In short

Tax work for trucking companies covers the entity return or Schedule C, depreciation of tractors and trailers, the heavy highway vehicle use tax on Form 2290 for qualifying vehicles, documentation for meal expenses while away from home, and estimated payments for owner-operators. Interstate carriers also maintain fuel and mileage records for fuel tax reporting, which we keep organized alongside the books.

Heavy highway vehicle use tax

The IRS requires Form 2290 for heavy highway motor vehicles that meet the taxable gross weight threshold described in the form instructions. The return covers a tax period that runs from July through June, and proof of payment is commonly needed for vehicle registration. We track each vehicle's weight category and first-use month so filings are complete.

Depreciating equipment

Tractors and trailers are usually the largest assets a carrier owns. Publication 946 explains depreciation methods and elections; your preparer chooses the approach, and we provide a clean asset schedule with costs, dates and trade-in details.

Meals while away from home

Drivers subject to Department of Transportation hours-of-service limits have special rules for meal expenses, described in Publication 463. We keep trip records that support the days away from home.

Owner-operators and estimated tax

Owner-operators taxed as sole proprietors report on Schedule C and pay self-employment tax. The IRS explains estimated taxes for income without withholding; we provide year-to-date profit before each installment.

Fuel tax records

Interstate carriers report fuel use by jurisdiction. Fuel tax filings are handled through your base state; we keep fuel purchases and mileage organized for whoever files them.

Key terms

Definitions for terms used on this page:

  • Assets: Assets are resources a business owns or controls that are expected to provide future economic benefit.
  • Use Tax: Use tax is a tax on taxable goods or services used in a state when sales tax was not collected at purchase.
  • Self-Employment Tax: Self-employment tax is the Social Security and Medicare tax paid by people who work for themselves, calculated on net earnings from self-employment.
  • Depreciation: Depreciation spreads the cost of a long-lived business asset over the years it is used, rather than deducting it all at once.

Trucking & Transportation problems this addresses

  • Factoring companies advance cash net of fees and reserves
  • Fuel is the largest variable cost and is paid with several cards
  • Driver settlements combine pay, advances and deductions
  • Trucks and trailers are expensive assets with loans attached
  • Heavy highway vehicle and fuel tax records must be kept by vehicle