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Find out here If you are in the trucking business’ IRP is not a new term for you. But, for the benefit of a few, all US jurisdictions and provinces of Canada, and Washington D.C. through the International Registration Plan (IRP) allow the operation of commercial vehicles across various states with a single license plate number. However, one of the requirements is that carriers using IRP plates should record the mileage in the respective state and pay the fees according to that mileage. The holding of an IRP plate cannot act as a substitute for the compliance of federal laws, and that means such obligations as the payment of the Heavy Vehicle Use Tax (HVUT) through Form 2290 IRS must be met.

Understanding IRP Plates in Trucking and Their Compliance Role

The IRP can be briefly described as an agreement between all the states of the US, the Washington D.C., and the provinces of the different parts of Canada. It is aimed at the facilitation of the operation of the commercial vehicles through an array of jurisdictions with a single registration plate. During the course of operation, the truckers should provide concrete evidence of the travel miles they have made and pay for it accordingly. Although IRP registration is handled at the state level, carriers are still required to meet federal obligations, including filing Form 2290, but compliance with all legal requirements, particularly the one for the Heavy Vehicle Use Tax (HVUT) vouched by Form 2290.

Why Form 2290 is Required for IRP Vehicles

One of the mandatory conditions for any truck to be an interstate mover is to have a weight of 55,000 pounds and no less. The weight of the trucks mentioned before (IRP-registered ones) well exceeds the mark of 55,000 pounds. Therefore, the vehicles are subject to Form 2290 filing. The IRS uses this tax form to collect the Heavy Vehicle Use Tax (HVUT) from truck owners, the driver must provide Schedule 1 as proof of payment during IRP plate renewal for future registration of your IRP plates with the State DMV.

What Happens If You Skip Form 2290 Filing?

Being late in the filing of Form 2290 or non-payment of HVUT will have consequences. If you don't file the Form 2290 or pay the HVUT when it is due, the IRS will levy penalties, interest charges, and, in addition, the IRP registration renewals will be disrupted. Nearly all the DMVs are to start the registration process only if the document which is the Schedule 1 is found inside the application. This will make you park and stop your business performance hence; there is a possibility of revenue loss in the transportation industry of your organization.

Stay Compliant, Avoid Penalties

Form 2290 must undoubtedly be filed annually by IRP plate trucks. To avoid penalties and to have a simple and safe IRP registration process, make sure you complete it before the IRS deadline, which is typically August 31st for cars used in July. Additionally, choose a trustworthy Form 2290 filing service that can provide you with instant Schedule 1 proof and keep your firm on track if you need assistance or are unsure how to e-file.

Note: For more information, visit IRS website