Apart from the benefits of IFTA to trucking businesses, the agreement also makes sure jurisdictions are properly compensated for the use of their roads by heavy commercial vehicles.
Under IFTA, carriers only need to report inter-jurisdictional fuel use to their base state. The state will collect the taxes on net fuel use, process fuel tax returns, and distribute the funds to all the other states.
The base state is also responsible for enforcing compliance through scheduled IFTA audits.
Who has to register for IFTA?
Qualified motor vehicles used/designed to transport people or property may require IFTA registration if they:
Have three or more axles
Have two axles and a gross vehicle or registered gross vehicle weight of more than 26,000 pounds or 11,797 kilograms
Are used in a combination that has a combined or registered gross vehicle weight of more than 26,000 pounds or 11,797 kilograms.
How does it work?
In a few steps you can generate your Fuel Tax Report using Simple IFTA.
1. Login to Simple IFTA
2.Add miles and gallons purchased
3.Generate report and Submit to IFTA
For more detail - www.simpleifta.com