Commercial drivers traveling to and within Kentucky, Connecticut, New York, or New Mexico must obtain necessary state permits in order to avoid fines and penalties. Federal Motor Carrier Authority Online Filings provides comprehensive information on all requirements for commercial carriers.
The amount carriers owe for the Kentucky Weight Distance Tax, or KYU, depends on how many miles they drive within the state. Vehicles weighing 59,999 pounds or more must obtain a permit.
Carriers with regular routes through Kentucky should file for the Kentucky Weight Distance Tax. Carriers who do not intend to travel through the state on a regular basis can apply for a temporary KYU permit.
The Kentucky Weight Distance Tax is due on a quarterly basis. Even if a carrier does not travel to Kentucky during any given quarter, they must still file.
Failing to file quarterly KYU taxes could have serious consequences. Carriers will lose their KYU license without paying the delinquent bill as soon as possible. Additionally, they will have to pay a "failure to file" fee and go through the lengthy process of getting their KYU license reinstated.
Carriers planning to travel in Kentucky should plan ahead when applying for a KYU number. The process requires a few other qualifications, including:
These are requirements for general operation, so most carriers should already have the necessary qualifications to get a KYU number.
Trucking companies with commercial vehicles that weigh more than 26,000 pounds and traveling within and through New Mexico must complete a yearly registration for the New Mexico Weight Distance Tax, or WDT. Vehicles will receive a different license plate showing if they travel within (intrastate) or through (interstate) New Mexico.
Carriers pay taxes each quarter. The owed amount depends on the actual weight of the vehicle and the number of miles traveled within the state.
All commercial carriers must register for a New York Highway Use Tax, or HUT. The amount each carrier owes depends on the weight of the vehicle. Carriers cannot travel through or within New York State until they register for a HUT permit.
After registering, carriers will receive a decal and a registration certificate. Carriers transporting automotive fuel should display the decal on the body of the vehicle, as close to the back license plate as possible. All other carriers should place the decal on the body of the vehicle, but as close to the front license plate as they can get it.
Carriers that only drive on toll roads on the New York Thruway do not have to register for the HUT. In this case, it is imperative to keep good records of daily travel in case an issue arises.
As of 2023, all commercial vehicles classes 8 through 13 are required to register for the Connecticut Highway Use Tax. Carriers traveling within or passing through Connecticut are responsible for calculating and paying the tax each month. Along with the tax, a Highway Use Fee Return is due each month.
Carriers who only drive in Connecticut on occasion must still file each month, even if no tax is due.
The Connecticut Highway Use Tax is due on the first of each month. Missed payments accrue 1% interest every month until the carrier pays the amount in full.
Incomplete filing or failing to file could result in a penalty in addition to the 1% interest accrual. Carriers could have to pay an additional $50 or 10% of the tax amount due. Additionally, carriers who purposefully ignore the new tax requirement could end up with a fine of $1000.
There is a federal tax for some commercial carriers in addition to the state permits listed above.
The federal Heavy Vehicle Use Tax requirement applies to any commercial vehicles that weigh at least 55,000 pounds. The HVUT goes directly to the Internal Revenue Service. Proof of filing for the Heavy Vehicle Use Tax is required when paying yearly taxes.
Commercial vehicles must register in Kentucky, Connecticut, New York, and New Mexico before driving through or within each state. Failure to register or to file taxes on time will result in additional penalties and fees. The Federal Motor Carrier Authority Online Filings helps truckers stay in compliance with state and federal requirements.