Have you purchased a heavy vehicle to operate a business for carrying heavy loads on public highways? Then you must register the heavy vehicles to use public highways for transportation. As per IRS instructions, the truck owners must pay road tax to operate business or trade on public roads.
Is your vehicle taxable or exempted? We have provided detailed information to know whether the heavy vehicle falls under the taxable category of an exempted category. Additionally, know how to file 2290 returns and calculate the tax error freely. Check out IRS Form 2290 Taxable and Exempted Vehicles in this article.
Who must file HVUT Form 2290?
The organizations which operate a business using heavy vehicles like tractors, trucks, farming vehicles must file Form 2290 to the IRS. The major purpose to file 2290 returns is to report the payment of truck tax to the IRS for using heavy vehicles on public roads.
As we know, heavy vehicles damage public highways by carrying heavy loads related to business. Due to this, the highways get damaged. The IRS returns back the taxes paid by the individuals to the state in the maintenance of highways.
What are Form 2290 taxable vehicles?
A heavy vehicle whose taxable gross weight is more than 55,000 pounds and travels more than 5,000 miles in a calendar year is “Form 2290 taxable vehicle”. In addition to it, any heavy vehicle with a taxable gross weight exceeding 55,000 pounds operates on public highways considered a taxable vehicle. The taxable gross weight of the vehicle is the sum of the empty weight of the vehicle, trailers connected to the vehicle, and the weight of the load. As a truck owner, you are responsible to check whether the truck falls under the taxable vehicle category. Pay the truck tax for using public highways with heavy vehicles for transportation on the course of business.
For example, John purchases a tractor to carry loads on the course of business. The taxable gross weight of the vehicle is 65,000 pounds and uses public highways for 5,000 miles in a calendar year. John is responsible to register the heavy vehicle to use public highways by paying truck tax and filing Form 2290.
HVUT 2290 return form for suspended vehicles
The highway vehicle with a taxable gross weight of 55,000 pounds and travels less than 5,000 miles in a calendar year are called “Suspended vehicles”. An individual who uses a suspended vehicle must file Form 2290 under the tax suspended category. This means the truck owner who operates business or trades on public highways 5,000 miles or less using heavy vehicles not require to pay truck tax. Furthermore, the individual is responsible to file form 2290 and report the vehicle information to the IRS to use public highways for transportation.
IRS Form 2290 exempted vehicles
Few vehicles that are exempted from Heavy Vehicle Use Tax are listed below:
Agricultural vehicles traveling less than 7,500 miles
Heavy highway vehicles which are primarily used for farming purposes considered agricultural vehicles. Agricultural vehicles fall under exempted vehicle category when they travel less than 7,500 miles in a tax period.
Commercial vehicles with less than 5,000 miles
Self-propelled vehicles, trucks treat as commercial vehicles. These vehicles are exempted to pay HVUT when the mileage limit at the year-end is less than 5,000.
Vehicles that don’t fall under highway motor vehicles
A vehicle that specially designed for non-transportation functions or off-highway transportation exempted from paying 2290 tax. For example, pickup vans specially designed for picking and dropping off.
How to File 2290 Form for Heavy Vehicles?
File Form 2290 for heavy vehicles either through paper forms or by e-filing. For paper filing, the truckers can collect 2290 forms by the nearest IRS offices, or by order forms online. As it is a traditional method, manually filling out 2290 paper forms may lead to errors and the IRS may reject the Form.
Online filing Form 2290 is possible with an IRS-authorized e-file provider. It reduces the risk of standing in the queues, error filings. To e-file form 2290, an individual must create an e-file account by providing the necessary details. Next, the trucker must choose to file Form 2290 and enter the taxable vehicle details. Moreover, recheck the form before transmitting it to the IRS. Quickly submit Heavy Vehicle Use Tax Return Form to the IRS and receive watermarked Schedule 1 within minutes.
HVUT calculations for taxable vehicles
Highway tax is a fee assessed annually on heavy vehicles which use public highways at a registered gross weight of 55,000 pounds or more. The taxes calculated based on the taxable gross weight of the vehicle. HVUT for the vehicles with a taxable gross weight of 55,000 pounds is $100. Additionally, the tax increases to $22 per increase in 1,000 pounds over 55,000 pounds. For heavy vehicles weighing more than 75,000, the maximum HVUT is $550 per tax year.
Form 2290 filing is an IRS certified e-file provider which helps the truck owners to quickly submit 2290 returns to the IRS and get notified by the proof of HVUT to the registered email address. Moreover, calculate the truck taxes freely without any errors with an instant HVT tax calculator online.