As per the Internal Revenue Service, vehicle owners who own vehicles that weigh 55,000 pounds or more are liable to submit form 2290 and pay the HVUT tax. The owner can file electronically or manually. Now the question is what if the driver buys a new truck or any other vehicle and how can he transfer 2290 to his new vehicle.
When the owner-operator replaces his old vehicle with a new one, he can transfer his 2290 tax and adjust the credits. The operator’s new vehicle will be reported to the Internal Revenue Service for the pro-rated taxation period i.e., based on the time when he first used his truck. If the operator wants to claim a refund, he needs to use form 8849 schedule 6. This form will act as a request to the Internal Revenue Service for a refund. Once the IRS accepts your request for the claim, it will mail the owner the refund check within 4 to 6 weeks.
Instructions for the 2290 Tax transfer
The following are the instructions that the owner-operator can follow for the 2290 tax-transfer:
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Electronically file the new 2290 form
The owner-operator should create a new account or login into the existing one. For this, he has to provide his name, details about his business and EIN before starting the e-filing process. Next, he has to click on the option “Start a new return”, choose file form 2290 and enter the first used month in which the new truck is used.
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Using the form, claim credit for a vehicle
In the next step, the owner-operator can claim credit for a vehicle using the new form. For this, he has to enter details such as vehicle information, Vehicle identification Number, gross weight of the new truck and choose if it is a logging vehicle or not.
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Receiving Stamped schedule 1
In the next step, the owner-operator has to fill in details about the credit vehicle. For this, he has to click on the option i.e., add details of the credit vehicle, such as the Vehicle identification number and gross weight and later the information about the “loss event”.
The owner also has to fill in the details about the date on which the old vehicle was sold, lost, or destroyed. For this purpose, the owner also has to upload proof such as a bill of sale or the police statement in case the vehicle was stolen.
Next, he has to choose the payment method and click on the button ‘Transmit’.
Once the Internal Revenue Service reviews the return submitted by the owner and accepts the same, it will send the new stamped schedule 1 to the owner-operator on the registered email address. It should be filed before form 2290 due date, otherwise heavy penalties are charged.
Schedule 6 i.e. Form 8849
Schedule 6 form 8849 is helpful to claim the tax refund, in case the earlier vehicle gets sold, destroyed, or stolen.
Who can fill the IRS schedule 6 i.e. 8849
In case of the following circumstances, the owner-operator can use the form 8849:
- If he has paid the tax in excess by mistake in tax liability reported previously on the IRS form 2290.
- In case, he owns a truck that is stolen, destroyed, or sold after the submission of form 2290 during the taxable period.
- In case, he owns a truck that traveled 5,000 miles or less on the highways during the taxable period.
- If he owns a vehicle used for agricultural purposes and has traveled 7,500 miles or less during the taxable period.
When can the owner-operator file form 8849 schedule 6?
The owner-operator can file the form 8849 within 3 years of submitting the return to which the claim relates or 2 years from the date when the tax return was reported or paid, whichever comes first.
Required documents for the claim of HVUT Return
The following are the documents required to claim the HVUT return:
- The owner’s name and address- it is required to match with the filed IRS form 2290.
- Vehicle identification number
- Employer identification number
- Taxable gross weight category
- The date on which the vehicle was sold, destroyed, or stolen
- Refund amount
- The name and address of the person who purchased the vehicle from the owner.
How to claim a refund ?
The following are the methods one must follow to claim an HVUT refund:
- First, the user can electronically file Schedule 6 through a reliable IRS-approved e-filing service provider.
- He can also manually send a mail of schedule form 8849 to the Internal Revenue Service.
The operator can use either method to claim a refund. However, the IRS recommends users to e-file as it is quicker and easier.