ad valorem tax

I would suggest googling Arkansas Ad Valorem Tax and you will see links to another forum where they have discussed this.

Kansas is another state that does the miles tax on authority.

 

You got it because you filed your authority.

 

This answer was moved here from another thread.

I noticed your thread, and wondered about this. It's not anything Mr. Brown or I deal with.

If you're not running intrastate loads in any state that you're not based in, I think you might be exempt, sort of like mail order sales not having to charge sales tax because it's interstate commerce. Don't quote me on that, though.

That doesn't mean states won't send you a bill and hope you'll send in money, even if you don't really owe it.

Perhaps OOIDA might know more about this.

Maybe you could call the Arkansas tax office that sent you the bill and ask them what code section they're taxing you under. That'd be telling.

Good luck.

Please post your results.

Best,

 

They probably know your miles based upon your IFTA. I got this from a maritime tax attorney:

So, if you're just passing through, or even making pickups and deliveries there of interstate commerce, I doubt that's enough nexus, which means you wouldn't owe them anything. Stopping overnight, even loaded, or laying over, would still be interstate commerce.

I bet somebody's been through this before. Check with OOIDA.

If you're making intrastate hauls, or have a terminal there, that's a different story. Then you have a nexus (which is just a fancy Latin word for connection), and you'll have to bite the bullet and pay up.

 

you have new mexico which does the milage calculation, Kentucky which does the milage calculation, arkansas which bsaes your tax on your equipment amount on how much it is worth, kansas bases it tax same as arkansas, new york,oregon.

 

The whole Ad Valorem is government abuse. There is nothing preventing other States, Counties, or Towns from doing the same....nothing. If you can, take a stand against it before it continues to get worse. Even if you don't run any miles thru Kansas you have to file if they are on your IRP, leased or full o/o. Failing to do so will result in a fine and the penalty for back taxes is stiff. The last couple years I owned a truck I did away with New York, Kentucky, and Arkansas. Since I'm from the Kansas City area, I had no choice but to keep Kansas on my IRP and since I had a lot of Southern California and Arizona loads I had to keep New Mexico. At least Oregon is only if you actually run thru the state which in that case I can raise the rate for Oregon loads, plus there is no Oregon on the IFTA (if memory serves me right).

To me Kansas is the worst since they already have fairly high fuel taxes, plus expensive Tolls. To add a Ad Valorem is just government abuse. If you don't have to have Kansas on your IRP, don't. Screw em. It hurt my load planning a little and may have cost me a little more to aviod Arkansas, Kentucky, and New York ( plus everything above it) but I'd rather give my business and money to states that are more trucker friendly. If everybody that didn't live in or right next to those states dropped them from there IRP or SSR the price of goods would go out the roof from the lack of supply versus demand. Maybe that would send a message to the Government in those states.