IRS Form 2290 is used when paying the HVUT. The Internal Revenue Service (IRS) is responsible for collecting the tax, so all payments are made to the IRS. Payments made in 2023 cover the period from July 1, 2023 to June 30, 2024. For new vehicles, IRS Form 2290 must be filed by the last day of the month following the month of first use.
Once the carrier has paid the tax, proof of payment must be submitted with their registration renewal to relevant state authorities. Proof of payment may generally be provided either in the form of a receipted and stamped Schedule 1 from IRS Form 2290 or a copy of a completed IRS Form 2290 with a front and back copy of the canceled check used to make the payment. This process is illustrated in the image shown below.
For large carriers with 25 or more vehicles, electronic filing is accomplished using a credit card or other means of electronic payment. When presenting proof of payment, the taxpayer must have the original electronic receipt or a copy of the receipt and a credit card or other bank statement showing evidence of the transaction.
In the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU), Congress took action to enhance HVUT enforcement through several provisions:
- Mandating that HVUT taxpayers with 25 or more vehicles file taxes electronically
- Repealing the option to pay the HVUT on a quarterly basis
- Funding the development of an electronic system for the filing process
Due to these provisions, the procedures for paying the HVUT will be changing in the coming years. How that process might ultimately look is presented in the final module of this training course.