Claiming Credits on Form 2290: Everything You Need to Know

 Claiming Credits on Form 2290: Everything You Need to Know

IRS Form 2290 is a form that is filed by the driver of a vehicle that weighs 55,000 pounds or more for the Heavy Vehicle Use Tax (HVUT) to the IRS. If throughout the duration of a tax year, a qualifying vehicle drives 5,000 miles or less, or 7,500 miles or less if used for agricultural purposes, Form 2290 must still be filed but no tax will be owed for this vehicle and it will be considered suspended by the IRS. This is something that every driver of a vehicle weighing 55,000 pounds or more should know. When filing Form 2290 online, there are also some cases where you might need to claim a credit on your form.

When would you need to claim a credit on Form 2290?

When filing Form 2290 for the Heavy Vehicle Use Tax, it is important to know what options are available to you on the form. One of these options is the ability to claim credits on Form 2290. When it comes to this option, there are several instances that would require you to claim a credit on your Form 2290. These instances include having sold a vehicle, having a vehicle stolen or destroyed, or having a vehicle not exceed the mileage limit when it had already been filed as not suspended. 

How would you claim credits on Form 2290?

When filing Form 2290 you will have the option to claim credit vehicles. You will specify the reason for claiming the credit as well as the vehicle’s information, including the Vehicle Identification Number (VIN). Here you will state whether the vehicle was sold, stolen or destroyed, or didn’t exceed the mileage limit.

Sold Vehicle

If you sell your vehicle, you are able to claim a credit on that vehicle when you go to file your IRS Form 2290. When filing Form 2290 you will have the option to input credit vehicle information. Here is where you will specify that you have sold a vehicle. You will need to specify information about this sold vehicle including the VIN, the date sold, and the buyer’s information. Once you state this information you will be able to claim a credit for the months you no longer owned the vehicle.

Stolen or Destroyed Vehicle

If your vehicle is stolen or destroyed, you have the ability to claim a credit on that vehicle when you file Form 2290 as well. In the section on Form 2290 where you can claim credit for vehicles, you will enter the vehicle’s information such as the VIN, make, and model. You will indicate the date it was stolen or destroyed, this way you will be getting a credit for the months that you did not have the vehicle on the road or in your possession. 

Vehicle that did not exceed the mileage limit

Another instance where you can claim a credit on a vehicle when filing your Form 2290 is by not exceeding the mileage limit. Form 2290 is filed for the upcoming tax year. If you actually traveled less than 5,000 miles, or 7,500 miles if it is used for agricultural purposes, during the tax year but did not originally file the vehicle as suspended, you have the option to claim a credit for this vehicle. On Form 2290 you will enter the vehicle’s information and then specify that it did not exceed the mileage limit. In this instance, you will receive credit for the full tax amount paid for that vehicle for that tax year. If mileage wasn’t exceeded then you will also give the details about this vehicle.

Other Options for Claiming Credits 

Another option that is available to filers to claim credit for a vehicle that was sold, stolen or destroyed, or did not exceed the mileage limit is to file Form 8849 Schedule 6. This IRS tax form is designed to get credit back for a vehicle that meets the requirements. In this case, you do not have to file it on your Form 2290 as a credit vehicle but it is a separate tax form entirely designed to request the credit back from that vehicle. All you need for this form is the vehicle’s information and a detailed explanation of why the form is being filed. Form 8849 is processed manually by the IRS however, so it could possibly take up to a year or more to get the credit for your qualifying vehicle back. If you would rather wait until the next time you file Form 2290 if you still have a truck to file for, then you are able to add these credit vehicles to your Form 2290 instead and the vehicle credits will be processed at the same time as your Form 2290. 

ExpressTruckTax Offers the Best Solution for Filing Vehicle Credits

When you file Form 2290 with TSNAmerica, adding vehicle credits is made easy. Simply call in and have an agent help you add the vehicles that you need to claim a credit for by stating the vehicle information and the reason for claiming the credit. 

Form 8849 is also available through TSNAmerica and only takes a few simple steps. No matter how you want to file or report your vehicle credits, TSNAmerica has the best solution for you. What are you waiting for? File with TSNAmerica today and start reporting your vehicle credits today! Call now!