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Guide · New carriers

New authority checklist

Every step from “I want my own MC” to a clean first quarter — with the fees, the waiting periods, and the tax filings most checklists leave out.

Updated September 2026

Part 1

Before you apply

Four decisions that cost little now and are expensive to fix later.

  1. STEP 01

    Price your insurance first

    $15,000⁠–⁠$30,000 a year · FMCSA minimum $750,000 · brokers want $1,000,000 + $100,000 cargo

    Get real quotes before you spend money on anything else. A new authority commonly pays $15,000⁠–⁠$30,000 a year for liability, cargo and physical damage combined, and some applicants can’t get a workable price at all. FMCSA requires $750,000 in liability for general freight; most brokers won’t load you without $1,000,000 plus $100,000 in cargo coverage.

    Insurance
  2. STEP 02

    Form the company and get an EIN

    EIN is free and takes minutes · S-corp can wait

    Most owner-operators start as a single-member LLC: it separates business debts from personal assets and costs little to maintain. The EIN is free at IRS.gov and takes a few minutes. An S-corp is a tax election you can add later, once profit justifies running payroll. One caution: an LLC does not shield you from liability for your own accident — insurance does that.

    TaxState
  3. STEP 03

    Open a business bank account

    One account, one card — from the first dollar

    One account and one card for the business, from the first dollar. Mixed personal and business spending is the most common reason deductions get lost — and it weakens the liability protection of your LLC.

    TaxBookkeeping
  4. STEP 04

    Know your cost per mile before you book a load

    All costs ÷ all miles, loaded and empty

    Add up fixed costs (truck, trailer, insurance, plates) and variable costs (fuel, maintenance, tolls), then divide by all miles — loaded and empty. That number is the floor in every rate negotiation. Use the calculator →

    Bookkeeping

Part 2

Getting the authority

Plan on three to four weeks from application to an active authority if nothing is filed late.

  1. STEP 05

    Apply for a USDOT number and operating authority

    $300 per authority · 3⁠–⁠4 weeks to activate

    Apply online through FMCSA’s registration system (Motus, which replaced the older URS portal in 2026). The filing fee is $300 for each type of authority. FMCSA then publishes the application and a protest period runs; your authority becomes active only after that period ends and the next two filings are on record.

    FMCSA
  2. STEP 06

    File a BOC-3

    One-time, usually under $100

    A BOC-3 names a process agent in every state where you operate. A process-agent company files it for you electronically — a one-time cost, usually under $100.

    FMCSA
  3. STEP 07

    Have your insurer file proof of coverage

    BMC-91 or BMC-91X + MCS-90 · filed by your insurer

    Your insurance company files Form BMC-91 or BMC-91X with FMCSA and adds the MCS-90 endorsement to your policy. Get this done during the protest period — it is the step that most often delays activation.

    InsuranceFMCSA
  4. STEP 08

    Set up drug and alcohol testing

    Clearinghouse + consortium + negative pre-employment test

    Even a one-truck owner-operator must register in the FMCSA Drug & Alcohol Clearinghouse, join a random-testing consortium, and have a negative pre-employment test on file before the first dispatch. New-entrant auditors ask for this first.

    FMCSA
  5. STEP 09

    Pay UCR

    $46 a year for 0⁠–⁠2 trucks · renew by December 31

    Unified Carrier Registration is an annual fee based on fleet size — $46 for 0⁠–⁠2 trucks for 2026. Register before you run interstate and renew by December 31 for the following year.

    FMCSAState

Part 3

Plates, fuel tax and state permits

This is where tax filings start — and where the order matters: Form 2290 comes before plates.

  1. STEP 10

    File Form 2290 (Heavy Vehicle Use Tax)

    Up to $550 a year · due August 31 · keep the stamped Schedule 1

    Owed on trucks with a taxable gross weight of 55,000 lb or more: $100 plus $22 for each 1,000 lb over 55,000, capped at $550 — which is what a standard 80,000-lb tractor pays. The tax year runs July 1–June 30 and the return is due August 31. For a truck first used in any other month, file by the last day of the following month; the tax is prorated. Keep the stamped Schedule 1 — you need it for plates.

    Tax
  2. STEP 11

    Get IRP apportioned plates

    $1,500⁠–⁠$2,500 a year per tractor · needs Schedule 1

    Registered through your base state; the fee is split among the states you run in and commonly comes to $1,500⁠–⁠$2,500 a year for one tractor. The state will ask for the stamped Schedule 1 from the previous step.

    State
  3. STEP 12

    Open an IFTA account

    Due April 30 · July 31 · October 31 · January 31 · keep records 4 years

    Required for vehicles over 26,000 lb, or with three or more axles, that cross state lines. You file a fuel-tax return every quarter — due April 30, July 31, October 31 and January 31 — even for a quarter with no miles. Track miles by state and keep every fuel receipt; IFTA records must be kept for four years.

    TaxState
  4. STEP 13

    Check the four weight-distance states

    Kentucky · New Mexico · New York · Oregon

    Kentucky (KYU number), New Mexico, New York (HUT) and Oregon charge their own mileage taxes on heavy trucks and require separate accounts and returns. Set them up before your first load through those states — trip permits bought on the road cost more than the accounts.

    StateTax

Part 4

Your first 90 days

Habits that decide whether the first tax season and the new-entrant audit are routine or painful.

  1. STEP 14

    Be audit-ready from day one

    18 months of monitoring · safety audit in the first year

    New carriers are monitored for 18 months and get a safety audit, usually within the first year. Keep a driver qualification file (license, medical card, MVR), hours-of-service records from your ELD, maintenance and inspection records for each unit, your drug and alcohol program paperwork, and proof of insurance.

    FMCSA
  2. STEP 15

    Start bookkeeping with load number one

    Record the full invoice · fees as a separate expense

    Record every load at the full invoice amount and book factoring or quick-pay fees as a separate expense — netting them hides both revenue and deductions. Save the rate confirmation, signed BOL and settlement for each load. A monthly profit-and-loss per truck shows whether your cost per mile is holding.

    Bookkeeping
  3. STEP 16

    Plan estimated taxes

    April 15 · June 15 · September 15 · January 15 · set aside 25⁠–⁠30% of net profit

    Self-employed drivers pay income tax plus 15.3% self-employment tax, in four instalments: April 15, June 15, September 15 and January 15. Until you have real numbers, setting aside 25⁠–⁠30% of net profit keeps you out of trouble.

    Tax
  4. STEP 17

    Log per diem days

    $80 a day · 80% deductible · self-employed only

    Self-employed drivers subject to DOT hours-of-service rules can deduct $80 for each full day away from home overnight in the continental U.S. ($86 outside it), at 80% — far better than the usual 50% for meals. Departure and return days count at 75% of the daily rate. Your ELD log is the proof, so keep it with your tax records.

    Tax

Part 5

The yearly calendar

Once you are running, the same dates come back every year. Put them in your phone now.

When What is due
Jan 15Q4 estimated tax payment
Jan 31IFTA return for Q4 · Forms 1099-NEC to contractors you paid
Mar 15S-corp and partnership returns · last day to elect S-corp status for the current year (Form 2553)
Apr 15Individual return (Form 1040) · Q1 estimated tax payment
Apr 30IFTA return for Q1
Jun 15Q2 estimated tax payment
Jul 31IFTA return for Q2
Aug 31Form 2290 (Heavy Vehicle Use Tax) for the year that began July 1
Sep 15Q3 estimated tax payment
Oct 31IFTA return for Q3
Dec 31UCR registration for the coming year
Every 12 monthsDOT annual inspection for every tractor and trailer
Every 2 yearsMCS-150 update with FMCSA · driver medical card (or sooner, if the examiner limits it)

If a date falls on a weekend or a federal holiday, the deadline moves to the next business day. Kentucky, New Mexico, New York and Oregon mileage-tax returns follow their own state calendars.

Sources: IRS — Form 2290 · IRS Notice 2025-54 (per diem rates) · FMCSA — Registration · UCR Plan — fee brackets · IFTA, Inc.

This material is general information, not tax or legal advice. Amounts, deadlines and rules depend on your state and your situation — check the primary source or book a review before you act.

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