IFTA Fuel Tax Returns

The International Fuel Tax Agreement, sometimes known as IFTA, is a pact between the lower 48 states of the United States and the provinces of Canada that makes it easier for motor carriers that operate in many countries to record their fuel usage. States and provincial motor carrier associations from Mexico, Brazil, Japan, Australia, and New Zealand are also members of the organization. The Canadian Council of Motor Transport Administrators and the National Governors Association both support the deal.

A trucker or bus driver who has registered with a state or provincial authority in accordance with the agreement may utilise that registration to record fuel use in all IFTA jurisdictions. With regard to out-of-state carriers that are registered with another IFTA jurisdiction, the agreement enables states and provinces the choice to do away with their own fuel tax reporting.

How may an IFTA fuel tax return be submitted?

IFTA Quarterly Fuel Tax Returns are filed by commercial motor carriers who hold an International Fuel Tax Agreement licence. The procedure necessitates quick and accurate reports. Because of the amount of documentation required, it can also be exhausting and unpleasant. Many people first put off filing the reports, but this should not be an option as doing so might result in significant fines on unpaid taxes.

Someone with the necessary expertise in trucking, business, and accounts is needed for the process. The individual must be aware of tax rates and have form-filling skills. Your company will face serious difficulties if this is not done correctly. Here are a few straightforward suggestions that you might find useful before beginning your work.

Quarterly IFTA filing

An IFTA Quarterly Fuel Tax Return must be submitted by anyone with a licence under the International Fuel Tax Agreement. Here is what you should know if you have been asked to submit an IFTA Quarterly Fuel Tax Return:

What is an IFTA Quarterly Fuel Tax Return?

The Australian Transaction and Analysis Centre (AUSTRAC) requires an IFTA Quarterly Report from every individual holding a licence under the International Fuel Tax Agreement (IFTA). Each quarter, the report must be submitted. The three-month quarters of January, February, and March through September are the norm.

IFTA Decal

There are differences between enrolling in an IFTA programme and obtaining an IFTA permit. Anyone can enrol in an IFTA programme, but in order to receive an IFTA permit, you must formally apply with the relevant IFTA documentation and have your motor carrier meet the IFTA standards.

Numerous programmes exist that can help you enter an IFTA programme as well as many that let you obtain your permit without having to fulfil IFTA requirements. What programme you choose to use will depend on a variety of circumstances, including the kind of IFTA permit you desire. The only prerequisite is a current driver's licence, which is necessary in every state.

This page discusses enrolling in an IFTA programme and obtaining an IFTA permit if you use the NRMC programme, or National Registry of Motor Carriers.

Penalty for IFTA non-compliance

The goal of this blog is to educate readers about the Internal Revenue Service (IRS) and the value of timely submission of their monthly IFTA Fuel Tax Return. Your IFTA licence will be suspended and you will be subject to an IRS fine if you fail to submit an IFTA fuel tax return after two months after the deadline.

How do you find eligible for IFTA

  • Having two axles and a reported GVW weight over 26,000 lbs or a gross vehicle weight rating.
  • Irrespective of weight, having three or more axles, or
  • Weighing more than 26,000 lbs with GVW.

Apply for additional truck permits, such as those for Oregon, Kentucky, KYU spirits transport, Kentucky, VIN verification, ARB number, CARB certificate, etc.

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