We know that taxes can sneak up on you, this is why we’re reminding you that tax season is here! Ready or not it’s time to file, whether it’s your taxes or an extension form, it needs to be correctly filled out and turned in by the deadline to avoid getting hit with late fees and penalties.
Now which taxes are we talking about exactly? Well, today, January 31st, we’re referring to your 4th quarter IFTA report!
IFTA or the International Fuel Tax Agreement that was created between the 48 contiguous states in the United States and the 10 provinces in Canada for the collection and distribution of fuel taxes. If your vehicle travels between two or more states, which are known as jurisdictions and has a gross weight that exceeds 26,000 lbs or has more than 3 axles then you need to provide an IFTA report for it on a quarterly basis.
Recreational vehicles are exempt for IFTA, but any commercial carriers that travel on the interstate and meet the vehicle size qualifications are required to register with IFTA.
So, when filing your quarterly IFTA fuel tax returns you need a few things per your base jurisdiction, or state, including:
- Total miles traveled per jurisdiction, including non-taxable miles. This means that you have to report the total amount of miles traveled per state.
- Gallons of fuel purchased per jurisdiction.
- The taxes paid on all fuel purchases.
- And the current tax rate for each state.
It’s important to make sure you file all of your IFTA reports on time to keep your license and permits up to date so you can continue operating your heavy vehicle in multiple states. Plus, if you don’t pay you’re subject to a $50 penalty or 10% of the net liability tax, depending on which total is higher. You don’t get off with just a fine though, because interest will build up at a rate of .4167% per every month that your IFTA tax remains unpaid.
IFTA With TruckLogics
Luckily you can use TruckLogics to easily keep track of everything you need to file your IFTA reports!
By using ProMiles with TruckLogics not only will you find the best routes for your trips, but your mileage per jurisdiction will be recorded. You’ll maintain the precise trip mileage for all of your trip sheets, and will no longer have to worry about odometer readings when you cross state lines, because it will all automatically be recorded for you.
If you make a detour or go a few extra miles to your favorite rest stop, don’t worry! You can easily update your route on your smartphone in a matter of seconds and your miles will automatically be updated.
When it comes to entering fuel you can easily upload all of your fuel expenses from your Fleet 1 fuel card. Don’t have a fuel card? No problem, you can quickly and easily update your fuel expenses under the accounts tab. Enter in your fuel totals with your smartphone, right when you finish pumping gas, or take a photo of the receipt with the TruckLogics app to organize your expenses and enter them in later.
From your trip sheets you can generate an IFTA report with all the totals you need on it, then you can email or print this report to use this total to quickly and easily complete your IFTA return.
We’re Here To Help
The TruckLogics crew are experts on all things IFTA. Please don’t hesitate to contact us via phone, email, or live chat. We will be more than happy to answer any questions that you may have.