How Much Is the Form 2290 Tax Per Year?

The Heavy Highway Vehicle Use Tax (HVUT), reported on IRS Form 2290, is an annual federal excise tax imposed on certain heavy highway motor vehicles. This tax helps fund the construction and maintenance of the nation’s public highway system. It applies to vehicles used on public highways with a taxable gross weight of 55,000 pounds or more.

Identifying Taxable Vehicles and Periods

A vehicle is considered a “heavy highway vehicle” for tax purposes if its gross taxable weight is 55,000 pounds or more. This includes trucks, truck tractors, and buses designed to carry a load over public highways. Vans, pickup trucks, and similar vehicles generally do not meet this weight threshold.

The tax applies to vehicles that are registered, or required to be registered, in an owner’s name at the time of their first use on public highways during the tax period. The standard tax period for Form 2290 runs from July 1 of one year to June 30 of the following year.

The “first month of use” is the specific month within this tax period when a vehicle is first operated on public highways. This month determines the starting point for calculating the tax. For example, if a vehicle is first used in October, the tax calculation begins in October, not July. Some vehicles are exempt from this tax based on their type or specific use.

Determining Your Tax Liability

The Heavy Highway Vehicle Use Tax is calculated based on a graduated tax rate structure related to the vehicle’s gross taxable weight. For vehicles with a taxable gross weight of 55,000 pounds, the annual tax is $100. For vehicles between 55,001 pounds and 75,000 pounds, an additional $22 per 1,000 pounds or fraction thereof is added to the base $100. Vehicles with a taxable gross weight of 75,000 pounds or more are subject to the maximum annual tax of $550. Logging vehicles, while still subject to the tax, benefit from reduced rates.

The tax is determined by the vehicle’s maximum gross taxable weight, which includes the unloaded weight of the vehicle, any commonly used trailers, and the heaviest load typically carried. For example, a non-logging vehicle with a taxable gross weight of 75,000 pounds or more would owe $550 for the full July 1 to June 30 tax period.

When a vehicle is put into service after July, the tax is prorated based on the month of first use. This means the tax amount is reduced to reflect only the months the vehicle is in service during the tax period. For instance, if a vehicle is first used in November, the tax would be calculated for the period from November through June 30.

Factors That Adjust Your Tax Obligation

The tax obligation for a heavy highway vehicle can be suspended if its mileage falls below a certain threshold. For most taxable vehicles, if they are used 5,000 miles or less on public highways during the tax period, the tax is suspended. Agricultural vehicles have a higher threshold, with the tax suspended if their mileage is 7,500 miles or less. Even if the tax is suspended due to low mileage, you are still required to file Form 2290 and report the vehicle as “suspended.” If a suspended vehicle later exceeds its mileage threshold within the tax period, the tax becomes due, and you must file an amended Form 2290.

Credits or refunds may apply if the tax has already been paid. This includes situations where a vehicle is sold, destroyed, or stolen before the end of the tax period, or if a vehicle for which tax was paid ends up being used less than the mileage threshold. To claim a credit or refund, taxpayers generally use Form 8849 or may adjust their current Form 2290. Detailed records, such as mileage logs or proof of sale, are important to support such claims.

Some vehicles are entirely exempt from the HVUT. These include:
Vehicles owned and operated by the federal government, state, or local governments
Vehicles owned and operated by the American National Red Cross
Qualified blood collector vehicles
Certain mobile machinery not designed for transportation functions
Vehicles used primarily for farming purposes (exceeding 50% agricultural use)

Understanding Filing and Payment Procedures

The general filing deadline for Form 2290 is August 31 for vehicles used on public highways in July, covering the tax period from July 1 to June 30 of the following year. If a taxable vehicle is first used after July, Form 2290 must be filed by the last day of the month following the month of first use. For example, if a vehicle is first used in November, the filing deadline is December 31. If any deadline falls on a weekend or legal holiday, the due date shifts to the next business day. Adhering to these deadlines is important, as penalties and interest may accrue for late filing or payment.

Most taxpayers are required to e-file Form 2290, especially if reporting 25 or more vehicles. Those reporting fewer than 25 vehicles have the option to paper file. E-filing offers benefits such as immediate receipt of a stamped Schedule 1, which serves as proof of payment and is often required for vehicle registration. The official Form 2290 and its instructions are available on the IRS website.

Several payment options are available for the HVUT. The Electronic Federal Tax Payment System (EFTPS) is a common method, requiring prior enrollment. Taxpayers can also pay using a credit or debit card through authorized payment processors. Paying by check or money order via mail is another option, typically accompanied by Form 2290-V, Payment Voucher.

Upon successful filing and payment, you will receive a stamped Schedule 1. This document is confirmation that your Heavy Highway Vehicle Use Tax has been paid for the specified vehicle and tax period. It is important to retain this stamped Schedule 1 for your records, as it may be needed for vehicle registration purposes.