It’s the dawn of a New Year, Trucking Nation! The new beginning is the perfect time to start fresh and plan how to make 2015 the best year. Every New Year drops into our calendar, we tend to take resolutions. Obviously, we tend to break them faster than we decide to pledge upon. This year, let’s all take a pledge, or more like a resolution. We had better make the switch! Continue reading
IRS Shuts Down For MEF Maintenance
Attention Tax filers, we have an update for you.
Taxpayers who file form 2290 via Efile should stay alert, as IRS is shutdown for MEF (Modernized Efile System). MEF is the online system through, which TruckDues.com submits our IRS tax form return. The shutdown is already on and IRS would be reopening sometime in the mid of January.
The shutdown is a routine and takes place every year; however, that does not mean, you cannot file your tax return.
- If you are using TruckDues.com, you will be able to e-file and submit your tax return to IRS; however, your submitted form 2290 would be kept on hold till IRS opens its gateways for accepting the tax return.
- And that means, during the course of shutdown, IRS would not be issuing the schedule 1 copy either. You will receive the acknowledgement receipt once IRS starts accepting returns.
However, to Efile form 2290, you need to following documents:
- EIN (Employee Identification Number)
- VIN (Vehicle Identification Number)
- Taxable Gross weight of the vehicle(s)
- Purchase date and date of first use on the highway
- If the vehicle is sold, details like date of selling, VIN and whom the vehicle was sold are required.
We know you run the show and for some reason, you are not able to file. We would do it on your behalf and you will receive the schedule 1 copy once IRS opens its gateway for accepting the tax return.
Simply reach out our Tax Experts and check upon Full Service Option. We would be happy to help. Just pass by the important information asked by our expertise. Reach us at support@truckdues.com or simply call to (347) 515 – 2290.
Efiling Or Paper Filing? Choose Your Convenient Method To Report Form 2290
So truckers, welcome to a brand new week at TruckDues.com. We hope you enjoy reading our updates and if there is anything you wish to address, don’t hesitate to drop by the comments. We will surely look into it. Today, we are going to talk about the differences between efiling and paper filing, providing room for users to understand and gulp down the possibilities and shun down some responsibilities via efile.
Before we start, let’s brush up the basics.
What Is Form 2290?
Form 2290 is also known as Heavy Vehicle Used Tax paid by truckers and owner operators driving heavy rigs weighing more than 55,000 pounds. It is believed that these heavy vehicles cause more damage and these taxes are directly funded to the maintenance of the highways and bridges across the nation.
Do You Think It Is Essential To File Form 2290 Online?
This question is raised round the clock, despite of efiling being the most usual method of filing tax. However, if you are looking out for a method that can reduce your workload and allow you to file within minutes, efiling is the method that will serve you with your requirements.
The best part about efiling is that you can file any time of the day and receive your schedule 1 copy in minutes; however, this is not so possible with paper filing. And you can bid bye the hurdles you face while paper filing. Keep reading for a clear discussion.
Paper Filing: Manual filling the form within the given time
Efiling: The form is converted into an online application and there is no time limit to fill in with the details. Simply key in your details about your vehicle and let the magic spill.
Paper Filing: Calculations are done manually.
Efiling: The application would do the math for you. Ensure you key in the right information.
Paper Filing: Error check is tedious and we tend to miss finding errors many times, which pave ways for rejection.
Efiling: Nothing is tedious when TruckDues.com is around. The application can automatically find the errors, notifying you before transmitting to IRS.
Paper Filing: You cannot look forward for assistance while manually form 2290.
Efiling: If you opt for efiling, you can simply reach out for our Tax Experts through phone, email or chat. Instant response can be expected.
Paper Filing: Payment of the dues is only through check or money order.
Efiling: There are three methods available, among which you can choose and pay your dues.
Paper Filing: Time taken for the delivery of schedule 1 copy is 5-45 days.
Efiling: Once the return is transmitted to IRS, you will receive your schedule 1 copy in minutes after IRS approval.
Paper Filing: No tracking ID or any other details about schedule 1 copy
Efiling: If there is any delay in the delivery of the proof of payment, simply log into your account registered with TruckDues.com and check for the status. If you are still not clear, you can always get in touch with our Tax Experts.
Paper Filing: Pay penalties when return reached IRS late.
Efiling: There is no room for penalties as return is transmitted to IRS almost immediately.
Paper Filing: Schedule 1 copy would be mailed to you end as soon as IRS issues it.
Efiling: If you file with TruckDues.com, you can receive your schedule 1 copy through Fax and alert through Text.
Guide for Filing Credit Vehicles Through TruckDues.com
Christmas being round the corner, it’s upgrade time for truckers from old rigs to new business names. With 2015 dropping into our calendar in a while, our Tax Experts are answering lot of questions about transferring schedule 1 from previously filed truck to new ones, transitioning to a new business, a new business name but with the same truck or a different EIN altogether.
And there are set of truckers and owner operators sell or lose their respective trucks and decide to exit the transportation biz altogether. If you are leaving the business mid-tax year, you can get a part of your hard-earned HVUT money back. Keep reading to follow the procedures.
We have framed a guide to get you going with the scenarios. Let be a trade-in shuffle or changing your business or EIN, we will tell you how to get your schedule 1 copy sorted and get your money back, too.
“Transferring” a Vehicle (A-K-A: Credit Vehicles)
- If you purchased a new truck mid-tax year, and your previous truck was sold, stolen, or destroyed, then you can get a new stamped Schedule 1 without paying extra tax. Many refer to this as “transferring,” but that’s not exactly how it works with the IRS.
- Here’s why it’s not really a transfer per se. Schedule 1 once filed for a vehicle, cannot be transferred to the next. However, you can effectively file your HVUT and get a new stamped Schedule 1, without paying any extra tax.
And you might ask, why you do need file efile form 2290 for the new vehicle and add a credit vehicle for the same with the information of the previous vehicle.
- When you are adding a credit for the vehicle, you will receive a prorated tax credit for the remaining months of the tax year through July 1st.
- In addition, when you are efiling form 2290 with a credit vehicle, IRS would prorate the credit for the sold vehicle based on the first month of new vehicle. The first month is the month in which you purchased the new vehicle.
- Usually, IRS prorates the tax on monthly basis not daily. And that means, if you have bought your vehicle at the beginning of the month, even on the very first day, IRS would charge you tax for the entire month, for the old one as well as for the new.
- Do note form 2290 must be filed by the last day of the month followed by the month in, which the “transfer” has occurred. This means, if you have switched vehicles in the month of November, you need to file by December 31st 2014.
- However, this transfer process (E-filing a 2290 with a credit vehicle) will only work if the business name and EIN remain the same. If they’re different, see the instructions below.
However, this is not the end. We have two more topics to discuss on, change of business name and sold, lost, or destroyed vehicle without replacement. We shall discuss the same in the next blog. Till then keep reading the previously pinned blogs and info on the site. Also, if you have taken your vehicle out for the first time in the month of November, then you are liable to file and report form 2290 online through TruckDues.com by the end of December.
Meantime, if you have any questions or looking forward for assistance, feel free to ping, call or email our Tax Experts at support@truckdues.com or simply call to (347) 515 – 2290
Go Easy On Tax Calculations- TruckDues.com
So truckers, how is your day going? Well, at our end, it is all moving smooth and fine. More and more people are coming to our website and filing their prorated tax for previous month and for this month. We all know how efiling is a rescue partner for busy truckers. As we know, the truck tax is calculated based upon the weight of your vehicle, i.e. if your vehicle weighs more than 55,000 pounds during the taxation year, you are liable to pay taxes.
However, today, we are going to talk about the tax calculations that are required to file form 2290.
The following tabular column will explain you:
| Annual Tax (Vehicles Used During July) | |||
| Category | Taxable Gross Weight | Vehicles Except for Logging | Logging Vehicles |
| A | 55,000 | $100.00 | $75.00 |
| B | 55,001-56,000 | 122.00 | 91.50 |
| C | 56,001-57,000 | 144.00 | 108.00 |
| D | 57,001-58,000 | 166.00 | 124.50 |
| E | 58,001-59,000 | 188.00 | 141.00 |
| F | 59,001-60,000 | 210.00 | 157.50 |
| G | 60,001-61,000 | 232.00 | 174.00 |
| H | 61,001-62,000 | 254.00 | 190.50 |
| I | 62,001-63,000 | 276.00 | 207.00 |
| J | 63,001-64,000 | 298.00 | 223.50 |
| K | 64,001-65,000 | 320.00 | 240.00 |
| L | 65,001-66,000 | 342.00 | 256.50 |
| M | 66,001-67,000 | 364.00 | 273.00 |
| N | 67,001-68,000 | 386.00 | 289.50 |
| O | 68,001-69,000 | 408.00 | 306.00 |
| P | 69,001-70,000 | 430.00 | 322.50 |
| Q | 70,001-71,000 | 452.00 | 339.00 |
| R | 71,001-72,000 | 474.00 | 355.50 |
| S | 72-001-73,000 | 496.00 | 372.00 |
| T | 73,001-74,000 | 518.00 | 388.50 |
| U | 74,001-75,000 | 540.00 | 405.00 |
| V | Over 75,000 | 550.00 | 412.50 |
Filing Taxes: An Overview
So let’s get started, first, you need to classify your vehicle based upon the category mentioned in the tabular column. If you are filing prorated taxes for your vehicle, then you need to calculate for the months your filing. Say, if October you took your vehicle on the highway for the first time, this November 30th is the last date to file your return depending upon the taxable weight. If your vehicle used only for logging and other forestry purpose, the tax rate would differ.
Also, if you are looking forward for an easiest method to get your taxes paid to IRS, you should try a hand with efiling form 2290 through an authentic and authorized online filing service provider: TruckDues.com.
However, if you are trying to take tax filing manually, you would land up spending lot of your time and energy, involving calculations to be done manually, and eventually, there would be errors to be corrected. In short, it is a messy work to be handled manually. Rather, efiling is the better option.
The best part about efiling is you don’t have to do anything manually other than logging in through your registered account and add in your details about your vehicle. Simply check on “Start A New Return”. Click on Heavy Vehicle Used Tax and fill in the details requested by the application. As you are typing, your info related to your vehicle, you will see your calculated taxes in the next slide in seconds. Also, add this point, the calculations done by our inbuilt application is the most accurate result, which will make you visit TruckDues.com.
Once the return is prepared, you can transmit it to IRS yourself and receive your schedule 1 copy in minutes. You can request for a Text Alert or Fax copy depending upon the availability.
On a conclusive note, when we are growing technically, why do we have to be dependent on paper and pen to deal with tax? Come to TruckDues.com and experience anew.
Get in touch with our Tax Expertise right through email, phone or even chat. Simply dial (347) 515 – 2290 or simply drop in a mail to support@truckdues.com. We are here for you, for better back-end support.
Happy Trucking! – Team TruckDues.com
Wondering Which Vehicle Type Does Your Rig Falls In? First Hand Info Is Right Here
So taxpayers, did you file your prorated tax for your new vehicle through form 2290? If you have not yet filed and confused about your vehicle type, today’s blog will give you a clear explanation on the types of vehicles can be filed through form 2290.
Before any delay, we are heading towards the topic:
Types of Vehicles:
Taxable Vehicles:
The first vehicle filed through form 2290 is taxable vehicles. The main criterion for these vehicles to be categorized as taxable is the weight carried during the taxation season. It is believed that these heavy vehicles cause most of the damage and hence, the funds collected through the tax are directly contributed on the maintenance of the road. Also, if you own more than 25 heavy highway vehicles, you are mandate to efile form 2290 through an authorized efiling service provider like TruckDues.com. In addition, if you miss the due date or forget filing form 2290 by the last date of filing, you are liable to file your return with penalties and interest.
Suspended Vehicles:
The next set of vehicles, which can be filed through form 2290 are suspended vehicles. These vehicles do not cross more than 5,000 miles and 7,500 miles for agricultural purpose. Thus, they’re not required to pay dues, however, they need to keep IRS informed about their suspension through form 2290.
The Vehicles That Are Included In This Category Are:
- Commercial vehicles with average mileage less than 5,000 and 7,500 miles for agricultural used vehicles
- Mobile machinery for non-transportation function, non-transportation trailers and semi-trailers
- Qualified as official blood collectors by blood banks and organizations
However, do note, if the annual miles exceeds more than 5,000 and 7,500 miles for agricultural vehicles, you are liable to file form 2290 Amendment and pay your dues to receive your schedule 1 copy.
Exempted Vehicles:
The third list of vehicles filed through form 2290 is exempted vehicles. The name speaks it all. These vehicles are operated and maintained by the government itself and thus, they are not required to pay their tax. Reporting the form 2290 is mandatory for any type of vehicle.
The following are the vehicles included in the list:
- The Federal Government,
- The American National Red Cross,
- The District of Columbia,
- A nonprofit volunteer fire department, ambulance association, or rescue squad,
- A state or local government,
- Indian tribal governments (To carry out essential tribal government functions)
- Mass transportation authority’s (under certain conditions)
Also, include these vehicles in the list:
- Qualified blood collector vehicles used by qualified blood collector organizations, and
- Mobile machinery that don’t come under the category of heavy vehicle.
Logging Vehicles:
After exempted vehicles, logging vehicles are the one exclusively used for the conduct of logging operations.
These vehicles are exclusively used for the conduct of logging operations.
A Logging Vehicle Is Qualified On the Following Basis:
- Exclusively used for transporting harvested products from the forested site, or for transporting products harvested from the forested site to and from locations on a forested site (public highways may be used between the forested site locations), and
- Registered as highway motor vehicle and used exclusively in the transportation of harvested forest products. In addition, no special tags are required.
Agricultural Vehicles:
Involved in harvesting and transporting agricultural goods, agricultural vehicles can drive up to 7,500 miles annually. Exceeding miles will be treated payable against form 2290.
The Vehicles That Fall Under This Category Are:
- Primarily used for farming purpose.
- Registered under the highway motor vehicle but they are exclusively used for farming and agricultural purpose. In addition, there are no special tags to differentiate the vehicle.
With the types of vehicles and their detail explanation, we are sure you have understood and categorized your vehicles accordingly. Also, we would like to remind you if you have taken your vehicle out in October, you should be filing form 2290 on or by November 31st. Since the due date has already crossed your calendar, however, if you have missed filing your return, you can always report HVUT online through TruckDues.com.
Get in touch with our Tax Expertise at (347) 515 – 2290 or simply drop in a mail to support@truckdues.com. We are here for you, for better back-end support.
Happy Trucking! – Team TruckDues.com
Final Reminder To File Prorated Tax Through Form 2290
So truckers, how is the week treating you? Well, we have an announcement to make. If you have bought you vehicle for the first time on road in the month of September, you are liable to pay your prorated taxes by the end of October, which is not too far from our calendars. Just one more day, and the due date would end. So hurry up filers, come over and file your prorated tax with TruckDues.com.
Usually, the tax season due date falls on July 1st of the calendar year and ends by August 31st of the same year. If the due date falls on the weekend or a public holiday, the due date is extended to the next business day.
What Happens If You Miss Filing HVUT By The Due Date?
Well, there are few consequences faced by the taxpayer for not filing HVUT on time. Among them, paying penalties and interest are the most frequent.
Penalties:
The total penalty for not filing by August 2014 will be 4.5% of the total tax due. This penalty is added up for 5 months.
For instance, if your total tax due is $250, then penalty will be $250X4.5%= $11.25
So total tax due with penalty will be $261.25
Interest:
Apart from penalties, the IRS charges monthly interest for the total tax due which is 0.5 of the total tax due.
Therefore, if you do not file your 2290 return on time, you will be liable to pay taxes with penalty and interests, which costs you around 5% of your total tax due. It is advisable to file your tax return on time to stay away from IRS audits.
However, do bear in mind that you cannot let go filing form 2290 any point of your life if your vehicle falls under the category of heavy vehicles. It is always better to file and pay your dues online through TruckDues.com and receive your schedule 1 copy in minutes.
There are multiple advantages of filing online; however, one of the main reasons would be automatic tax calculations and error check. These two are the most important features TruckDues.com holds out for you. You can overcome the errors usually take place through manual filing.
Do remember, the error check is not a guarantee that your return will not face rejection. There are various reasons for the same. We have discussed the same below:
- The EIN Does Not Match Your Business Name
- Duplicate Return or Duplicate VIN
- EIN Not Registered In The IRS Records
- Incorrect Routing Number
Do not panic if your return is rejected. You can come over and file your return again before the IRS the due date is ended. You can always expect our Tax Experts around you. Reach us for more assistance at 1-866-245-3918 or email at support@truckdues.com. Immediate assistance can be anticipated.
Employee Identification Number- The Requirement
Each time you are filing form 2290 online, there are few mandatory details to be mentioned and in the list, EIN is the most important.
What is an EIN?
EIN is one such identification number for IRS to recognize you. It is important as it protects the system and the privacy setting. The combination of the EIN and the name of the taxpayer are revised into unique identifier for each taxpayer. If the unique identification number does not match IRS records, your return would be rejected. So ensure you are keying the right number/ character while filing form 2290.
If you don’t remember your EIN while filing your return or if you have accidently misplaced it, reach IRS at 1-866-699-4096 and they would look into it for you.
However, we are here to tell you how to get your EIN if you are new to the world of business. Following are the methods you can choose and receive your Employee Identification Number. And there you go, EIN in your hand.
Apply EIN Online:
If you are good with computers and the need of EIN is urgent, you can always apply EIN online. The process faster when compared to the other methods and you are likely to receive it at the earliest. Visit www.IRS.gov and click on Businesses, then click on Employer Identification Numbers (it’s on the left hand side of the page under “Topics”) for more information. It is fast, free and user-friendly.
Apply EIN Through Phone Call:
If you wish, you can order your Employee Identification Number through phone.Call, 1-800-829-4933 and explain them about your new application for EIN. The process is little time consuming and you cannot file your return online once you receive as the authorities take some time to get the EIN updated in the common database. So do wait for few days and file your return. File after 15-20 days after you received your EIN for better results.
Apply By Mail:
You can apply EIN through mail and receive the same within 4 weeks. You need to ensure that formSS-4 (PDF) contains all of the required information. If it is determined that the entity needs a new EIN, you will be assigned the appropriate procedures for the entity type and mailed the same.
Receive EIN Through Fax:
Also, you can fax or mail Form SS-4, Application for Employer Identification Number, to the IRS.
However, EIN is mandatory if you are efiling your return. Without EIN, your return is not likely to be processed. However, if you opt for paper filing, you don’t require EIN. You can submit your SSN (Social Security Number).
So tell us, are you new to the world of business? Don’t you worry about it. Come over and efile with TruckDues.com. We have the world best handpicked Tax Expertise at our end to solve your queries and help you in filing form 2290 with ease.
Get in touch with our Tax Expertise right through email, phone or even chat. Simply dial (347) 515 – 2290 or simply drop in a mail to support@truckdues.com. We are here for you, for better back-end support.
Happy Trucking! – Team TruckDues.com
Here’s What Happens When You Don’t File Form 2290 On Time
Exceptions are few; however, heavy vehicle with a gross weight of 55,000 lbs and more and using the public highways need to pay the tax as per the Federal regulations. And this becomes mandatory for the owner operators and truckers to file form 2290. We are going to talk about the scenarios you would face if you don’t file form 2290 for your taxable heavy highway vehicle.
Following are the scenarios, which are applicable with form 2290:
- What if you don’t file Form 2290
- Not signing the return
- Claiming refund of Heavy Vehicle Use Tax already paid
- Sale of vehicle
- Getting stamped Schedule 1 on short notice
What If I Don’t File Form 2290:
As per the law, if you are late in filing your taxes, you are liable to pay penalties for failing to file the tax 2290 return on time. False filing or fraudulent returns will be penalized. Other than penalties, there will be interest charges against the delay of payment. Also in case of filing the return after the due date, you need to attach a detailed explanation for the delay with the valid reason.
Not Signing The Return:
If in case, the return is submitted without signing, the return will be sent back to you for signing. It is important to note that, unsigned return will be considered as filed return.
Claim A Refund On Heavy Vehicle Use Tax Already Paid:
If your taxable heavy vehicle is destroyed, stolen, or sold before June 1 or for one that was used 5,000 miles or less (7,500 miles or less for agricultural vehicles), a refund for tax paid can be claimed on the subsequent Form 2290 filed. Form 8849 – Schedule 6 can also be used to claim the refund.
Do note, till the end of HVUT tax period, form 8849 cannot be filed. For example, tax is paid for the period July 1, 2009, through June 31, 2010, for a vehicle used 5,000 miles or less during the period, a refund on Form 2290 (or refund on Form 8849) cannot be claimed until after June 30, 2010.
Sale Of Vehicle:
In case a vehicle was sold, the taxpayer who filed the return and paid the tax gets the credit.
Receiving Schedule 1 Copy Immediately:
When efiling form 2290, you would receive your schedule 1 copy in minute’s right after you transmit your return online. However, if you have queries and questions to answer, you can always get in touch with our Tax Expertise right through email, phone or even chat. Simply dial (347) 515 – 2290 or simply drop in a mail to support@truckdues.com. We are here for you, for better back-end support.
Happy Trucking! – Team TruckDues.com.
Discover The Role Of Third Party Designee For Your Form 2290
So truckers, how are you doing? Today we are going to talk about the role of Third Party Designee when you are filing form 2290 for your heavy vehicles weighing more than 55,000 pounds. No matter which method you opt for, either paper filing or e-filing, by the end of preparing your return, you will be asked to assign a Third Party Designee for your filing. Many of us prefer skipping that option very conveniently as we feel we are calling in for more problems, however, that is not right.
We will talk about the purpose of holding upon a Third Party Designee for your return.
The basic role of the Third Party Designee is to handle your financial dealings with IRS on your behalf. Keeping in mind the busy schedules to run the show of deliveries, a trusted person from an employee to or business head can be assigned as Third Party Designee. Simply check on “Yes” to authorize IRS to speak with the designee to answer the questions shot by IRS related to the information noted in form 2290. Also, you are authorizing the designee for:
- Exchange of information concerning form 2290 with IRS,
- Request and receive written tax return information related to form 2290, including copies of notices, correspondence, and account transcripts
Additionally, you need to mention the designee name, phone number and the five digits that person choose as his/her personal identification number (PIN). The authorization applies only to the tax return on which it appears and does not bind the designee to deal with additional tax liability or otherwise represent the taxpayer before the IRS. The authorization is valid for one year from the due date.
Additionally, you can revoke the authorization by writing to IRS. Check IRS official website for more information.
Other than that, we have an announcement to make. If you have taken your vehicle out for the first time during the month of August, you are liable to file and pay tax due by the end of September in order to avoid penalties. E-filing is beneficial, easier and advantageous with TruckDues.com and of course, it leaves you overwhelmed when you notice your taxes is calculated already and there is no room for IRS to reject your return. And how can you miss out the comfortable assistance provided by our Tax Expertise.
TruckDues.com is being into the tax filing industry for more than a decade and now we are adding upon better and unique features to provide a user-friendly tax filing session our end and receive your schedule 1 copy in minutes through fax or request for an update through text.
Any other queries related to truck tax or you would like to share your feedback about our application, do feel free to get in touch with our Tax Expertise at 347) 515 – 2290 or simply drop in a mail to support@truckdues.com. We are here for you, for better back-end support.
Happy Trucking! – Team TruckDues.com.