Motor Carrier Tax Exemptions
TRAC Intermodal has identified a cost saving opportunity for motor carriers who rent intermodal chassis.
There are a number of states which aim to encourage the free-trade of goods and provide for sales tax exemptions for the transportation industry. Some, but not all, states grant a specific tax exemption for motor carriers.
If you operate or lease chassis in states that offer these exemptions you may be able to take advantage of this tax exemption.
To qualify for this exemption the motor carrier must provide that state’s tax exemption certificate to TRAC Intermodal.
TRAC Intermodal is obligated under law to include a sales tax on the per diem invoice and pass along this tax to the state until we receive a completed tax exemption certificate from the motor carrier,. As soon as the motor carrier sends in a completed form for an eligible state, TRAC Intermodal can stop charging the tax!
What To Do?
If you have not already provided TRAC Intermodal with tax exemption certificates:
- First,speak with your accountant or tax advisor to learn more about sales tax on your chassis rental and the opportunities for a motor carrier to reduce this cost.
- Identify which state or states you are picking up chassis. Are any of these locations in states which allow for a motor carrier tax exemption?
- If yes, you might want to review your past per diem invoices to see if a tax was included.
- Complete the applicable state tax exemption certificate and send it to us. Once we review it for completeness we will enter you as tax exempt for that state in our billing system.
Learn more about what TRAC Intermodal has to offer!