text: SECTION 1. SHORT TITLE.
  
      This Act may be cited as the ``Heavy Truck, Tractor, and Trailer 
  Retail Federal Excise Tax Repeal Act of 2017''.
  
  SEC. 2. FINDINGS.
  
      The Congress finds that--
              (1) there is a 12-percent Federal retail excise tax on 
          certain new heavy trucks, tractors, and trailers, coupled with 
          new regulatory mandates, significantly increasing the cost of 
          new heavy-duty trucks, tractors, and trailers, and discourages 
          the replacement of older, less environmentally clean and less 
          fuel economical vehicles;
              (2) this 12-percent Federal retail excise tax is the 
          highest percentage rate of any Federal ad valorem excise tax;
              (3) the Federal excise tax was first levied by Congress in 
          1917 to help finance America's involvement in World War I;
              (4) in 2016, the average manufacturer suggested retail 
          price for heavy trucks was over $175,921;
              (5) the 12-percent Federal retail excise tax routinely adds 
          between $12,000 and $22,000 to the cost of a heavy truck, 
          tractor, or trailer;
              (6) the average in-use, heavy truck is 9.5 years old, close 
          to the historical all-time high;
              (7) the Environmental Protection Agency's model year 2002-
          2010 tailpipe emissions rules account for $20,000 of the 
          average price of today's new heavy-duty trucks;
              (8) according to the 2011 Environmental Protection Agency 
          and National Highway Traffic Safety Administration Regulatory 
          Impact Analysis entitled ``Final Rulemaking to Establish 
          Greenhouse Gas Emissions Standards and Fuel Efficiency 
          Standards for Medium and Heavy-Duty Engines and Vehicles'', 
          model year 2014-2018 EPA-Department of Transportation fuel 
          economy rules will add up to approximately $6,683 to the price 
          of new heavy-duty trucks;
              (9) according to the 2016 Environmental Protection Agency 
          and National Highway Traffic Safety Administration Final Rule 
          entitled ``Greenhouse Gas Emissions and Fuel Efficiency 
          Standards for Medium and Heavy-Duty Engines and Vehicles--Phase 
          2'', model year 2021-2027 fuel economy rules will add up to 
          approximately $12,500 to the price of new heavy-duty trucks;
              (10) the $39,183 average per truck cost of these regulatory 
          mandates results in an additional $4,700 Federal excise tax, on 
          average;
              (11) since the Federal retail excise tax on certain new 
          heavy trucks, tractors, and trailers is based on annual sales, 
          receipts from the tax deposited in the Highway Trust Fund can 
          vary greatly; and
              (12) Congress should consider a more reliable and 
          consistent revenue mechanism to protect the Highway Trust Fund.
  
  SEC. 3. REPEAL OF EXCISE TAX ON HEAVY TRUCKS AND TRAILERS.
  
      (a) In General.--Chapter 31 of the Internal Revenue Code of 1986 is 
  amended by striking subchapter C (and by striking the item relating to 
  such subchapter from the table of subchapters for such chapter).
      (b) Conforming Amendments.--
              (1) Section 4072(c) of such Code is amended to read as 
          follows:
      ``(c) Tires of the Type Used on Highway Vehicles.--
              ``(1) In general.--For purposes of this part, the term 
          `tires of the type used on highway vehicles' means tires of the 
          type used on--
                      ``(A) motor vehicles which are highway vehicles, or
                      ``(B) vehicles of the type used in connection with 
                  motor vehicles which are highway vehicles.
              ``(2) Exception for mobile machinery.--
                      ``(A) In general.--Such term shall not include 
                  tires of a type used exclusively on mobile machinery.
                      ``(B) Mobile machinery.--For purposes of 
                  subparagraph (A), the term `mobile machinery' means any 
                  vehicle which consists of a chassis--
                              ``(i) to which there has been permanently 
                          mounted (by welding, bolting, riveting, or 
                          other means) machinery or equipment to perform 
                          a construction, manufacturing, processing, 
                          farming, mining, drilling, timbering, or 
                          similar operation if the operation of the 
                          machinery or equipment is unrelated to 
                          transportation on or off the public highways,
                              ``(ii) which has been specially designed to 
                          serve only as a mobile carriage and mount (and 
                          a power source, where applicable) for the 
                          particular machinery or equipment involved, 
                          whether or not such machinery or equipment is 
                          in operation, and
                              ``(iii) which, by reason of such special 
                          design, could not, without substantial 
                          structural modification, be used as a component 
                          of a vehicle designed to perform a function of 
                          transporting any load other than that 
                          particular machinery or equipment or similar 
                          machinery or equipment requiring such a 
                          specially designed chassis.''.
              (2) Section 4221 of such Code is amended--
                      (A) by striking ``4051 or'' in subsection (a), and
                      (B) by striking ``and in the case of any article 
                  sold free of tax under section 4053(6),'' in subsection 
                  (c).
              (3) Section 4222(d) of such Code is amended by striking 
          ``4053(6),''.
              (4) Section 4293 of such Code is amended by striking 
          ``section 4051,''.
              (5) Section 6416(b)(2) of such Code is amended by striking 
          ``or under section 4051''.
              (6) Section 6416(b) of such Code is amended by striking 
          paragraph (6).
              (7) Section 9503(b)(1) of such Code is amended by striking 
          subparagraph (B) and by redesignating subparagraphs (C), (D), 
          and (E) as subparagraphs (B), (C), and (D), respectively.
      (c) Effective Date.--The amendments made by this section shall 
  apply to sales and installations on or after the date of the 
  introduction of this Act.
target: Heavy Truck, Tractor, and Trailer Retail Federal Excise Tax Repeal Act of 2017  This bill amends the Internal Revenue Code to repeal the 12% excise tax on the retail sale of heavy trucks and trailers. 
feat_title: Heavy Truck, Tractor, and Trailer Retail Federal Excise Tax Repeal Act of 2017