IRS Form 2290 Late
Filing Penalty
Know the penalties for not filing 2290 on time
HVUT Form 2290 Penalties
Updated on August 07, 2020 - 10:30 AM by Admin, ExpressEfile
It is mandatory for heavy vehicles operating on the public highways to file Form 2290 and pay the required Heavy Vehicle Use Tax (HVUT). Failure to do so within the given deadline will lead the IRS to impose a penalty on your HVUT amount. Additional interest charges are also imposed for late payments.
In this article, we cover the following topics:
1. Why does the IRS impose Form 2290 HVUT Penalties?
The IRS subjects owners/drivers of heavy vehicles to penalties if they do not file their Form 2290 or pay their HVUT within the filing deadline. The deadline to file your Form 2290 and pay the HVUT is on the last day of the month following the First Used Month (FUM) of the vehicle during the tax year.
The IRS will also impose penalties on the filers for filing fraudulent or false returns. Providing incorrect information or incomplete filings can also lead
to penalties.
Many states will suspend the registration of the vehicles along with the penalties if you cannot show your Schedule 1 (Proof of HVUT payment). The penalties for non-compliance with the states are even higher than the
HVUT penalties.
2. What are the HVUT penalty rates?
You will be subjected to different penalty rates for not filing Form 2290 and not paying the HVUT within the deadline. The penalties and interest rate as are as follows:
- A monthly penalty of 4.5% of the total tax due, for up to five months for the late filing of Form 2290.
- A monthly penalty of 0.5% of the total tax due for underpayment
of HVUT. - Additional interest charges of 0.54% per month accrue.
You cannot pay your penalty amount while filing your Form 2290 return. Once you file your Form 2290 and pay the HVUT late, the IRS will send you a letter stating the penalty amount and how to make the payment. The payments must be made through check.
3. Is there a penalty relief for 2290?
The IRS will consider removing your penalties if you can show a reasonable cause as to why you didn’t file your Form 2290 or pay the required taxes within the deadline.
If you’re filing your Form 2290 for the first time, the chances of waiving your penalties are higher. If you’ve filed your Form 2290 and paid the tax amount without any delay for the past three years, and this is the first time you’re filing this return late, the IRS will consider waiving your penalties.
Once the IRS sends you a notice regarding your penalties, you can send a letter to the IRS requesting a penalty relief along with a reasonable cause.
There isn’t one specific reason you can give to waive the penalties. However, here are some of the reasons the IRS can’t look over.
- Accidents or any natural disasters.
- Death or severe illness of the family members.
- Check, or Money order couldn't reach the IRS.
- Inability to obtain any records.
The IRS will also require the filer to provide proof along with the
reasonable cause.
4. Form 2290 Extension
You can request an extension to file your Form 2290 return by sending a letter directly to the IRS, explaining the cause of the delay. An extension of a maximum of six months will be provided for filers within the United States.
lease note that this is only for filing your Form 2290 return late. If you want an extension to pay your HVUT dues late, you must send in a request separately.
You must mail the letter of request for an extension to the following address:
Department of the TreasuryInternal Revenue Service,
Cincinnati, OH 45999-0031
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