Taxing heavy vehicles between intra-state and inter-state movement could be hectic at times. In case your truck or truck tractor has a gross weight exceeding fifty-five thousand pounds and happens to be used on public highways, then IRS Form 2290 has to field. Here’s a step by step guide explaining how to do so without much hassle.

Educate yourself about the Regulations Concerning Form 2290

Federal law requires taxpayers who own qualified motor vehicles that are over 55,000 pounds to pay the heavy vehicle use tax (HVUT) and fill out form 2290. This tax applies to vehicles which move between states and also intrastate vehicles. Particulars to be filed include vehicle weight usage (which has been used below 5,000 miles in a year) and the vehicle identification number. The usual due date for filing this is August 31 of the year which precedes the period for these qualified vehicles that are used.

Key Steps to be Taken prior to submitting Form 2290

In order to file form 2290, there are certain documents that need to be collected first. These include your employer identification number, vehicle identification number and all the data relevant to the taxable vehicle gross weight. Following this, prepare an estimation of tax that is to be paid based on the weight and usage of the vehicle at hand. Make sure to maintain proper documentation of interstate activities as these may have implications of trust in the state jurisdiction.

Filing Options: Submit it Online or on Paper

According to the IRS there are two methods of submitting form 2290, these include electronic (online), or paper submission, and both hold the same legal standing especially in the US owing to their legalized status. It is the e-filing that is more favored owing to the quick processing it provides and proof of payment (Schedule 1) visibility. There are a number of e-filing service providers all of which are authorized by the IRS making e-filing safe. For those with lack of online access, I recommend paper filing although it takes longer.

Be Aware of the Laws That Add Federal And State Tax Compliance Requirements

When two or more countries are involved, this documentation is more complex and Form 2290 provides strategies for tax compliance in relation to state tax for loading and unloading in a capitalistic economy. The here is allow spirit to give a time frame on when one is supposed to file returns. If you carefully keep it all and in the right order, you’ll be able to make it easier for future audits as well as renewals. As long as you have the right attitude, your trucking business will meet the IRS rules and operate smoothly.

Note: For more information, visit IRS website