Stimulus Bill Assists the RV Industry in Poor Economic Times
Wed Feb 18, 2009
Author: rvnews.com
Source: rvnews.com
The Michigan Association of Recreation Vehicles and Campgrounds (MARVAC) successfully wrapped up two weeks of annual camper & RV shows held in Flint and Novi. The 33rd Annual Flint Camper & RV Show held February 5-8 at the Perani Arena & Event Center experienced a 25 percent increase in attendance. Although attendance didn't increase February 11-15 at the Rock Financial Showplace in Novi for the 43rd Annual Detroit Camper & RV Show, it was only down 10 percent compared to 2008. Even with the drop in attendance, dealers were impressed by the promising RV buyers who attended the shows. Local banks and credit unions made retail financing available for consumers, and dealers left both shows with a much needed boost in enthusiasm after a lack of sales over the past 10 months.
"It's possible that people who wouldn't have purchased an RV in the past are now," said Dave Rochette, Westland Camping Center. "Despite the poor economy, people are motivated to spend recreational time with family, and camping remains an affordable way to do that."
RV family vacations are, on average, 26 to 74 percent less expensive than travel by personal car, airline or cruise ship.
MARVAC Director Bill Sheffer was encouraged by the upbeat mood of visitors. "It's been a difficult economic year in Michigan and to see the number of potential buyers and camping enthusiasts at both shows helps bring the whole industry's attitude up a level."
The shows' success comes during a legislative victory for the RV industry.. In the final version of the $787 billion economic stimulus package, there is a tax provision that allows a portion of the tax paid on the purchase of a new motorhome to be deducted. This deduction is attributable to the first $49,500 of the purchase price, and does not apply to towable (non-motorized) RVs. Individuals with an annual income less than $125,000 or $250,000 would be eligible for the deduction.
