Category Archives: IFTA professional

Permits And Taxes to Establish Your Trucking Business

We all know licenses and permit requirements are endless in the trucking industry. Many of them deal with tax purpose, while for others are vital for the business operations across the state lines. As an owner operator, you need to hold on normal licenses as well as these additional permits for a secure establishment. However, if you fail to obtain these permits, your business world would surely face incur fine and delays, eventually reflecting your delivery deadlines. Obviously, due to improper credentials and paperwork, the delay takes place. But not any more! Keep reading to know what you got to do before you establish your business in trucking Continue reading

What is International Registration Plan?

The International Registration Plan or IRP is the method of registering fleets of vehicles that have been traveling in two or more member jurisdictions. All states (except Alaska and Hawaii), Washington D.C., and Canadian provinces (except Northwestern Territories, Nunavut and Yukon) are members of the plan. However, people who have qualified motor vehicles are subjected to IRP licensing, reporting and record-keeping requirements until and unless the vehicle is exempt or trip permit has been acquired. Continue reading

File IFTA for the Third Quarter Before October 31st

Being a trucker, many things come along. Paying IFTA taxes is one. This October 31st is the due date for filing your IFTA return for the third quarter. So truckers, get your documents ready, filing is not too far. Continue reading

Different types of Oil Filters

Welcome back truckers! We truly hope your hauling and trucking is moving smooth. In our previous blog, we discussed whatoil filters are. This time we would talk about what are the different types oil filters and their presence. Continue reading

Oil Filters To Keep Your Engine Healthy

Oil filter in automobiles are located on the side of the engine blocks, occupying the lower and the larger part of the engine. The oil pump circulates the oil in and across the engine and is passed through filters as large particles present in oil should not get in contact with the engine. It would eventually damage the engine if circulated freely. Continue reading

Fuel Additives Are Advantageous To Your Truck

Trucks run down the highway day and night, and some run without any halt. With the fuel economy growing vast and in speed, truckers are finding it difficult to manage their earning, dividing it as per the requirement. However, with fuel additives, fuel efficiency can be maintained to certain extend. Continue reading

What You Need to Know when Filing for IFTA Return

Your trucking business is not limited within your state but can go beyond that. Additionally, those into the trucking business have to hire truck drivers for delivering goods from one place to another. Expanding the business in various states would be profitable but managing the fuel tax agreement might not be a pleasant experience because different states have different fuel taxes imposed. In addition, truck owners and operators are required to file fuel tax through IFTA and there certain rules attached to it. To save time, it is advisable to prepare for IFTA return online. In this blog, we shall discuss more about IFTA also providing tips and instructions.

Why Obtain an IFTA License: Trucking companies who thought filing fuel tax return was a burden might not be aware of the advantages that IFTA license provides.

  • Having IFTA license gives trucking companies the authority of moving their vehicles in various IFTA jurisdictions.
  • Truck owners need to file for International Fuel Tax Agreement return once under their base jurisdiction and should have the necessary details about the mileage and fuel use in other jurisdiction.
  • Audits are conducted by the base jurisdiction or the state in which the vehicle is licensed to.

Trucking companies filing IFTA return need to know that they would have to deal with one auditor, who belongs to the place where the business operates. Unlike previously, when businesses had to report to different auditors in different states. In addition, there might be states having different requirements for trucking companies filing this tax return. For example, there are states wanting truck companies to keep important credentials such as fuel receipts and trip permits for four years whereas, there might be states wanting the documents to be kept for more time. It is important for business owners preparing for the International Fuel Tax Agreement to be careful on these details to avoid penalties.

Filing IFTA Return Every Quarter for California State:

The deadline for the 2nd quarter to file for IFTA return is July 31, 2013. Interstate motor carriers having their base jurisdiction as California should file a completed tax return form, which comprises of two parts: ‘IFTA Quarterly Fuel Use Tax Return’ (IFTA-100), and ‘IFTA Quarterly Fuel Use Tax Schedule’ (IFTA-101). Motor carriers should ensure providing all the details in IFTA-101 form such as the fuel used or calculate the tax due on the total usage of fuel in each jurisdiction. Further, the information should be transferred to the IFTA-100 form. It is good to know that motor carrier owners need to make one payment and not different payments for the various jurisdictions they have purchased fuel from.

TaxIFTA.com makes it easy for interstate motor carrier owners prepare their IFTA return online, which they can mail it to the ‘California State Board of Equalization’ or whichever jurisdiction they belong to.

Important Records IFTA Tax Filers Should Maintain

IFTA is a quarterly tax paid by motor carrier owners having IFTA license and operating their vehicles from one state to another. Due on April 30th for the first quarter, It is important for motor carrier owners to pay their IFTA return on time and doing through an online service provider like TaxIFTA.com can help them prepare IFTA returns from anywhere and anytime. However, this fuel tax filers should make sure their records are accurate and safe to help them during an audit. Additionally, it has been clearly stated in the ‘IFTA Procedural Manual’ that IFTA filers need to maintain their mileage and fuel records properly. Besides, the International Registration Plan (IRP) and International Fuel Tax Agreement require the records for appropriate distribution of tax to the various jurisdictions. Read on to know more.

Records IFTA Filers should keep:

As mentioned, IFTA filers should keep a track of the complete mileage traveled for every vehicle used by him or her on the road. In addition, the information available in the records should be authentic to avoid any problems during an IFTA audit. The important records that tax filers should have are:

  • The Accurate Motor Carrier Name.
  • The Right Vehicle Number.
  • Accurate Vehicle Identification Number or VIN.
  • The distance traveled by the vehicle.
  • Complete details of the start and end date of every trip.
  • The origin and destination of every trip.
  • The pick-up and delivery destinations of the vehicle.
  • Details of the places where fuel was filled.
  • The travelling routes.
  • Total mileage used on the American states and Canadian provinces.
  • Total trip distance covered by the vehicles.
  • Original fuel invoices, which should include the date, customer name, seller name, gallons of fuels used, type of fuel, tax paid, and finally the OEN or VIN.

According to the International Fuel Tax Agreement , the records should be kept for four years from the time the tax return was filed or it was due. It is important for tax filers to know that the record keeping requirements might differ from one state to another. Therefore, tax filers are advised to gather the complete information to avoid mistakes. Similarly, as it is essential to maintain the records to avoid any hassles, filing IFTA on time can help tax filers avoid penalties and interests. TaxIFTA.com helps you prepare your IFTA tax accurately and without much difficulty. Take a step ahead by preparing your IFTA return online with a single click of a mouse.

A Short and Simple Guide to the International Fuel Tax Agreement

IFTA, which stands for International Fuel Tax Agreement is for the vehicle owners whose motor carriers operate beyond its base jurisdiction (the state it belongs to). This involves the Canadian provinces and the 48 contiguous United States, excluding Alaska, Hawaii and the Canadian territories. Heavy motor vehicle owners having an IFTA license are required to file for the tax agreement quarterly. Many vehicle owners choose a certified online service provider to aid them prepare the tax return. Read on to know more about IFTA.

According to the International Fuel Tax Agreement, “IFTA is designed to promote and encourage the fullest and most efficient possible use of the highway system by making uniform the administration of motor fuels use taxation laws with respect to qualified member vehicles operated in multiple member jurisdictions.”

How IFTA Works:

Vehicle owners need to know that almost every state in the U.S have their own tax fuel system. However, this tax agreement supports the ‘pay now or pay later’ option, therefore the fuel taxes paid to the states gets credited in the license holder’s account. The license holder should fill the tax report completely by listing the total miles covered and gallons purchased at the end of the fiscal quarter. The fuel mileage and the miles traveled are used for calculating the tax amount to be paid to the state jurisdiction. Different state jurisdictions imply different ways to calculate the tax amount for example, Kentucky and Mexico include the ‘standard fuel tax and weight mile taxes’ whereas, Oregon involves only the weight mile tax.

Preparing for Filing IFTA Return:

TaxIFTA.com makes it easy for truck owners to prepare the tax return in a hassle-free manner. We have designed a user-friendly online application to help them prepare the return at a minimal cost. Besides, the easy to use amendment form makes it possible to rectify the errors and do the possible corrections. However, keep in mind to take a print out to file the return. Reach us at 1-866-245-3918 for additional information and get your queries answered.

5 motive why to File IFTA via Service Provider.

IFTA-One more piece of red tape again, for you owners & operators! Shuffling papers on your IFTA returns at each quarter is indeed a hard nut to crack. In times, an unintentional error may leave solid fines on your head. This is another bitter pill to swallow.

On flipping through your IFTA regulation handbook, you may be convinced that handling IFTA fuel tax returns might not time your minutes. But it does! Here, we give you five wherefores in full picture for hiring a tax professional.

  • A proficient IFTA professional helps you to put off those aches. He can let your focus on your business safety and customer service, since he can still sit for your tasks.
  • He cares for your penalties and fines by filing and paying your IFTA on time.
  • He perpetuates all your taxing and licensing documents revised.
  • He saves you from thefts & fraudulent, if any committed by your fleet drivers.
  • To the last word, hiring a tax professional is not just a comfort or an expense. It is really a safety investment to run your fleet system in top gear.
  • In addition to IFTA, he has the skill and time to analyze your account of proceedings, purchases & also spot inconsistencies.

Readers, take all these into account. It is not a casual chore of making up paper work over the course of year. IFTA calls for detailed trip reports running down the miles traveled and fuels fill-ins in each jurisdiction. Once you are falsified for inaccurate IFTA reports, you have to wear the hat for the brunt of penalties. At taxifta.com, as an alternate tax professional, we help you through call & mail. Reach us at 1-866-245-3918 or mail to support@taxexcise.com