Representative Claudia Tenney (R-NY) recently introduced H.R. 2231, the Motorsports Fairness and Permanency Act of 2025, in an effort to support local racetracks nationwide. Now moving through Congress, this bipartisan bill aims to amend the Federal Tax code to make a key tax break permanent and further incentivize investments in racetrack facilities. A tax provision currently in place, which was passed in 2017, allows racetrack owners to write off the cost of improvements, such as paving, resurfacing, grandstands, and bathroom upgrades, over a seven-year period. However, that benefit is set to expire at the end of 2025 unless Congress acts. Without this bill’s approval, the depreciation schedule for racetracks would revert to a 39-year write-off period, making it much more difficult for owners to recover the cost of long-term investments in upgrades and maintenance.
“The Motorsports Fairness and Permanency Act will sustain the long-term financial health and competitiveness of motorsports facilities by making the seven-year cost recovery period permanent, providing the industry the reassurance it needs to thrive and grow,” said Congresswoman Tenney. “A shorter depreciation schedule provides the financial flexibility necessary to make these investments.”
With over 1,500 racetracks across the nation, and most of them family-owned, the Motorsports Fairness and Permanency Act would give track owners the financial certainty they need to stay open and continue offering family-friendly entertainment to Americans. The bill would also allow racetracks to make smarter long-term investments in their facilities, which is a critical advantage for smaller facilities working with tighter budgets. Leading the push for the bill through the U.S. House of Representatives are the Specialty Equipment Market Association (SEMA) and Performance Racing Industry (PRI), as well as multiple racing organizations including NASCAR and IndyCar.
“Racetracks across America deserve certainty in order to make long-term investments for the betterment of their business,” SEMA President and CEO Mike Spagnola said. “The foundation of their enterprise relies on capital improvements and ensuring that their facilities are welcoming to all. Revising language in our tax code is a vital step to buoy this industry for years to come.”
As costs to maintain and improve racetracks continue to rise, Raul Torres, owner of South Georgia Motorsports Park (SGMP), believes the proposed bill would make a meaningful difference in the future of his facility. Racetracks face a variety of challenges, but Torres says that constant exposure to natural elements is one of the biggest challenges specific to outdoor venues.
“Constant improvements, like we’ve done at SGMP, are essential to maintaining a properly working racetrack and ensuring a great experience for our racers and fans alike,” Torres said. “As we know anything exposed to Mother Nature can shorten the life expectancy of track maintenance equipment and surfaces. Getting support from Congress with this bill will play a big factor in deciding what to budget for our next project.”
Torres also views the Motorsports Fairness and Permanency Act as a vital tool to help racetracks grow and give back to their surrounding communities. Making this tax incentive permanent would allow racetrack owners to reinvest in their operations and ensure racing remains accessible to enthusiasts both nationwide and locally. In return, communities and would benefit economically from increased tourism, job creation, and greater tax revenues.
As the July deadline to pass the bill approaches, racetrack owners, industry advocates, and local economies are watching closely, hopeful that Congress will deliver the financial certainty needed to protect and strengthen racetracks across the country.
Click here to send a letter to your lawmakers in support of the Motorsports Fairness and Permanency Act. For more information about SEMA and PRI’s advocacy efforts, visit https://www.sema.org/advocacy.
This story was originally published on June 26, 2025. 
