If you are new to the IFTA filing game or making sure your IFTA info is in check, it is always good to know the required information for IFTA Distance Records. You need the right information because, by law, base jurisdictions are required to audit 3% of the IFTA accounts per year.
The International Fuel Tax Agreement makes it possible for motor carriers to operate in several states and provinces while handling tax transactions in one location. Let’s take a closer look at IFTA requirements…
A truck is considered a “qualified vehicle” if it:
- Has two axles and a gross vehicle weight or registered gross vehicle weight exceeding 26,000 pounds.
- Has three or more axles regardless of weight.
- Is used in combination where the combined weight exceeds 26,000 pounds.
Note: Recreational vehicles or units with Beyond Local plates that travel only in their base state or province are not included in IFTA.
Carriers can use Individual Vehicle Mileage Records (IMVR), also known as trip sheets or trip reports, for documenting distance records. Whatever you choose to record your distance records, they need have all travel documented whether your driving loaded, empty, deadhead, or bobtail. IFTA requires licensees to maintain all distance records used to create your quarterly IFTA return and/or annual tax returns for four years. Your records must be made available to any member jurisdiction
up on request, if you are audited and have not maintained your records, you could face hefty fines and penalties.
Here are the minimum requirements that should be present on your IFTA records:
- Trip dates (beginning and ending);
- Trip origin and destination;
- Route of travel’
- Beginning and ending odometer readings;
- Total trip distance traveled;
- Miles by jurisdiction;
- Vehicle identification and fleet number;
- Licensee’s name.
Tracking Fuel for IFTA
All fuel purchased, received, and used must be recorded. For each motor fuel type, a separate total must created. Retail fuel and bulk fuel purchases are to be accounted for separately.
Pay special close attention to your fuel receipts, if they contain erasures or any alterations they will not be accepted for tax-paid credits unless the licensee can demonstrate the receipt is valid.
Retail purchases can be documented by a receipt or invoice, credit card receipt, automated vendor generated invoice or transaction listing. Each receipt needs to include:
- Date of purchase
- Seller’s name and address
- Gallons (liters) purchased
- Fuel type
- Price per gallon or amount of sale
- Unit numbers
- Purchasing company’s name.
For IFTA purposes, bulk fuel is defined as fuel delivered into a storage tank owned, leased or controlled by the licensee and not delivered directly to the fuel tank or a qualified vehicle. Like reefer fuel. There is a tax credit available for bulk fuel, you will need to contact your base jurisdiction for more information.
For your bulk fuel records, make sure they have this information:
- Date of withdrawal
- Number of gallons or liters
- Fuel type
- Unit number
- Purchase and inventory records to substantiate that tax was paid on all bulk purchases.
You can always contact the ExpressIFTA Support team with any IFTA questions you may have via phone: 704-234.6005 or email: firstname.lastname@example.org
If you would rather have a professional prepare your IFTA returns, we have a sister company, TSNA
, that can take care of everything for you – even all your authorities and needed registrations. You can contact TSNA via phone: 803-386-0320 or email: support@TSNAmerica.com
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