Ready or not, 2290 season is coming up pretty quickly now. We hope you’re prepared to file for your heavy vehicles in order to receive a copy of your stamped Schedule 1. However, before you file make sure you know what types of vehicles you have because some are subject to lower tax rates than others, and we don’t want you to pay more than you have to. Take a moment to see if any of your vehicles qualify for lower rates, exemptions, or credits here!
2290 Vehicle Types
If you own a qualifying heavy vehicle then you have to file a Heavy Vehicle Use Tax Form 2290 by the August 31st deadline. A qualifying vehicle or a highway motor vehicle is any vehicle with a taxable gross weight of 55,000 pounds or more.
This includes any self-propelled vehicle that is designed to carry loads over public highways, regardless of whether they’re designed to perform other functions or not. Examples of other functions include carrying passengers, special cargo, and if the vehicle has permanently mounted equipment. The vehicle itself includes the chassis, or chassis and body and does not include the actual load.
An agricultural vehicle is any type of highway motor vehicle that is used or expected to be used for primarily farming purposes. Agricultural vehicles are required to be registered under state laws as a highway motor vehicle used for farming purposes for the entire tax period.
To qualify as an agricultural vehicle the vehicle must be primarily used for farming purposes for over half of the vehicle’s use, which is based on mileage during the tax period.
Agricultural vehicles that are used for less than 7,500 miles during the tax period qualify as suspended vehicles.
A logging vehicle is a vehicle that is used exclusively for the transportation of items harvested from forested sites or a vehicle that exclusively transports products from the harvested sites to and from locations in the forested site. Logging vehicles must be registered as a vehicle exclusively used for logging according to the vehicle registration laws for your state.
This is important because logging vehicles are subject to lower rates than other heavy vehicles.
Suspended or Credit Vehicle
A suspended vehicle is any taxable vehicle that doesn’t exceed 5,000 miles (7,500 miles for agricultural vehicles) during the tax period. Suspended vehicles must be included on your Form 2290, but if they exceed the mileage limit during the tax period then you’ll owe taxes for them.
These vehicles are also known credit vehicles and include vehicles that were destroyed, stolen, or sold during the tax period. After filing your Form 2290 and paying your total Heavy Vehicle Use Tax due you can file Form 8849 the Claim for Refund of Excise taxes to claim a credit or refund on your Heavy Vehicle Use Tax paid for these vehicles.
When e-filing Form 2290 with ExpressTruckTax if your credit exceeds your tax due ExpressTruckTax will automatically generate Form 8849 for you.
Exempt vehicles are vehicles that are exempted from Heavy Vehicle Use Taxes, so you do not need to file Form 2290 for them. They’re totally exempt, no matter how many miles they travel.
Heavy Vehicle Use Tax-exempt groups include the federal government, the American Red Cross, Indian tribal governments (to carry out tribal government functions), and mass transportation authorities.
Exempt vehicles include qualified blood collector vehicles used by qualified blood collecting organizations, mobile machinery used for non-transportation purposes, and vehicles that aren’t considered highway motor vehicles, like vehicles designed for off-highway transportation.
Now that you know what types of vehicles you have and how you can save head to ExpressTruckTax to pre-file your 2290 today or call TSNAmerica 803.386.0320 to have a representative pre-file for you over the phone. Both options will send you your stamped Schedule 1 via email!
If you have any questions please don’t hesitate to contact the dedicated TruckLogics support team at 704.234.6946 Monday – Friday from 8:30 AM to 5:30 PM EST, via live chat, and through our 24/7 email support at [email protected].