Complete IFTA Guide
The International Fuel Tax Agreement (IFTA) is a system of agreements between the 48 continental United States and Canadian Provinces to share fuel tax among
those regions. IFTA replaced a system where each state was separate and required permits and collection in each region.
Who is Required to file IFTA?
You are required to file IFTA returns if you meet the following criteria:
- 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.
What do I need to keep track of for IFTA?
In order to file your IFTA return, each truck driver is required to keep records of two things:
- All fuel purchases from each region
- All miles travelled in each region
How do I calculate what I owe for IFTA?
In order to calculate your IFTA return, you will need to do the following:
- Add up all of your miles traveled for each IFTA jurisdiction.
- Add up all of the gallons of fuel purchased in each IFTA jurisdiction.
- Calculate the gallons of fuel consumed in each IFTA jurisdiction
- Using an IFTA rate table, calculate the total fuel tax amount owed for each IFTA jurisdiction
- Using an IFTA rate table, calculate the total fuel tax amount paid for each IFTA jurisdiction
- Add up the differences of amount owed and amount paid for each IFTA jurisdiction