IFTA Registration & Renewal

The International Fuel Tax Agreement (IFTA) simplifies fuel tax reporting for motor carriers operating in multiple jurisdictions across the United States and Canadian provinces. This agreement enables carriers to file a single quarterly fuel tax report covering all IFTA-member jurisdictions. Below is a detailed guide on IFTA registration and the annual renewal process.

What is IFTA?

IFTA is an agreement among 48 U.S. states and 10 Canadian provinces that streamlines the reporting of fuel use taxes by interstate motor carriers. Carriers report their mileage and fuel purchases to their base jurisdiction, which then handles the tax allocation across other jurisdictions.

Who Needs IFTA Registration?

You must register for IFTA if your vehicle meets the following criteria:

  • Operates in two or more IFTA jurisdictions.
  • Has a gross vehicle weight exceeding 26,000 pounds, or
  • Has three or more axles regardless of weight, or
  • Is part of a combination of vehicles exceeding 26,000 pounds gross vehicle weight.

Steps to Register for IFTA

  1. Determine Your Base Jurisdiction:
    • The base jurisdiction is the state or province where your business is registered, and your operational records are maintained.
  2. Complete the Application:
    • Obtain an IFTA license application from your base jurisdiction’s motor vehicle department or tax office. Most states allow online submission.
  3. Pay the Registration Fee:
    • Fees vary by jurisdiction. This fee typically covers administrative costs for processing the license and decals.
  4. Receive IFTA License and Decals:
    • Once approved, you’ll receive an IFTA license and two decals for each qualified vehicle.
  5. Display the Decals:
    • Place the decals on the exterior of your vehicle’s cab, one on each side.

Annual Renewal Process

IFTA licenses expire on December 31st each year. To maintain compliance, follow these steps to renew your license:

  1. Submit Renewal Application:
    • Most jurisdictions begin accepting renewal applications in late October or early November.
    • Check your base jurisdiction’s deadlines and processes.
  2. Verify Information:
    • Ensure all business and vehicle information is accurate and up-to-date before renewing.
  3. Pay Renewal Fees:
    • Fees for renewal are generally similar to the initial registration fees.
  4. Receive New Decals:
    • After renewal approval, you’ll receive new IFTA decals that must be displayed on your vehicles starting January 1st.

Important Notes

  • Quarterly Reporting: Carriers must file quarterly IFTA fuel tax reports. These reports detail miles traveled and fuel purchased in each jurisdiction.
  • Penalties for Non-Compliance: Failure to renew your IFTA license or file accurate reports can result in fines, penalties, and possible suspension of operating privileges.
  • Record Keeping: Maintain accurate records of mileage and fuel purchases for at least five years and nine months, as audits may occur.

Why Choose Us for IFTA Assistance?

Navigating IFTA registration and renewal can be complex, but we’re here to help. Our expert team ensures your application is accurate and submitted on time, minimizing delays and penalties. Contact us today for a hassle-free IFTA registration and filing!