When heavyweight vehicles operate on the public highway, damages are bound to happen more when compared with other vehicles. Hence, as a safety measure to safeguard the public roads from the heavy vehicle damages, in the Surface Transportation Assistance Act of 1982, Congress brought the HVUT. The simple reason behind the Heavy Vehicle Use Tax (HVUT) is the amount collected to compensate the damages caused. The collected amount from the truck owners is dispersed among the states by the states by the highway trust fund according to various legal formulas. Apart from that, this truck tax amount is used for variety of transportation infrastructure improvements like
- Improving highway and to carry out maintenance activities.
- As an investment on highway and traffic system.
- As a law enforcement on highways.
- As a measure of safety programs.
- Congestion relief projects.
- For administration expenses.
Why Need to Pay HVUT?
According to statistics, the heavy vehicle causes more damages when compared to other vehicles. Therefore, the trucking or the heavyweight vehicles industry need to compensate the damages caused to the public highways. Paying HVUT taxes not only benefit our nation but also all the citizens who use the public highways regularly for transportation.
- Reduces number and severity of accidents.
- Saves a lot of lives, money and time.
- Decreases energy consumption.
- Increases emergency response time.
- Boost the quality of air.
- Assisting efficient movements of goods.
- Lowers cost of fuel and insurance.
- Improves mobility on roads.
- Eases congestion effectively.
- Enhances business productivity.
- Strengthens and improves the economic productivity of the nation.
Who Must File and Pay the HVUT?
- When you have a taxable highway vehicle registered or required to register in your name under the state or District of Canadian, Columbia or Mexican at the first use of the vehicle during the tax period.
- The Stamped Schedule 1 serves as a proof of payment for filing the Form 2290 and it can be used for the state registration purposes.
It is a big responsibility of every truck owner to E-file Form 2290 and pays the Heavy Vehicle Use Tax to the IRS. The paid truck tax amount directly funds for better transportation infrastructure. Even the IRS recommends to e-file IRS Form 2290 for its safety, reliability, and quickness. The processing speed and return of the proof of payment stamped Schedule 1 is almost immediate than another filing method.