Motor carriers operating in Oregon must comply with the weight-mile tax, which applies to vehicles with a gross weight (GVW) over 26,000 pounds. Here are the options and a few key details to remember.

Compliance options

Once a vehicle operates at a GVW above 26,000 pounds, the vehicle is subject to Oregon’s weight-mile tax. A motor carrier can either:

• Get a temporary pass and pay the weight-mile tax up front. The pass lasts for 10 days. The miles of operation must be paid on the pass before operation, and there is a pass limit of five for one unit or 35 in a rolling 12-month period per account; or
• Enroll their vehicle(s) and pay the weight-mile tax on a tax report.

Declare weights to determine fees

Weight-mile tax is paid on a declared weight basis. The tax declared weight is the heaviest weight the vehicle will operate in a given configuration for the reporting period.

Tax declared weights are subject to audit and approval.

File and pay your taxes

For vehicles enrolled in the program, file monthly tax reports detailing:

• Miles driven in Oregon, and
• Weight of the vehicle.

Motor carriers are responsible for all tax enrolled vehicles under the account, including leased or rented vehicles.

Ensure your payments are made on time to avoid late payment charges and penalties.

Carriers must file reports even when there are no operations in Oregon and no tax is due.

Filing schedule

Most motor carriers report mileage tax on a monthly basis. The monthly mileage tax report and payment must be post-marked by the postal service by the last day of the month to cover operations for the preceding calendar month. For example, the May report and payment must be postmarked no later than June 30 to avoid a late fee.

A carrier may request to report mileage tax on a quarterly basis once certain conditions are met:

• The carrier must have a 12 consecutive month filing history and in that 12-month period did not have:
  • A suspension related to reporting or payment of taxes or fees,
  • A revocation of IFTA tax license,
  • Exceed an established threshold of tax reports filed late,
  • A repayment plan, or
  • A delinquency in payment of over-dimensional permit fees or Road Use Assessment Fees (RUAF); and
• In the previous 36 months, the carrier did not have an audit that resulted in assessments that exceeded reporting fees by an established threshold.

Carriers may elect to pay weight-mile taxes on a flat fee basis when transporting items from one or more of the following groups:

• Logs, poles, peeler cores, and pilings.
• Wood chips, sawdust, bark dust, hog fuel, and shavings.
• Sand, gravel, rock, dirt, debris, cinders, asphalt/concrete mix, and metallic ores and concentrates or raw nonmetallic products (whether crushed or otherwise, moving from mines, pits, or quarries). The vehicle(s) must have dump bodies and be associated with a highway or construction project except in the case of metallic ores and concentrates or raw nonmetallic products.
• Farm vehicles with a combined weight of less than 46,000 pounds and operating intrastate for hire with a permit granted under ORS 825.

Maintain compliance

Carriers must keep detailed daily records of vehicles used during the reporting period. Records must be kept at the main office or place of business for a minimum of three years.

When a carrier will no longer be operating in Oregon, it is advisable to cancel tax enrollment. Cancel enrollment for any vehicle that will no longer operate in Oregon.

If your trucks operate in or through Oregon, be sure to understand the state’s weight-mile tax program requirements to avoid added costs and delays.