So last week, we discussed Agricultural Vehicle part-I. Today, we are posting the second part of the blog, which includes:
How To Discover, If My Vehicle Qualifies As An Agricultural Vehicle?
Just to be sure, if your vehicle qualifies as “Agricultural vehicle” according to IRS standards, here are the requirements your vehicle should meet:
1. The vehicle must be used primarily for farming purposes throughout the tax year. That means more than half of the vehicle total mileage for the year must be used for farming purpose.
2. Farming vehicle means a vehicle that is indulged in conduct of a farm. This can include activities such as transporting goods to and from a farm (goods like livestock, produce, animal feed, fertilizer, etc), direct use in agricultural production, or just performing work around the farm like repairing fences, building irrigation ditches, clearing land, etc.
3. You need to register your vehicle as agricultural vehicle in your state. Although your vehicle must be registered as such, no special license plates or tags marked “agriculture” are required to maintain your status as an agricultural vehicle.
If your vehicle meets the above requirements, then you can file your vehicle as agricultural vehicle with higher limit as well.
To file your vehicle under agricultural vehicle, skip the first “Taxable Vehicle” section of the 2290, and instead enter your vehicle’s information under the “Suspended Vehicle” section. And be sure you check the box “Used for Agriculture.”
Exceeding the Mileage Limit:
There are times when you file your agricultural vehicle under the category W at the very beginning of the tax year, and there would be outdo in the mileage limit.
If your vehicle goes over the limited mileage, you must file a Form 2290 Amendment for a Mileage Increase. The amendment is due by the end of the month following the month in, which you exceeded the limit. This means that if you went over 7,500 in January, the amendment must be filed by the last day of February of the same year.
Efiling with TruckDues.com is the fastest and easiest option to receive your schedule 1 copy. With tax experts round the clock to support and assist you with your queries, your filing is made much more easier and independent. If you have any questions about E-filing your Form 2290 with a Suspended Vehicle or questions about E-filing a Form 2290 Amendment for exceeding the mileage limit, ping or email our Tax Experts @ (347) 515 – 2290. You can also get 24/7 email support at support@truckdues.com. We are here all day for your assistance.