What is a Highway Use Tax (HUT)?
Certain states include a highway use tax for carriers who travel on their roads. While similar, the specifics differ depending on the state.
Understanding Highway Use Tax
If you are hauling freight across the country, there are a handful of states that require some extra steps to travel through them. New York, New Mexico, Oregon, Kentucky, and Ohio all have regulations and/or additional taxes for certain commercial vehicles that use their roads. Below, we will go over a brief overview of the states and what to expect when operating in or through them. There will also be a link with further information on each state’s requirements.
The New York Highway Use Tax
The New York Highway Use Tax (NYHUT) is a tax applied to commercial vehicles traveling on New York State’s roads. This typically applies to trucks as well as tractors. Think of it as a toll road across the entire state. It aims to contribute to New York’s “Highway and Bridge Trust Fund.” This fund helps maintain the state’s roads and infrastructure. Since commercial vehicles will travel these roads frequently, the state wants them to keep the roads safe for travel.
Not all vehicles are taxed the same amount or with the same frequency. Vehicles required to pay this tax are…
- Trucks with an unloaded weight of 8,000 lbs.
- Tractors with an unloaded weight of 4,000 lbs.
- Trucks or tractors with a gross weight of over 18,000 lbs.
Related Article:
https://hrf.bhb.mybluehost.me/understanding-the-new-york-highway-use-tax/
New Mexico Weight and Distance Permit
New Mexico requires this permit for all owners, operators, and registrants of commercial vehicles traveling through the state that weigh over 26,000 pounds. All companies must register and apply yearly for each vehicle passing through the state.
Vehicles that must pay a weight-distance tax (WDT) must file a New Mexico weight-distance tax return every quarter of the year. The deadline per quarter is the last day of the following month. The taxes due are based on vehicle weight and miles traveled within New Mexico.
Related Article:
https://hrf.bhb.mybluehost.me/new-mexico-weight-and-distance-permit/
Oregon Weight and Distance Permit
Oregon requires commercial carriers with a gross vehicle weight of 26,000 pounds to register for this permit. This is needed even if you’re not based in the state.
The permit is issued through your VIN and must be printed and kept in the vehicle’s cab at all times. Carriers are also required to put a $2,000 surety bond from their insurance company to the state of Oregon. Additional trucks on this permit increase the bond by $375 for each vehicle.
Related Article:
https://hrf.bhb.mybluehost.me/oregon-weight-and-distance-permit-what-you-need-to-know/
Kentucky Weight Distance Tax
The Kentucky Weight Distance Tax (KYU) system is a tax levied on commercial motor vehicles (CMVs) traveling on Kentucky roadways. The tax is based on the weight and distance traveled by these vehicles within the state’s borders. The Kentucky Transportation Cabinet administers the KYU system which applies to interstate and intrastate carriers.
The KYU applies to commercial motor vehicles (CMVs) that operate within the state of Kentucky. Any carrier or operator who uses a commercial vehicle for business purposes and travels on Kentucky roadways is generally required to obtain a KYU license. This includes both interstate carriers, who transport goods across state lines, and intrastate carriers, who operate exclusively within Kentucky.
Related Article:
https://hrf.bhb.mybluehost.me/what-is-a-kyu-everything-you-need-to-know/
Ohio: CPCN and PUCO
A CPCN (Certificate of Public Convenience) is a legal document given by the PUCO (Public Utilities Commission of Ohio). It allows truckers to operate commercial vehicles in Ohio. This certificate helps make sure that trucking operations are safe, efficient, and reliable, while also protecting public interests.
The Public Utilities Commission of Ohio (PUCO) is in charge of regulating various public utilities, including trucking. Their main goal is to make sure that transportation services are safe and reliable. To do this, the PUCO grants and oversees the CPCN for truckers and trucking companies.
Related Article:
https://hrf.bhb.mybluehost.me/understanding-the-cpcn-and-puco-for-ohio-truckers/