International Fuel Tax Agreement
Areas covered by IFTA
The IFTA includes the following 10 states in Canada:
These include Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, Quebec, and Saskatchewan. In addition, IFTA inducts 48 states into the United States. It is important to mention that IFTA does not include Alaska and Hawaii. Moreover, IFTA does not include the District of Columbia.
These include Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland and Labrador, Nova Scotia, Ontario, Prince Edward Island, Quebec, and Saskatchewan. In addition, IFTA inducts 48 states into the United States. It is important to mention that IFTA does not include Alaska and Hawaii. Moreover, IFTA does not include the District of Columbia.
Why is IFTA important?
IFTA is important because before, trade for truck drivers was tough. Canada and the United States do large volumes of trade every day. Hence, trucks and carriers play a crucial role. Before IFTA, drivers had to deal with unique requirements for filing fuel taxes. Provinces have unique filing processes. Some required online filing, whereas for some, drivers had to file in person. Therefore, IFTA provides great relief to carriers.
Who needs an IFTA license?
An IFTA license permits drivers to transport goods within the fuel tax regions. The license allows the driver to transport goods with ease. To work in IFTA regions, an fuel tax license is not needed in all cases. To know if you need an IFTA license or sticker to work, check the criteria below:
1. Your vehicle has two axles. Moreover, it must weigh 26, 000 lbs.
2. You also qualify for the license if you have a vehicle with three or more axles.
3. If your area of operation includes two or more member states of IFTA,
4. Your vehicle is a commercial haulage vehicle.
If you meet the above criteria, you will need an IFTA sticker and a license. The stick is crucial. It is proof that you’re allowed to do business by fuel tax. You may need to renew your sticker every year. Moreover, to apply for an IFTA – Fuel Tax Agreement license, you require a USDOT number. Besides, you should know that each state or province has its own process. Therefore, how you apply depends upon the state where you operate. You should know that costs for licenses and stickers vary among states.
1. Your vehicle has two axles. Moreover, it must weigh 26, 000 lbs.
2. You also qualify for the license if you have a vehicle with three or more axles.
3. If your area of operation includes two or more member states of IFTA,
4. Your vehicle is a commercial haulage vehicle.
If you meet the above criteria, you will need an IFTA sticker and a license. The stick is crucial. It is proof that you’re allowed to do business by fuel tax. You may need to renew your sticker every year. Moreover, to apply for an IFTA – Fuel Tax Agreement license, you require a USDOT number. Besides, you should know that each state or province has its own process. Therefore, how you apply depends upon the state where you operate. You should know that costs for licenses and stickers vary among states.
How to file an IFTA fuel tax report?
Fuel tax reports are really important. Drivers and carriers need to file these reports every quarter. The IFTA authority reviews your report. “Review means they check if you pay fuel taxes. A good record of paying fuel taxes will allow you to continue doing business. There are certain deadlines for the fuel tax report. To learn more, contact our support team. They will guide you through your IFTA tax application form.
• First, total your fuel expenses.
• Second, apply the tax rate. You can calculate the tax rate for each province on the IFTA website.
• Third, subtract the tax balance. You can subtract the balance from the tax you have already paid. Work with us and earn more.
• First, total your fuel expenses.
• Second, apply the tax rate. You can calculate the tax rate for each province on the IFTA website.
• Third, subtract the tax balance. You can subtract the balance from the tax you have already paid. Work with us and earn more.