The year 2021 is coming to a close, which means it’s time to think about filing taxes for fleet vehicles in 2022. Businesses will want to get ahead of any approaching tax deadlines and make sure they’re taking advantage of all available exemptions in the coming year to help offset fleet costs and benefit their bottom line.
Fleet-management companies (FMCs), upfitters, rental-car companies and other company-owned fleets that choose to get ahead of 2022 deadlines and be proactive with tax filings will reap the benefits of having fully compliant fleets and obtaining all possible tax exemptions for their businesses. Knowing which state tax rates will apply to them in the year 2022 is a significant part of this process. As such, working with an expert partner for title-and-registration work can not only simplify and streamline the filing process, but ensure all taxes are filed correctly, on time and accurately — and that companies are taking advantage of all relevant tax exemptions.
The ACERTUS title-and-registration team has compiled a list of what businesses need to know in order to stay on top of their tax work and ensure tax exemptions are maximized in the year ahead.
Submit Tax Paperwork Early and Accurately
Turning in accurate tax documentation as early as possible is one of the most critical steps a company can take to meet the deadline and qualify for the appropriate tax exemptions. This will also ensure the process moves swiftly and efficiently, while avoiding any unnecessary fines for missing tax deadlines.
Notably, if a business has changed in such a way that its respective tax ID changes, this will directly impact the relevant taxes and tax exemptions that apply. It’s crucial that companies provide any newly updated numbers over to their title-and-registration partners to prevent any gaps, particularly at the start of the new year.
Know Which State Tax Rates Apply
There are different tax rates for different states, and some states don’t even have these taxes. Having a knowledgeable and experienced partner to monitor and navigate each state’s specific policies, as well as any changes to policies or tax rates, is critical to maximizing cost savings, qualifying for all relevant exemptions and ensuring fleets are in compliance at all times.
Find a map of average US state tax rates here. Note, individual registrations may vary.
Work with a Title-and-Registration Provider
To best simplify the overall fleet title-and-registration process and navigate the many different tax challenges that can arise, auto players should consider partnering with an expert provider like ACERTUS. Although tax exemptions and keeping records up-to-date ultimately falls on the company in question, once a company sends the updated and complete information to a provider, that provider can ensure paperwork is accurate before it goes to the relevant state – ensuring taxes will be calculated correctly at the time of registration. ACERTUS can also ensure all the proper forms have been completed and will keep all these tax IDs and tax-exemption forms on file for future record.
Once the ACERTUS title-and-registration team members have the documentation and tax IDs they need, they can get this information downloaded into their system and move forward quickly, relying on their preexisting relationships with DMVs across the country to work around challenges and prevent unnecessary downtime or delays. ACERTUS will strive to find all the savings it can for the businesses it works with, getting the proper exemptions secured and ensuring taxes that do not apply are not somehow mistakenly paid.
Beyond helping with tax work, so companies qualify for all applicable tax exemptions, ACERTUS’ title-and-registration team can help companies with all first-time registrations and renewals, titling, title vaulting, state transfers, replacement credentials, refinancing, lien-holder changes, overpayment refunds and duplicate titles, as well as repossession, bonded and salvage title help. In addition, the compliance team can work with businesses, and depending on their specific needs, can assist with vehicle-safety and emissions inspections, Driver Qualification (DQ) file management, driver training files, telematics, toll and transponder management – as well as help those businesses stay in compliance with the Department of Transportation (DOT), International Registration Plan (IRP) and International Fuel Tax Agreement (IFTA).
Outside of all this title-and-registration and compliance support, ACERTUS has a full suite of vehicle-logistics services to help companies optimize their operations and increase productivity with fleet transportation, storage, reconditioning, preventative maintenance and more. As a vertically integrated auto-logistics company with real-time, vehicle-tracking capabilities, ACERTUS can care for fleet vehicles throughout their lifecycle, ensuring vehicles arrive safely, on time, repaired, clean and even fully titled and plated. ACERTUS’ goal is to provide a single, cohesive service to companies, regardless of their fleet size or business type, helping them move vehicles anywhere and at any time.
ACERTUS wants to be your title-and-registration partner, as well as help with your fleet operations. Get a breakdown of our full range of vehicle-logistics services – including transportation, fleet maintenance, reconditioning, compliance, storage and more – at https://acertusdelivers.com. To connect with one of our team members, get a quote or learn more about how ACERTUS can help with vehicle fleet management, contact us here or call us at: 855-ACERTUS (855-223-7887).