The Federal Income Tax: How It Measures Up and What It Costs

April 27, 2016

Share this article:

The Federal Income Tax – We’ve recently been working on our federal income taxes, since Tax Day is next Monday this year. Probably many of you have been too. From time to time, we’re called on to evaluate tax proposals of various kinds, and we’ve developed a number of criteria that help one to tell a bad tax from one that’s, well, not so bad. Most tax people, we’ve found, use a set similar to ours. It occurred to us to run the federal personal income tax past these criteria, so see how it comes out (although we had our suspicions before we began). Here goes: The first criterion, and actually one of the more important, is Efficiency; that is, a tax is Efficient if it can be administered and complied with relatively inexpensively. One source says compliance with the U.S. income taxes may cost $1 trillion annually. (See www.mercatus.org.) Efficient? Nope. Equitable? With a tax, fairness is largely in the eye of the beholder, but it can plausibly stand for the notion that similarly situated taxpayers – whatever that means – pay similar amounts of tax. But with a tax system so complex as to be almost arbitrary, who can judge this? The personal income tax is Effective, however. That is, it does bring in a lot of money. Is the personal income tax Enforceable? IRS says it is, as far as income that is both reported and withheld on, such as wages, is concerned. For income that is reported but not withheld on – payments requiring a Form 1099, let’s say – not so much. For income that is neither reported nor withheld on, hardly at all. Well then, is the tax Competitive – does it disadvantage U.S. individuals vis-à-vis other people? With a national tax, this is mostly a moot point, but we would point out that many American living abroad more or less permanently are mightily tempted to give up their citizenship rather than continue paying U.S. taxes – and many do. Is the personal income tax Neutral, or do tax considerations unduly affect personal and business decisions that we all make? Ha! Finally, is the personal income tax Nonintrusive? No, not that either, since IRS knows a great many personal details of all of us with income enough to tax (and is it’s evidently none too careful with those details, either). We could add up the score here, but we’ll let you draw your own conclusions. Oh yes – the corporate income tax? Let’s just say it comes out worse than the individual tax on every single criterion.


Update on NYS HUT Credentials – Speaking as we were of bad taxes, the New York State budget bill, signed April 12, 2016, includes a reduction in the fees the state charges for its highway use (weight-distance) tax credentials from $19 per vehicle for a permit and decal to $1.50. A recent court decision had held the higher fees to be a violation of the Commerce Clause, but suggested that a much lower fee might not be. The New York State Motor Truck Association reported yesterday that the state’s OSCAR system is once again available to carriers not based in New York, for the purchase of permits and decals. That’s extremely good news for many. For more information, contact Kendra Hems at NYSMTA at 518.458.9696 or khems@nytrucks.org.


Tax Freedom Day Approaching – Every year the Tax Foundation declares Tax Freedom Day, the day the average American has paid off all his local, state, and federal taxes and can keep the rest of what he makes the remainder of the year. This year, that day is April 24. That’s a day earlier than last year, because, says the Tax Foundation, it estimates that the federal government will be collecting slightly less revenue this year overall. But the feds will still be collecting some $3.3 trillion in 2016, and state and local governments about half that much on top of it. Of course the tax burden varies by state; April 24 just represents the average. In Connecticut, people aren’t tax-free until May 21 this year, while in Mississippi they were all paid up nearly two weeks ago, on April 5. All the details are on the Foundation’s website, at www.taxfoundation.org.

< Older Post Newer Post >

Connect with us:

fleet insights

A worker is monitoring a Motor Vehicle Record (MVR).

What is MVR Monitoring?

November 6, 2025
Learn what MVR is and how National Fleet Services’ real-time MVR monitoring helps fleets improve safety, compliance, and driver oversight.
Truck driver holding glowing stars and a quality seal, representing the Compliant Drivers Program.

Compliant Drivers Program: How It Works

November 4, 2025
Stay audit-ready with the Compliant Drivers Program from National Fleet Services that streamlines driver files, MVR monitoring, and DOT compliance.

Why Motor Carriers Are Outsourcing Titling, Licensing, Registration, and Permitting

By Matthew Bowles • October 21, 2025
In today’s fast-moving transportation landscape, every minute and every dollar counts. Freight markets have grown increasingly competitive, margins are tightening, and compliance requirements seem to multiply each year. For many carriers, the administrative workload of titling , licensing, registration , and permitting has become a hidden drag on productivity. As a result, more fleets are turning to outsourcing partners like National Fleet Services LLC — experts in fleet compliance and documentation — to streamline operations, reduce costs, and eliminate downtime. The Modern Challenge: Administrative Complexity Meets Competitive Pressure Running a trucking company today means navigating a web of regulatory and operational demands: Tight freight margins due to volatile spot rates and rising operating costs Constant compliance monitoring with FMCSA, IRP, IFTA, and UCR deadlines Fleet diversification , including company-owned, leased, and owner-operator assets Labor shortages in administrative and compliance roles Each new truck or trailer requires accurate titling, registration, plating, and permitting across multiple jurisdictions. A single paperwork error can delay deliveries, sideline equipment, or trigger costly fines. Outsourcing these tasks to a specialized provider like National Fleet Services LLC allows motor carriers to maintain compliance without diverting critical internal resources. What Outsourcing Fleet Compliance Really Means Outsourcing titling, licensing, registration, and permitting doesn’t mean giving up control — it means gaining efficiency and expertise . Partnering with an experienced provider like National Fleet Services LLC gives carriers access to professionals who handle the entire compliance lifecycle, including: Vehicle titling and ownership documentation Apportionable registration (IRP) IFTA fuel tax licensing and renewals State and federal permitting (trip, temporary, oversize/overweight) Duplicate and replacement credentials Audit support and document retention These experts understand every state’s unique DMV and DOT processes, ensuring paperwork moves faster and with fewer errors — keeping your trucks legally on the road. Operational Benefits of Outsourcing Most carriers first explore outsourcing to save administrative time , but soon discover much deeper advantages. 1. Faster Fleet Activation and Uptime Every day a truck sits idle waiting on plates or permits represents lost revenue. National Fleet Services LLC maintains direct agency relationships and uses advanced processing systems to accelerate filings . This ensures trucks are registered and road-ready in days, not weeks. Example: A carrier expanding into Texas or Florida can receive apportioned plates and permits within days through National Fleet Services’ expedited processes. 2. Compliance Accuracy With thousands of vehicles moving across state lines, even minor compliance lapses can lead to audits or penalties. Outsourced specialists use automated tracking systems and multi-state expertise to prevent lapses in registration or IFTA reporting. When you work with National Fleet Services LLC , your compliance deadlines are monitored continuously — giving you peace of mind and audit-ready documentation . 3. Scalability During Market Shifts As freight demand changes, your administrative workload fluctuates. Outsourcing provides flexible capacity that scales with your fleet size — without the need to hire, train, or downsize internal staff. During peak growth, National Fleet Services LLC can onboard new equipment seamlessly. During downturns, carriers save on overhead without sacrificing service quality. 4. Cost Predictability In-house compliance management brings hidden costs: overtime, software fees, and employee turnover. Outsourcing converts those into fixed, predictable expenses . Carriers can budget per-unit or per-service pricing, ensuring clear ROI from day one. 5. Access to Industry Expertise With decades of experience in fleet administration, National Fleet Services LLC employs compliance professionals who know IRP, IFTA, and multi-jurisdiction registration inside and out. They maintain direct communication with state agencies nationwide — resolving issues that could otherwise delay your operations. You’re not just outsourcing paperwork — you’re gaining a dedicated compliance department. Strategic Advantage: Focus on Core Operations Administrative tasks don’t differentiate your business — operational performance does. By partnering with National Fleet Services LLC , motor carriers can redirect focus to: Driver recruitment and retention Customer service and delivery metrics Route optimization and profitability Safety and maintenance programs Every minute your operations team spends managing paperwork is a minute not spent improving fleet performance. Outsourcing turns administrative burden into a competitive edge. Choosing the Right Outsourcing Partner When selecting an outsourcing provider, prioritize experience, transparency, and scalability. Key Qualities to Look For: Transportation Specialization: Choose a partner dedicated to trucking compliance, not a general business service. Multi-State Capability: Ensure they manage titling and permitting across all 48 contiguous states and Canada. Technology Integration: Look for partners that integrate with fleet management systems and provide real-time dashboards. Transparent Reporting: Ask for detailed renewal tracking, cost breakdowns, and expiration alerts. Audit Support: The best firms, like National Fleet Services LLC , provide full audit preparation and response services. Dedicated Account Management: Your provider should act as an extension of your internal team — not a faceless vendor. Implementation: A Smooth Transition to Outsourcing Moving compliance functions to an outsourced partner is most effective when phased strategically. 1. Conduct an Internal Audit Review your current titling, permitting, and renewal processes. Identify inefficiencies, late filings, or data gaps. 2. Partner Onboarding Work with National Fleet Services LLC to transfer existing records and set communication protocols. 3. Pilot Program Start with one region or a group of new assets to measure performance and turnaround time. 4. Full Rollout Once systems are aligned, expand the partnership fleetwide. Your internal staff can then focus on oversight and reporting while the outsourcing partner handles execution. 5. Continuous Improvement Schedule quarterly reviews to evaluate performance metrics, cost savings, and new compliance opportunities (such as electronic recordkeeping or advanced IFTA analytics). Fleet Insight Carriers partnering with National Fleet Services LLC report measurable improvements in compliance turnaround, fleet uptime, and cost predictability. Their national-scale expertise in vehicle titling, registration, and permitting allows trucking companies to operate more efficiently across multiple jurisdictions — without the administrative bottleneck. The Competitive Edge of Outsourced Compliance Leading fleets recognize that administrative excellence drives operational performance . Outsourcing fleet compliance tasks offers: Faster turnaround times Reduced paperwork errors Lower overhead costs Real-time tracking and visibility Improved driver satisfaction and fleet uptime Carriers who outsource these functions with trusted providers like National Fleet Services LLC are free to focus on what they do best — moving freight safely, efficiently, and profitably. Conclusion: Efficiency Is the New Differentiator In today’s market, carriers can’t afford inefficiency. Streamlining every non-core process — especially administrative compliance — is critical to maintaining profit margins and competitive agility. Outsourcing titling, licensing, registration, and permitting is more than a time-saver; it’s a business strategy. By choosing National Fleet Services LLC , carriers gain a trusted compliance partner dedicated to accuracy, speed, and simplicity. Keep your trucks on the road, your paperwork in order, and your business moving forward — with National Fleet Services LLC. About National Fleet Services LLC National Fleet Services LLC is a leading provider of titling, registration, permitting, and compliance solutions for motor carriers across North America. With decades of experience and nationwide reach, NFS helps fleets simplify administration, maintain compliance, and maximize operational uptime.