You likely know a “jack of all trades, but a master of none.” Their multifaceted abilities are impressive, and they are certainly beneficial when a jack suffices. However, there are circumstances in which we need a master. While accountants tend to have the ability to help people across a broad range of industries with financial management, taxes, and compliance, trucking accountants specialize in those needs for drivers, owner-operators, and small fleets.
As a truck driver, you want the assistance of a master – one who knows your industry like you do and whose expertise can lead to significant savings through deductions, accurate filings, and proactive financial planning. Because compliance errors in areas like IFTA or Form 2290 can result in costly penalties, the professional oversight of a trucking accountant is beyond valuable.
When considering whether to pay an individual or an organization for their services, especially a service that we can manage ourselves, we want assurance that the service is valuable. While we can fumble through our own accounting, albeit as an amateur, paying a professional can ultimately save time and money. However, not just any accountant will do. A trucking accountant understands the industry-specific tax rules that general accountants might miss.
Familiar with common deductions in trucking, such as per diem, fuel, repairs, and depreciation, a trucking accountant can offer seasonal tax filing assistance or year-round support. They stay updated on regulatory changes impacting truckers and fleet owners. These professionals provide bookkeeping, compliance tracking, and access to financial reports that support optimal decision-making.
The International Fuel Tax Agreement (IFTA) requires precise tracking of miles driven and fuel purchased across state lines or Canadian provinces. Trucking accountants can help with fuel tax reporting, reducing audit risk by ensuring mileage logs and fuel receipts are accurate and reconciled.
Additionally, an accountant that specializes in all things trucking can assist in identifying errors in manual tracking. While ELD devices should, in theory, be precise, we know from experience that technology is great…until it’s not. A trucking accountant can diagnose ELD-generated data that might affect IFTA calculations.
Filing Form 2290 correctly and paying your Heavy Vehicle Use Tax (HVUT) on time is essential to avoid penalties and registration delays. Familiar with the process, a trucking accountant can help you to gather all the necessary data for filing so that you’re prepared.
They can also calculate the correct tax amount, including prorated filings for vehicles placed into service mid-year and assist with Schedule 1 replacement requests or corrections, which are often required for vehicle registration renewals.
Per diem deductions offer significant tax savings for over-the-road drivers away from home for extended periods. A trucking accountant can ensure that per diem is calculated using IRS-compliant methods, including days travelled and location-specific rates.
Additional deductions, such as cell phone use, maintenance, insurance, and tools, are often overlooked without proper guidance. A specialized accountant can give the guidance necessary to properly report these items and capitalize on them to procure the largest tax return possible.
Trucks and trailers represent large capital investments that can be depreciated over time or expensed under Section 179. This is certainly an advantageous avenue – one you do not want to bypass. Understanding depreciation schedules is essential for long-term planning, especially when selling or upgrading equipment.
While there are different depreciation methods, such as accelerated and straight-line, a trucking accountant can assess your current financial situation and your business goals to help weigh the pros and cons of each, giving you the guidance needed to make the wisest choice.
Trucking income often fluctuates, making it challenging not only to budget, but also to estimate and pay taxes throughout the year. Accountants can give professional guidance in this difficult area by helping to forecast income, estimate taxes due, and schedule payments to avoid penalties.
Their expertise can contribute to improved planning, which can smooth out cash flow and provide a sense of consistency, while ensuring that your tax payments don’t interfere with business operations.
What makes an accountant a ”trucking accountant” and how do you choose the right one? There’s a few qualities and characteristics you should expect from an ideal trucking-focused tax advisor:
Seek professionals who offer transparent pricing, including flat rates or service packages tailored to the trucking industry. Referrals, industry memberships, and specialized certifications can help validate an accountant’s expertise. When you find one that meets the criteria, assess their communication style and responsiveness before finalizing your decision.
While a trucking accountant can serve as a master, helping in the arduous and cumbersome tasks that accompany trucking accounting, there’s one thing you can do all on your own; you don’t even need to be a “jack of all trades.” At i2290, we make filing your Form 2290 as painless as possible.
Our online platform is simple and straightforward, prompting just a few data entry points regarding you and your vehicle. Our software will calculate the tax for you, and then you’re on your way to having your stamped Schedule 1 in a matter of minutes – no accountant necessary!
We also store a digital copy for seven years in case you need it in the future. If you happen to make a mistake, we also provide free VIN corrections and amendments. Create an account with i2290.com today and see just how simple it is!
Special note: This article is for general purposes, and is not intended to provide, and should not be relied on for tax, legal, investment, or accounting advice. The best way to ensure you’re properly filing and paying appropriate taxes is by following IRS regulations and consulting with a tax professional.
We're confident that your experience with INSTANT 2290 will be the best Form 2290 e-filing you've ever had. If for any reason you are not satisfied, just contact support for a full refund. No questions. No conditions. Create your account to get started!
