When a heavy highway vehicle is filed at a lower taxable gross weight originally and is later increased in that tax period to a higher weight category, an amended return with payment of the additional tax due must be filed by the taxpayer. This must be done because the HVUT rate is determined by the weight of the vehicle.

The Required Action: Filing an Amended Form 2290

Electronic filing of Form 2290 also allows for easier recordkeeping. With paper filing, you The moment the taxable gross weight of the vehicle increases, moving it into a new, higher tax category, the original Form 2290 filing becomes incorrect. Thus, the owner-operator, or fleet manager, must immediately notify the IRS through an amendment.

• File an Amended Return: The taxpayer files an amended Form 2290. This is accomplished by checking the "Amended Return" box on the form and choosing the reason for an "increase in taxable gross weight."
• The Critical Deadline: This is not a task that can be delayed. The amendment has to be filed by the last day of the month following the month during which the weight of the vehicle increased. Failure to do so will invite IRS penalties, along with interest charges for underpayment.

It is not based on the difference between the old and new annual tax rate. Instead, this additional tax is prorated, depending on the number of months remaining in the tax period of July 1st to June 30th, beginning with the month the weight increased.

Calculation Steps:

Electronic filing of Form 2290 also allows for easier recordkeeping. With paper filing, you

• Determine the New Tax: Using the IRS tax tables, find the prorated HVUT amount for the new, higher weight category from the month of the weight increase through June 30th. Determine Old Tax: Calculate the prorated HVUT for the old weight category lower weight amount for the month the weight was increased back through June 30th.
• Difference Calculation: The additional tax due is the difference between the New Tax amount and the Old Tax amount.
• Additional Tax Due = Prorated Tax (new category) - Prorated Tax (old category)
• Simplified E-Filing: It is highly recommended to use an IRS-authorized e-file provider, as the software will automatically perform this complicated prorated tax calculation on the basis of the vehicle VIN, the original filing, and the month of the weight change.

Receiving the Updated Schedule 1

Electronic filing of Form 2290 also allows for easier recordkeeping. With paper filing, you When the amended return is filed and payment of the additional tax is made the IRS will provide an updated stamped Schedule 1. This new document reflects the correct, higher weight category of the vehicle and serves as the required proof of payment by state DMV offices for truck registration.

Note: For more information, visit IRS website