The International Fuel Tax Agreement (IFTA) is an agreement among states to report fuel taxes by interstate motor carriers. To register, you must have an established place of business in your base state from which motor carrier operations are performed, mileage must be accrued in that base state, your operating records of the fleet must be maintained or can be made available in your base state, and you must operate in at least one other IFTA jurisdiction.
IFTA is required for any vehicle crossing state lines with a GVW/GVWR of 26,001 lbs or more, or if you have a power unit with 3 or more axles you are required to have an IFTA License and report quarterly the miles you operate in each state and the fuel gallons you purchase in each state.
You must buy fuel in each state that you run miles. The IFTA agreement states that you will pay the taxes the state charges at the pump on any mileage run in that state even if you did not purchase fuel there.
Buying fuel in a "cheaper" state does not mean that you are saving money. This is called "fuel tax equalization" between states. It is important that you retain all of your fuel receipts, so that you can prove when, where and how much fuel you purchased during any given tax period. It is also important that you retain all of your trip sheets (mileage records for each state).
TAX RETURN REPORTING QUARTERS (Any Given Year) - DUE DATES:
IFTA decals expire on December 31st of each year.
There are also 4 states that participate in Weight Distance Taxes (WDT). WDT is an additional tax charged by these states on mileage traveled in their state. These states are Kentucky, New Mexico, New York, and Oregon.
If you are worried about getting your IFTA fuel tax reports completed on time or are unsure about the proper calculations methods Logistec/TTS can help prepare your IFTA Fuel Tax Reports at an affordable price.
By simply sending us copies of your daily logs or trip sheets and copies of your fuel receipts Logistec/TTS can compile and complete your quarterly fuel taxes. We will break down the reports in a manner that will assist you in the event of an audit (i.e. by truck, by quarter, by year). We will also complete any Weight Distance Tax reports you need at the same low price.
Logistec/TTS charges $40.00 per truck per month for all companies with 5 or less vehicles. If your fleet is larger we can offer a discount on our per truck per month fee. By completing our easy online IFTA Service Request Form one of our friendly and knowledgeable consultants will contact you to set up your account.
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For our customers, this means an estimated 90% reduction in erroneous or delayed registrations and fast, accurate licensing and permitting orders.
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