This legislation introduces a new tax credit and mandates federal agencies to prioritize the use of retreaded tires. It amends the Internal Revenue Code of 1986 to establish the retreaded tire credit , allowing taxpayers to claim a credit for qualified retreaded tire expenses. The credit is calculated as the lesser of 30 percent of the tire's cost or $30 , applicable to tires retreaded and purchased within the United States. This tax incentive will apply to tires placed in service after December 31, 2025, and is set to terminate for tires placed in service after December 31, 2028. Furthermore, the bill requires heads of federal agencies to order retreaded tires from the General Services Administration schedule if they are available and meet the necessary specifications. The Federal Acquisition Regulatory Council must amend the Federal Acquisition Regulation within one year of enactment to incorporate these new requirements, promoting the use of retreaded tires across federal fleets.
This legislation introduces a new tax credit and mandates federal agencies to prioritize the use of retreaded tires. It amends the Internal Revenue Code of 1986 to establish the retreaded tire credit , allowing taxpayers to claim a credit for qualified retreaded tire expenses. The credit is calculated as the lesser of 30 percent of the tire's cost or $30 , applicable to tires retreaded and purchased within the United States. This tax incentive will apply to tires placed in service after December 31, 2025, and is set to terminate for tires placed in service after December 31, 2028. Furthermore, the bill requires heads of federal agencies to order retreaded tires from the General Services Administration schedule if they are available and meet the necessary specifications. The Federal Acquisition Regulatory Council must amend the Federal Acquisition Regulation within one year of enactment to incorporate these new requirements, promoting the use of retreaded tires across federal fleets.