going home to Arkansas, it could cost you. The new "brick-and-mortar"
truck registration rules in Oklahoma, mandated by order of the
International Registration Plan (IRP), may inflict financial
pain on small Arkansas carriers who'll now have to tag equipment
in their home state.
president of Arkansas Trucking Association, says companies that
return would have to pay back sales taxes on equipment before
they can be licensed. Kidd told AP that the Arkansas Department
of Finance and Administration require trucking companies to
pay three years' back sales tax on all equipment before they
can register vehicles. In Arkansas, that's the law.
last week (April 15), Oklahoma's new law now requires trucking
companies registering in Oklahoma to have a physical presence
in the state. Many Arkansas trucking companies use agents to
register their trucks in neighboring Oklahoma. While larger
Arkansas companies often maintain offices in Oklahoma, smaller
companies under the new law would either have to register in
Oklahoma or relocate to Arkansas, one of seven states without
a diesel truck sales tax exemption.
Arkansas has more than 1,200 for-hire trucking companies that
operate about 2,000 fleets. About 90 percent of those fleets
are registered outside the state, Kidd told the AP.
-- Dick Larsen & Sandi Soendker