Congress is wrapping up its work for the year and is currently negotiating an omnibus spending bill that will carry some unrelated provisions. It is possible it may include the LIFO relief bill, the “Supply Chain Disruptions Relief Act” (S. 4105/H.R. 73820) in this year-end package. While it does not amend the tax code, it directs the Treasury Department to use existing law to provide LIFO relief.
The bipartisan legislation will give dealers on LIFO extended time to replace vehicle inventory due to the pandemic and supply chain issues. This spending bill, being considered now, is likely the last legislative vehicle available this year to carry LIFO relief over the finish line. LIFO relief legislation has 60 Senate cosponsors, including Majority Leader Schumer (D-N.Y.) and 172 House cosponsors. Dealers seeking more information, click hereDownload Bulletin PDF