Watch out for these common filing errors

Watch out for these common filing errors

  March 30, 2021    2290 online

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 To err is human. We all make mistakes when filing official documents and forms. But sometimes our mistakes could land us hefty penalties. So next time when you file your form 2290, watch out for these common errors that taxpayers tend to make while filing their form. 

1.Incorrect business details: You need to be mindful of the details that you enter on your form. You may have entered an old address, or a wrong business name or a wrong zip code. When the IRS processes your return and finds out that your details don’t match, they will reject your return. 

2.Unregistered EIN: IF you’ve applied for a new EIN, it takes at least 10 business days for it to be updated on the IRS database. In that time, if you've filed your form 2290 with the new EIN, chances are that the IRS will reject your return. Ensure that you apply for a new EIN a few weeks ahead of your filing deadline.

3. Wrong VIN: If you accidentally entered the wrong VIN on your return, your form will be rejected. Eform2290 offers free VIN correction that you can use to update your VIN number.

4. Incorrect vehicle category: The HVUT tax is to be paid by truckers and owner operators only if they have crossed the 5,000 mile limit. If the vehicle has not exceeded the mileage limit, it will belong to the suspended vehicle category. You don’t need to pay tax for a suspended vehicle but you need to file a return to inform the IRS that your vehicle is tax-suspended. You can e-file your return for a suspended vehicle through eform2290 effortlessly.

5.False filing Make sure you select the current year when you are e-filing your 2290 form. If you enter the previous year, you will end up paying tax for the previous year twice. And you still have to pay tax for the current year. Don’t lose out on your bucks.

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Why you should consider pre-filing your form 2290

Why you should consider pre-filing your form 2290

  March 23, 2021    2290 online

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 Filing your HVUT 2290 returns ahead of the deadline is always a good idea. For one thing, you won’t have to struggle at the last minute to collect information and make errors that could land you penalties. Here’s some more reasons why you should pre-filing your form 2290:

1. Pre-filing allows you to file your Form 2290 ahead of the deadline and pay for it later. 
2. You will get your IRS stamped Schedule 1 before anyone else. Schedule 1 acts as a proof of tax payment and is required to be presented to the DMV authorities while renewing your vehicle registrations.
3. You will be able to plan ahead and save up the tax amount when you pre-file your 2290 form. Pre-filing season begins 3 months prior to the filing season, so you can plan your finances and get enough time to source the money for paying your HVUT tax.
4. During peak filing seasons, you may not be able to get timely support from the IRS(1) should you have any queries. Moreover, during the peak season, the IRS servers could face technical issues due to high traffic. This will further delay your filing process. 
5. If you’ve made filing errors, you will have enough time to refile the amended return without incurring penalties.  
6. Get complete help from the tax experts without waiting for a long time to file your 2290 Form
7. If you are a long haul trucker chances are you follow a busy and hectic work schedule where time is of the essence. Sometimes you could even skip the filing deadline because you were preoccupied with other tasks at hand. Pre-filing ensures that you are on top of your filing priorities.
8. Service providers like eform2290 allow you to pre-filing within minutes, and you will also receive prompt alerts and reminders to pay your HVUT tax on time as the deadline approaches.

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Why you should pay your HVUT tax on time

Why you should pay your HVUT tax on time

  March 17, 2021    2290 online

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 Truckers lead a busy life - most of it spent on the road, delivering goods across the country.  But no matter how busy your schedule is, you must ensure that you pay your tax on time, and here’s why: 

1. 
   Paying your tax on time allows you to avoid penalties and interest. If you skip the form 2290 filing deadline, the penalty accrues on a daily basis. On top of that you will need to pay an interest of 5% as all. This means the amount you end up paying will be much more hefty than your actual tax amount. 

2. Paying your tax on time helps you stay co
   mpliant. Tax evasion is a punishable offence. Even failing to report the errors in paying taxes can pave the way to unwanted tax evasion problems such as penalties and imprisonment. The IRS takes strict action against tax evaders. You could lose your vehicle and can even end up spending jail time.

3. You will be able to avoid losing future refunds. If the IRS owes you a refund, and if you fail to file your form and pay your tax, the IRS can deduct the tax amount from your refund amount. They can also freeze the refund till you pay the tax. 

4. When you pay your tax on time, you will be able to safeguard your credit. If the IRS files a tax lien against a taxpayer, it could affect credit scores and make it harder to get a loan. This will be troublesome if you intend to start a business or buy property in the United States. 

5. When you e-file online with an IRS approved service provider like eform2290, you will be able to avail filing discounts and file your forms at a lower price, all the while saving time and effort. Eform2290 sends you your Schedule 1 in a matter of minutes which is mandatory when you visit your state DMV to renew registrations. 

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