IFTA Fuel Tax
IFTA Fuel Tax Returns
The International Fuel Tax Agreement (or IFTA) is an agreement between the lower 48 states of the United States and the Canadian provinces, to simplify the reporting of fuel use by motor carriers that operate in more than one jurisdiction. Its membership also includes states and provincial motor carrier associations in Mexico, Brazil, Japan, Australia, and New Zealand. The agreement is supported by the National Governors Association and the Canadian Council of Motor Transport Administrators.
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Under the agreement, a trucker or bus operator who has registered with a state or provincial authority can use that registration to report fuel use in all IFTA jurisdictions. The agreement gives states and provinces the option to eliminate their own fuel tax reporting for out-of-state carriers registered with another IFTA jurisdiction.
How can you file an IFTA fuel tax return?
Commercial motor carriers who own the International Fuel Tax Agreement license file IFTA Quarterly Fuel Tax Return. The process demands accurate and timely reports. It can also be stressful and draining because of the paperwork work involve. Many people avoid doing the reports at first, but this should not be an option as failure to file or submitting erroneous reports can result in heavy levies on due taxes.
The process requires someone who has the proper knowledge in the field of trucking, business, and accounts. The person needs to understand the tax rates and know how to fill out a form document. If this is not done right, your business will be in a lot of trouble. Here are some simple tips that you may find helpful before starting your work.
Quarterly IFTA filing
Anyone holding a license under the International Fuel Tax Agreement is required to file an IFTA Quarterly Fuel Tax Return. If you have been asked to file an IFTA Quarterly Fuel Tax Return, here is what you need to know:
What is an IFTA Quarterly Fuel Tax Return?
All persons holding a license under the International Fuel Tax Agreement (IFTA) are required to file an IFTA Quarterly Report with the Australian Transaction and Analysis Centre (AUSTRAC). The report must be filed each quarter. Quarters are generally grouped into three-month periods: Januaries, February, and March through September.
IFTA Decal
Getting into an IFTA Program and having an IFTA Permit are two different things. Anyone can get into an IFTA Program, but to get an IFTA Permit you have to apply officially with the required IFTA documents, plus your motor carrier should also fulfill IFTA requirements.
There are several programs to get you into an IFTA Program, and many that allow you to get your Permit without going through IFTA requirements. What program you decide to use will depend on the type of IFTA permit you want, among other factors. The only requirement is a valid driver’s license, which all states require.
This article deals with getting into an IFTA Program and having an IFTA Permit if you use the National Registry of Motor Carrier (NRMC) Program.
Penalty for IFTA non-compliance
This blog is to inform owners of any motor vehicle which uses a fuel tax of the Internal Revenue Service (IRS) and the importance of filing their monthly IFTA Fuel Tax Return on time. Failure to file an IFTA Fuel Tax Return after two months of the due date will result in the suspension of your IFTA License and the IRS penalty.
How do you find eligible for IFTA
- Having two axles and a gross vehicle weight (GVW) rating or registered GVW weight over 26,000 lbs or
- Having three or more axles regardless of their weight, or
- Weighing over 26,000 lbs when combined with GVW
Apply other Truck Permits Like:- Oregon Truck Permits, KYU Liquor Transport Permits, Kentucky Permit, VIN Verification, ARB Number, CARB Certificate etc…