Wednesday, November 28, 2012

All About IFTA

What is IFTA?
The International Fuel Tax Agreement (IFTA) is an agreement between the lower 48 states of the United States and the Canadian provinces (except Northwestern Territories, Nunavut and Yukon), to simplify the reporting of fuel use by motor carriers that operate in more than one jurisdiction. Under IFTA, you are able to file one return in your base jurisdiction and that jurisdiction will allocate the money appropriately.  This agreement definitely simplified what used to be a very long and time-consuming process.

Who is required to file?
This tax is required for motor vehicles used, designed, or maintained for transportation of persons or property and: 
  • Having two axles and a gross vehicle weight rating or registered gross vehicle weight in excess of 26,000 pounds, and/or 
  • Having three or more axles regardless of weight, and/or 
  • Is used in combination, when the weight of such combination exceeds 26,000 pounds gross vehicle or registered gross vehicle weight.
Exceptions exist for Recreational Vehicles (such as motor homes, pickup trucks with attached campers, and buses when used exclusively for personal pleasure by an individual). Some states have their own exemptions that may apply to farm vehicles or government vehicles, so check your state for their specific exemptions.

When do you have to file?

Under IFTA, you are required to file quarterly fuel tax reports.
  • The reporting quarters and due dates are:  
January – March
April 30
April – June
July 31
July – September
October 31
October – December
January 31

How do you file?

The filing process varies from state to state.  Some states offer e-filing, with more states moving towards that option.  Check with your state to find out what is required.

As a premier processing agency, Truck Services of North America can set up your IFTA accounts and file your Quarterly IFTA Taxes for you.  TSNA takes the paperwork out of your way. For more details contact us at or call 803.386.0320.

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