pork Producers Council.

The bill has been referred to the House Ways and Means Committee for consideration.

Kris Rutherford

Since retiring from a career as an outdoor recreation professional from the State of Arkansas, Kris Rutherford has worked as a freelance writer and, with his wife, owns and publishes a small Northeast Texas newspaper, The Roxton Progress. Kris has worked as a ghostwriter and editor and has authored seven books of his own. He became interested in the trucking industry as a child in the 1970s when his family traveled the interstates twice a year between their home in Maine and their native Texas. He has been a classic country music enthusiast since the age of nine when he developed a special interest in trucking songs.