Top 7 HVUT Filing Tips

If you are a trucker, it is important to know about IRS form 2290. It is mandatory to file IRS form 2290 and pay Heavy Vehicle Use Tax if you come under the eligibility criteria to avoid any penalties imposed by the IRS.

HVUT return is used for maintenance and construction of the US highways. If you are in the trucking business, it is important to know everything in detail about IRS form 2290 like how to apply, eligibility, exemptions, formalities, due date and much more.

 

If you own a vehicle with a taxable gross weight of 55,000 pounds or more and has run 5,000 miles or above, then you are liable to file form 2290. And, you need to pay this tax annually, beginning from July 1st and ending on June 31st.

 

You can complete this process manually and online both. For manual filing, you have to visit the IRS office, and for online procedure, you have to find an authorized IRS service provider who is well-versed with the process. An authorized IRS service provider will help you at every step right from beginning to end. Also, they will make sure that no mistakes are made, reducing the chances of rejection.

 

You are exempted from filing form 2290 if you:

  • are a qualified QSub,
  • are eligible single-owner disregarded entity,
  • have a vehicle operated under a dealer’s tag, license or permit,
  • have a vehicle owned and operated by federal government or district of Columbia or state, use a vehicle for the welfare of Indian tribal community,
  • have a vehicle designed for non-transport services,
  • do not use vehicles on highways, etc.

So, make sure to check the eligibility criteria and the file for it.

 

Filing your form 2290 can be confusing. We hope the below tips will help you out to make your filing process easier and quick:

  1. Use a valid EIN– An Employee Identification Number (EIN) is necessary to file form 2290. You have to get an EIN which is mandatory as you cannot use your social security number against it. Also, it takes at least 2 weeks to activate EIN. So, check out your form 2290 due date and apply for EIN accordingly.
  2. Re-check– Before submitting, make sure to check all the details and review your form one last time before submission. Entering the wrong information will lead form 2290 rejection by the IRS to . So, re-check everything in detail.
  3. E-file– There are 2 ways to file this tax. You can opt for online if you own 25 or more vehicles and all come under eligibility criteria. Also, e-filing helps in reducing mistakes and is way too faster than paper-filing. With e-filing, you easily get the Schedule 1 on your registered account, which acts as a proof that you have paid your tax.
  4. Go for a trustworthy service provider– Make sure to choose an IRS authorized  e-file service provider to file form 2290.
  5. File on time– Always file your  form 2290 before the due date. Advance filing will always help you and will keep you tension free. Pre-filing also provides ample time to make corrections and refile your form 2290 in case of rejections.
  6. Maintain records– Always keep the copy of records for at least three years after the tax is due or paid, whichever is later. It is always advised to maintain a proper record for future references.
  7. Payment options– You can pay tax online using credit and debit card offering a convenient and hassle-free payment option.

 

So above are some of the common tips which will help you out while filing IRS form 2290. The process is simple if you know the details. Make sure to re-check the information before submitting form 2290 to reduce the chances of re-file.