Illinois used as the example

Starting a Trucking Company.

You've got the business set up — now the federal and state layer that turns it into a carrier. Authority, plates, fuel tax, the scales, the doctor's office, and the taxes that decide how much you keep. Straight from the road.

In partnership with the Rock Solid Development & Training Foundation — a 501(c)(3) nonprofit · EIN 86-3679037

USDOT Authority BOC-3 + Insurance UCR Plates / IFTA

New here? Set the business up first — entity, EIN, bank account — in Start Your Business: The Basics. This course picks up where that leaves off, for anyone hauling freight.

Step 1

Your numbers & authority

This is the part that changed recently — so here's the current system, not the old one.

Big change (October 1, 2025): FMCSA retired the MC number (and MX/FF docket numbers). Your USDOT number is now the single federal identifier for everything. Operating authority still exists — it's just tied to your USDOT number now instead of a separate "MC." If you had an active MC before the change, it migrated automatically; no reapplication.
The order that gets you rolling: USDOT → authority → BOC-3 + insurance → UCR. Authority sits "pending" until the BOC-3 and insurance post, so line those up early.
fmcsa.dot.gov · Registration →
Step 2

Plates & yearly tags

Illinois truck plates are flat-weight tax plates — priced by gross weight, renewed every year. Heavier rig, higher tag.

Look up your exact class on the Secretary of State's Commercial & Farm Truck fee schedule — don't eyeball it.

ilsos.gov · Commercial & Farm Truck →
Step 3

IFTA — the fuel tax

IFTA (the International Fuel Tax Agreement) exists so you don't file fuel taxes with every state you pass through.

You get one license and a set of decals from Illinois (your base state), covering all 48 states plus 10 Canadian provinces. The idea: fuel tax is owed to the state where the fuel is burned, not where it's pumped. So you log your miles per state and gallons bought per state, file one quarterly return, and the system squares up who you owe — or who owes you. You need it once you run a qualifying truck (over 26,000 lbs or 3+ axles) across state lines. Keep mileage and fuel records tight — IFTA is one of the most audited areas in trucking, and your records are your only defense.

Step 4

The scales & running overweight

Weigh stations aren't a suggestion. Illinois is one of the strictest states on weight, and the fines climb fast.

The limits (Illinois & federal)

What the state can do

An officer who suspects you're heavy can make you stop and weigh — portable scales roadside or the nearest scale. If you're over, they can make you sit there and offload or shift the load before you move again, and require a bond to release the truck. Here's the Illinois fine math:

Illinois overweight fines (gross)
Up to 5,000 lbs overby the pound
Over 5,000 lbs over$1,500 + $150 / 500 lbs
Example: 10,000 lbs over~$3,000
Example: 20,000 lbs over~$6,000
Refuse to stop / dump load before weighing$500–$2,000
4th+ overweight conviction in 12 months+$5,000 each
Illinois fees as of 2026 (625 ILCS 5/15-111 & 15-112) — confirm current amounts. Skipping an open scale is its own violation.
The quiet costs hurt more than the ticket. Overweight violations land on your inspection record and CSA score (Vehicle Maintenance), which raises your insurance and scares off good shippers. In Illinois an overweight ticket isn't a license-point/CDL-disqualifying moving violation — but a stack of them will cost you contracts and coverage. A $12 scale ticket at a truck stop before the coop is the cheapest insurance there is.
On the road

Hours of Service & your logbook (ELD)

The federal clock decides how long you can drive before you have to stop — and your ELD records every minute automatically. Blow these and you can get shut down right at the roadside.

The clock (property carriers)

The ELD & who's exempt

Paper logs are mostly history — most interstate drivers must run an FMCSA-registered Electronic Logging Device that auto-records drive time. The main exemptions: the short-haul 150 air-mile driver (start and end the same place, 14-hr day or less), trucks with pre-2000 engines, driveaway/towaway, and drivers who keep logs 8 or fewer days in any 30.

Why it bites: HOS and log violations are among the most-cited at roadside, each carries 7 CSA points, and driving more than about 3 hours past a limit can put you out of service on the spot — parked until you've had 10 hours off. Falsifying a log is a serious violation and a 2026 enforcement focus, with civil penalties up to roughly $16,000. The flip side: your ELD data also proves your IFTA miles and your per-diem days, so kept clean it pays you back at tax time.
Step 5

The DOT physical (don't get parked at the doctor)

You can do everything else right and still get shut down here. To drive commercial you need a current DOT medical card — a physical from an FMCSA-certified medical examiner, good for up to 2 years if you're healthy.

They check vision (20/40 each eye, glasses fine), hearing, diabetes, and sleep apnea — but the one that parks the most drivers is blood pressure. Here's exactly how it decides the length of your card:

Blood pressure → how long your card lasts
Under 140/90 — normalup to 2 yrs
140–159 / 90–99 — Stage 11 yr
160–179 / 100–109 — Stage 2one-time 3 mo*
180/110 or higher — Stage 3disqualified**
*Get it under 140/90 within the 3 months → a 1-year card. **Disqualified until it's back under control, then 6-month cards. FMCSA guidance under 49 CFR 391.41(b)(6).

So if your blood pressure is high, the state doesn't ban you for life — but it shortens your card, and if it's Stage 3 and won't come down, you can't legally drive until it does. Let your med card lapse and your CDL gets downgraded.

Good to know: blood-pressure medication does not disqualify you — FMCSA wants it treated; controlled is what matters. If you get a nervous "white-coat" reading, you can ask to rest and re-test (the lowest reading is generally used). And as of 2026 your result is sent to FMCSA and the state electronically, so a lapse shows up fast — keep your card current.

General information, not medical advice. Your certified examiner makes the call based on your full exam.

Step 6

W-2 vs 1099 vs owner-operator

How you get paid decides how you get taxed. This trips up a lot of new operators.

W-2 company driver

Taxes withheld for you

An employee. The carrier pulls income tax, Social Security & Medicare from each check and pays half. Simpler — but you lose most write-offs (the 2017 tax law removed unreimbursed deductions for employees).

1099 contractor

Nothing withheld — it's on you

Paid the gross, nothing taken out. You get a 1099-NEC and owe the taxes yourself, including self-employment tax (15.3%) — both halves of Social Security & Medicare. Upside: you deduct your expenses.

Owner-operator

Your truck, your business

You own the truck, run under your own authority or lease on. Self-employed — file a Schedule C, pay self-employment tax, write off every legitimate cost. Most freedom, most responsibility.

The 1099 reality: nobody withholds for you, so set aside 25–30% of your pay and send the IRS quarterly estimates (Apr 15, Jun 15, Sep 15, Jan 15). Skip them and you get a penalty plus one ugly April bill.
Watch for misclassification: a carrier that puts you on a 1099 but controls you like an employee — their truck, their schedule, their rules — may be doing it illegally, and it dumps the whole tax burden on you. Know which one you actually are before you sign.
Step 7

Deductions & per diem

A deduction is a business expense you subtract before tax is figured — you're taxed on profit, not gross. At the 15.3% self-employment rate alone, a $10,000 deduction saves about $1,500 before income tax even enters in.

Common owner-operator write-offs

Per diem — the one drivers leave on the table. For nights away from home, the IRS lets transportation workers use a flat meal allowance instead of saving every receipt. For 2026 it's $80/day ($86 outside the U.S.), and DOT hours-of-service drivers deduct 80% of it — about $64 a day (departure/return days are 75%). Over 250 nights out, that's roughly a $16,000 deduction. You just need a log of your days away — your ELD or IFTA records work. (W-2 company drivers generally can't claim it; owner-operators and 1099 can.)

Form 2290 — Heavy Vehicle Use Tax

If your truck is 55,000 lbs or more, you file IRS Form 2290 and pay the annual Heavy Vehicle Use Tax (by weight). You'll need the stamped Schedule 1 to register your plates.

Plain-English version — not tax advice. Run your numbers by a tax pro who knows trucking, and make sure they use the 80% meal rate, not 50%.

What keeps costing — and what's free

Your edge as an owner-operator: most of these filings are free or cheap if you do them yourself. What bleeds people is paying a service to do 10-minute work, or missing a deadline and getting deactivated.

The recurring list
MCS-150 update (every 2 yrs) — DIYFREE
UCR registration (annual)~$50–80
IFTA fuel tax (quarterly) — you remit what's owedFREE to file
Form 2290 HVUT (annual, 55,000 lb+)by weight
Plate / tag renewal (annual)by weight
DOT physical / med card (every 2 yrs or sooner)~$70–150
Insurance (the only big unavoidable one)$$$
Confirm current amounts before filing. The filings are the cheap part — discipline is what keeps you rolling.
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