Truck Driver Tax Credits: Proposed Bill Would Offer Tax Incentives

Strengthening Supply Chains Through Truck Driver Incentives Act Introduced in Congress

Lawmakers in Washington are once again turning their attention to the trucking industry. A new bipartisan bill, called the Strengthening Supply Chains Through Truck Driver Incentives Act, was introduced by Rep. Zach Nunn (R-IA) and co-led by Rep. Pat Ryan (D-NY). The bill offers refundable truck driver tax credits and aims to tackle rising delivery costs, supply chain delays, and high driver turnover.

Aiming to Keep More Truck Drivers on the Road

The bill’s authors say the proposal will help address both recruitment and retention. While many public statements continue to describe a truck driver “shortage,” others in the industry—including groups like OOIDA—argue that the problem isn’t the number of drivers, driver retention. High turnover has become a long-term challenge for trucking, especially among large carriers.

Truck driver retention continues to be a key concern. Working conditions, long hours, pay disputes, and lack of support all contribute to drivers leaving the profession. Congressman Ryan acknowledged this in a recent statement: “It’s no wonder that job retention rates in the industry are declining. We have to be encouraging more people to sign up to drive and stay there, which is why providing incentives like this is so important.”

What the Truck Driver Bill Would Do

If passed, the legislation would amend the U.S. tax code and create two refundable tax credits:

• A $7,500 tax credit for current truck drivers with a valid Class A CDL who work at least 1,900 hours during the year.

• A $10,000 tax credit for new drivers or those enrolled in a registered trucking apprenticeship program.

The tax credit is available only to those under certain income levels. These are capped at $135,000 for joint filers, $112,500 for heads of household, and $90,000 for individuals. New drivers can also qualify if they average 40 hours per week, even if they work fewer than 1,420 hours in their first year. If they drive less than that, they can still receive a partial credit based on total hours driven.

The program would apply to tax years 2025 and 2026. An inflation adjustment would allow the credit amount to grow over time.

Focus on Truck Driver Apprentices and Career Pathways

The bill also helps people who are training to become commercial drivers. Those enrolled in federally registered trucking apprenticeship programs can count their training hours toward the required driving hours. This is meant to remove some of the financial burden that prevents many from entering the field.

“The Strengthening Supply Chains Through Truck Driver Incentives Act will grow and retain our essential workforce by making rewarding, good-paying careers in trucking even more attractive,” said Chris Spear, President and CEO of the American Trucking Associations.

Bipartisan Support and Industry Endorsements

The bill is endorsed by several major industry groups. These include the American Trucking Association, the Trucking Association of New York, the Iowa Motor Truck Association, the International Foodservice Distributors Association, the Teamsters, and the New York Farm Bureau Federation.

Zach Miller, Vice President of Government Affairs for the Trucking Association of New York, said, “The Strengthening Supply Chains Through Truck Driver Incentives Act will help recruit and retain qualified drivers by making trucking careers more accessible and financially rewarding.”

David Fisher, President of the New York Farm Bureau, also weighed in. “There has been a significant shortage of truck drivers, which directly hinders the ability of New York farmers to transport their goods. This bill helps to accomplish that by incentivizing individuals to become truck drivers.”

Investments in Truck Driver Training

In addition to leading the bill, Rep. Nunn helped secure $1 million in federal funding each for two truck driver education centers in Iowa. These funds were granted to the Des Moines Area Community College Transportation Institute and the Indian Hills Community College Truck Driver Education Center in Ottumwa.

Brenda Neville, President and CEO of the Iowa Motor Truck Association, applauded the efforts. “Supporting our workforce is an investment in Iowa families and our economy,” she said. “This bill will open the door of opportunity for more hardworking men and women who choose to embark on this career path.”

Looking Ahead: Can Truck Driver Tax Credits Solve Deeper Issues?

While the bill has drawn strong support, it also highlights a growing question in the industry. Can tax incentives alone fix the deeper problems that cause truck drivers to leave the profession?

The bill provides short-term financial relief and could attract new drivers. But for lasting impact, many believe broader changes are needed. These could include better pay structures, improved working conditions, and more respect for the role truck drivers play in the national economy.

As Rep. Ryan put it, “Passing this bill is a no-brainer: better conditions for the workers that drive us forward, more high-paying union jobs, and lower costs for families across the country.”