In its $1.8 trillion federal spending bill approved Dec. 18, Congress included two provisions likely to benefit motorcyclists during the coming.
By Jim Witters
In its $1.8 trillion federal spending bill approved Dec. 18, Congress included two provisions likely to benefit motorcyclists during the coming year.
The Protecting Americans from Tax Hikes Act of 2015 – PATH Act – extends a tax break for motorsport entertainment complexes that allows owners to depreciate the cost of renovations or construction over seven years instead of the 39 years for most other owners of nonresidential property.
The extension applies to construction or renovations that are placed in service during 2015 and 2016.
“This provision benefits track owners, race promoters, workers and the communities that are home to motorsports facilities,” says Wayne Allard, AMA vice president of government relations. “The shorter time frame for recovering their investment serves as incentive for track owners to move forward with expansion plans and upgrades.”
Also included in the PATH Act is an extension through 2016 of the federal tax credit for buying an electric motorcycle. The credit is 10 percent of the purchase price to a maximum of $2,500.
However, the new law excludes three-wheeled electric motorcycles from the tax credit.
President Obama signed the bill Dec. 18.