Do You Qualify For IFTA?

The International Fuel Tax Agreement (IFTA) is an agreement among US states and Canadian provinces. It makes fuel tax licensing and reporting requirements for interstate motor carrier easier. In essence, this program benefits carriers by consolidating licensing and reporting requirement through the base (home) state.

So to qualify for IFTA, at first, you must have a vehicle that transports people or property for compensation and:

  • has three or more axles
  • has two axles and a gross vehicle or registered gross vehicle weight of more than 26,000 pounds or 11,797 kilograms
  • used in a combination that has a registered gross vehicle weight of 26,000 pounds or more

Vehicles that are used for recreational purposes are not usually taken into consideration as qualified motor vehicles. Essentially, when the vehicle is uses for personal pleasure, is ineligible. However, a vehicle that is in connection with a business operation is not considered recreational.

Is There An Alternative to IFTA Registration?

If you qualify for IFTA but don’t want to register, you must get a trip permit from each member state or province every time you travel into it. Furthermore, it is mandatory to purchase fuel tax permits if you don’t have IFTA.

If you have any questions about IFTA Filings, contact us today and we’ll help answer your questions!