is the International Fuel Tax Agreement and is a tax collection agreement by and among the 48 contiguous States and the 10 Canadian Provinces bordering the US, in which motor fuels use taxation laws are uniform with respect to qualified motor vehicles operated in more than one member jurisdiction.
Is there an alternative to IFTA registration?
If you qualify for IFTA
but do not choose to register, you must obtain fuel trip permits to travel into or through each member jurisdiction. You will be required to purchase a California Fuel Trip Permit every time you re-enter California after traveling outside the state. Carriers traveling in non-IFTA jurisdictions must continue to comply with the fuel tax reporting requirements of those jurisdictions.
Should I register for IFTA in my state?
A qualified motor vehicle is a motor vehicle used, designed, or maintained for transportation of persons or property having:
- Two axles and a gross vehicle weight or registered gross vehicle weight exceeding 26,000 pounds or 11,797 kilograms; or
- Having three or more axles regardless of weight; or
- Is used in combination, when the weight of such combination exceeds 26,000 pounds, or 11,797 kilograms gross vehicle or registered gross vehicle weight.
Prepare your IFTA Quarterly Fuel Tax Report with ExpressIFTA is the fastest, most secure, and error-free way to generate your IFTA report with no manual tax calculations needed.
Qualified Motor Vehicle does not include recreational vehicles unless they are used in conjunction with any business endeavor. Recreational vehicles are vehicles such as motor homes, pickup trucks with attached campers and buses when used exclusively for personal pleasure by an individual.
How do I apply for an IFTA license?
You can register online here
. We will send you an application that must be completed and returned with the required fees. Upon acceptance, you will be issued credentials that will allow you to operate in all member jurisdictions.
What fees must I pay under IFTA?
There is a $10 annual fee + $2.00 for each set of decals. You will need one set per qualified vehicle.
What credentials will I receive?
You will receive one California IFTA license
for your business and a set of 2 decals. One decal must be placed on the exterior portion of the cab's passenger side. The second decal must be placed in the same position on the driver's side. Your credentials are all valid for the calendar year. You must renew your license and order new decals each year.
Are there penalties for traveling without valid IFTA credentials or a fuel trip permit?
You may be subject to a penalty, fine or citation, depending on the jurisdiction's laws. If you enter California without a valid California Fuel Trip Permit or IFTA credentials you are subject to a penalty. Penalty amounts range from $100 to $500 or more (if you owe fuel tax, the penalty may be higher than $500). You will also be required to purchase a fuel trip permit and are subject to possible seizure of your vehicle. If that occurs, your vehicle will not be released until you pay all money due the State, including any costs associated with the seizure of the vehicle.
Do I file a quarterly fuel tax report if I didn't run during the quarter?
Yes, a quarterly fuel tax return must be filed even if the no fuel was used. You submit a "zero" report.
What is the penalty and interest rate for filing a late quarterly fuel tax report?
Failure to file a return, filing a late return, or failure to remit any or all tax due will result in a penalty of $50.00 or 10% of the net tax due to all member jurisdictions, whichever is greater. Interest is computed on all delinquent taxes dues each jurisdiction at a rate of 1% per month.
How do I obtain a return?
IFTA quarterly fuel use tax returns
can be filed online at https://efile.boe.ca.gov
or you can download the forms and submit them.
Where can I get more information?