What is IFTA and how does it work?
IFTA — the International Fuel Tax Agreement — lets interstate carriers report fuel taxes for the 48 contiguous US states and 10 Canadian provinces through a single quarterly return filed with their base state, instead of filing in every state they drive. A qualifying vehicle is generally one over 26,000 lbs or with three or more axles that operates in two or more member jurisdictions. You carry one IFTA license and decals, track miles driven and fuel purchased in each jurisdiction, and settle the net tax each quarter.
How IFTA works
Get your IFTA license and decals
Your base state — where your vehicles are registered and your records are kept — issues one IFTA license and a set of decals for each qualifying vehicle.
Track miles and fuel by jurisdiction
For every trip, record the miles driven and the fuel purchased in each state or province. Accurate per-jurisdiction records are the entire basis of the return.
File the quarterly return
Each quarter you report total miles and fuel per jurisdiction. IFTA calculates where you burned fuel versus where you bought it and nets the difference into a single amount owed or credited.
Settle through your base state
You pay, or are credited, the net tax through your base state, which distributes it to the other jurisdictions. One payment and one filing — not fifty.
Renew annually and keep records
The IFTA license renews yearly, and you must keep supporting mileage and fuel records — typically for four years — in case of an audit.
Common questions
Who needs IFTA?
Interstate carriers running a qualifying vehicle — over 26,000 lbs or with three or more axles — in two or more IFTA member jurisdictions. If you only operate within one state, IFTA generally does not apply.
When are IFTA returns due?
Quarterly: April 30, July 31, October 31, and January 31. A return is required every quarter even if you did not operate — a 'zero' return still has to be filed on time.
What happens if I file late or wrong?
Late or inaccurate returns bring penalties and interest, and repeated problems can flag you for an IFTA audit. Clean per-jurisdiction records are the best protection.
Is IFTA the same as IRP?
No, but they pair up. IRP apportions your registration (plates) across states; IFTA apportions your fuel tax. Most interstate carriers need both, and we file them together.