FAQ
What is IFTA, and why do I need it?
The International Fuel Tax Agreement (IFTA) is an agreement among the lower 48 U.S. states and Canadian provinces that simplifies fuel tax reporting for motor carriers operating in multiple jurisdictions. IFTA ensures fuel taxes are fairly distributed to the states and provinces where the fuel was actually used (driven), rather than just where it was purchased.
What are the consequences of driving a qualified vehicle without IFTA?
Driving without an IFTA sticker can result in fines up to $500 or more per violation.
How can I easily track miles and fuel for IFTA compliance?
Good IFTA record-keeping is mandatory, but you can simplify the process with technology. Qualified ELD providers and fuel cards can help track IFTA mileage and fuel purchased. IFTA Plus offers leading software to organize, file, and manage your IFTA records efficiently.
What happens if I don’t file my quarterly IFTA return?
Failure to file an IFTA return results in a penalty of $50 or 10% of the total tax due, whichever is higher. Your license may be suspended if you don’t file within 30 days after the quarterly deadline. Late or incomplete filings can also impact IRP and IFTA renewals.
Do I need to report in-state and out-of-state miles if I didn’t leave the state this quarter?
Yes, you must report all miles driven within your base jurisdiction during the quarterly reporting period, even if you didn’t leave the state. While taxes due may be zero, the state still requires a return showing your activity.
I didn’t operate or worked for someone else; do I still need to file?
Yes, if you hold an IFTA license, you must file a return each quarter, even if you didn’t operate. If you’ll be working for another carrier long-term, consider closing your IFTA account.
Do I need to file personal miles and fuel?
Yes, all mileage and fuel, including personal or “off duty” use, must be reported for IFTA. This differs from Hours of Service (HOS) regulations. Typically, personal use in your base jurisdiction won’t affect your tax liability.
How long do I need to keep my IFTA records?
You must keep your IFTA records for four years. ELD companies don’t store these records, so be sure to download and save them monthly.
Free Resources
Guide to IFTA
IFTA Plus Record keeping Requirements
Mileage Mile
IFTA Plus Trip Log
Fuel Gallon