For example, if you are a California-based airline that does not hold an IFTA license and you are traveling to Nevada (an IFTA jurisdiction), you must obtain a Nevada Fuel Travel Authorization to enter and travel to that state. When you return to California, you must obtain a california fuel travel permit before returning to the state. IFTA is an agreement between U.S. states and the provinces of Canada that simplifies the reporting of fuel consumption taxes by intergovernmental road transportation companies operating in two or more member states or provinces. The fee for a Tennessee Fuel License is $30 per permit plus the wire service fee and is available from the following contractors: NOTE: In April 2018, IFTA Inc. added hydrogen and electric fuel types to the IFTA tax rate matrix. Visit the Tax Rates – Taxes and Special Fees page to see current and historical fuel tax rates. Airlines flying in non-ifta jurisdictions must continue to meet the fuel tax requirements of those jurisdictions. Licensed IFTA carriers are required by the IFTA Agreement and the Michigan Motor Carrier Act to keep vehicle records for 4 years from the due date or declaration or the date the return was filed, whichever is later. Although dot/FMCSA only requires 6 months of records, you must keep your fuel and mileage records for IFTA and IRP purposes for at least 4 years. For more information on record retention, see the IFTA Procedures Manual, Section P500. You must keep records that properly document all the information you provide on your fuel tax returns. Records must be kept for a period of four years from the due date of your tax return or the date of filing of the tax return, whichever is later.
A temporary fuel license is available for trucks that occasionally or rarely travel on Tennessee highways. Approval may be granted for a maximum period of seven consecutive days and applies only to the vehicle for which it has been granted. The 7-day temporary fuel license is required before entering Tennessee. Instead of obtaining a license under IFTA, individuals can choose to meet their fuel use tax obligations on a trip-for-trip basis. IFTA fuel tax reports can be submitted electronically using a web file or EDI software, or on paper using Form 56-101, International Fuel Tax Agreement (IFTA) Fuel Tax Report (PDF) and Form 56-102, Supplement to the IFTA Fuel Tax Report (PDF). Eligible commercial vehicles travelling in more than one U.S. state or Canadian province must file a consolidated fuel tax report (e.g.B. gasoline, diesel, liquefied petroleum gas, compressed natural gas, and liquefied natural gas taxes) under the International Fuel Tax Agreement (IFTA). In general, you must keep records to document all the miles you travel, including the date of your trip, your itinerary, the total number of miles traveled, and the miles traveled in California or any jurisdiction.
You will also need to keep all receipts for the fuel you buy and put in your vehicles. If you maintain a bulk fuel warehouse, you must keep additional records. The IFTA Processing Consortium (IPC) is a web application used by the State of Michigan to help Michigan-based intergovernmental road transportation companies license IFTA, file/pay quarterly fuel economy tax returns, order IFTA stickers, and temporary IFTA sticker approvals. If your account has been or is currently licensed by IFTA in the last calendar year and you know your credentials, use the link below to access your IFTA Michigan account. IFTA`s goal is to create and maintain the concept of a single fuel tax license for all your qualified motor vehicles, allowing them to travel to all IFTA jurisdictions, so you only need to file one tax return per quarter with your base jurisdiction to report your fuel consumption and mileage for all member states and provinces of IFTA. Under the Interstate User program, anyone who uses diesel fuel to drive a qualified motor vehicle inside and outside that state pays a tax on every gallon of diesel fuel used in that state. If you are not yet enrolled in the Interstate User License or IFTA Credentials and need to travel outside of the state, you must purchase fuel travel permits to travel to IFTA jurisdictions and for your return to California. Your California fuel travel permit must be purchased and completed before returning to the state. If you enter California or travel to an IFTA jurisdiction without valid IFTA or Interstate user license credentials or a fuel travel authorization, you may be fined, fined, or quoted, depending on the laws of the jurisdiction. If you enter California without a valid California fuel travel permit or IFTA credentials, you will be fined.
Penalties range from $100 to $500 or more (if you owe a fuel tax, the penalty may be more than $500). You will also need to obtain a fuel permit and will be subject to possible seizure of your vehicle. In this case, your vehicle will not be released until you have paid all your liability, including all costs associated with the seizure of the vehicle. Since July 1, 2017, effective tax rates have changed and will increase each year over the next three years. Please see our page on due dates and fuel tax rates for more information. If your eligible motor vehicle only occasionally operates in more than one IFTA member jurisdiction, you can obtain a travel authorization for each jurisdiction to meet your fuel consumption tax obligations. Canada has introduced a new fuel charge under the Pollution and Greenhouse Gases Pricing Act. The fuel charge is expected to be introduced on April 1, 2019 for fossil fuel users in New Brunswick, Ontario, Manitoba and Saskatchewan, and on July 1, 2019 for users in Nunavut and Yukon. Trucking companies operating in Canada must register with the Canada Revenue Agency (CRA) or face a $2,000 fine. For more information, see the CRA`s Fuel Charge Notice or email the CRA directly to firstname.lastname@example.org. Read our Biodiesel and Renewable Diesel Fuel FAQ to learn how to report biodiesel fuel on your quarterly IFTA return.
If you are a trucking operator, report all fuel consumption taxes due in New York and other jurisdictions to a single basic jurisdiction. IFTA applies to most Canadian states and provinces. New York State participates in IFTA to administer and collect its fuel consumption tax. IFTA, Inc. announced the inclusion of hydrogen and electricity as fuel types in IFTA`s tax rate matrices (based on www.iftach.org). Although it is still in its infancy and many jurisdictions have not set tax rates on these types of fuels, carriers using hydrogen or electricity in power plants must report purchases of these fuels on their IFTA returns with gallon equivalents. Each member jurisdiction sets its own tax rate. Texas-based interstate airlines report fuel tax paid in all member jurisdictions. Tax rates for current and previous periods can be found at IFTA Inc. The International Fuel Tax Agreement (IFTA) is a tax collection agreement between and between the 48 contiguous states and Canadian provinces bordering the United States to simplify the reporting and collection of fuel taxes used by commercial carriers operating in more than one jurisdiction. Persons who drive qualified motor vehicles are subject to IFTA approval. The International Fuel Tax Agreement (IFTA) is an agreement between jurisdictions (U.S.
and Canadian provinces) to simplify the reporting of fuel consumption taxes by intergovernmental airlines. IfTA simplifies paperwork and compliance burdens to report fuel tax obligations for gasoline, diesel, propane, blended fuels (gasohol or ethanol), liquefied natural gas, compressed natural gas, hydrogen, electricity, E-85, M-85 and A-55. .