If you own a fleet of vehicles weighing 55,000 tons or more, you have to file for 2290 form and pay heavy highway vehicle use tax. This article contains some information that may help you if it is your first time filing for this tax.
Where the tax goes
The heavy highway vehicle use tax goes to the repairs and maintenance of national roads. The tax may also be used in road widening projects or construction of new highways. This is reasonable as heavy vehicles like rigid trucks, trailer trucks, A-train, and B-train largely contribute to road damages. While these roadways are built with high-quality concrete and materials, they are also subject to wear and tear especially from heavy vehicles that go back and forth for business.
How to file
You can get 2290 form through a paper return or electronic filing. The paper return, which is the traditional method, may require more time and effort on your part. You have to fill out several documents manually and the filing process may take a while. The advantage is you can easily make corrections. Heavy News
If you prefer faster and more convenient processing, the electronic IRS 2290 filing is the best option.E-filing may be faster but your request may be rejected after two attempts due to some technical errors, like if it contains duplicate Vehicle Identification Numbers (VINs). If your business operates 25 or more heavy vehicles though, you have no choice but to go for electronic filing.
Another way to file electronically is through the Electronic Federal Tax Payment Systems (EFTPS) or via bank draft. When you go for this option, you have to sign up at the earliest time possible because the process usually takes 15 days. After this period, the Internal Revenue Service (IRS) will assign you a Personal Identification Number (PIN). You will need to set a password for the account afterwards.
What you need to know
Make sure to prepare all required information before filing. This is especially important when you are filing for a fleet or a group of heavy vehicles. Some information you need include the company name and information, number of vehicles you are filing for, the respective VINs, and their gross weight.
The Internal Revenue Service allows you to file multiple returns every year. It is wise to consolidate the VINs when filing so you will pay smaller amounts. Doing so will also minimize the chances of overpaying and other errors. When consolidating returns, you have to file 2290 form the month the vehicle was first used on a public highway.
Some heavy vehicle owners and operators do not see why they have to pay the tax. The thing is, everybody benefits from this. Regular commuters to huge companies need good roads. The good news is, there are companies that can assist you in the filing process. They can help you save more time so you can focus on your business operations.