If you are a motor carrier operating in the United States, it is important to understand the International Fuel Tax Agreement (IFTA). This agreement is between the lower 48 states of the US and the Canadian provinces, and it regulates the collection and distribution of fuel taxes among these jurisdictions.
Who Needs to File IFTA?
Any motor carrier operating a qualified motor vehicle in more than one jurisdiction that has a gross vehicle weight of over 26,000 pounds or has three or more axles is required to obtain an IFTA license and file quarterly IFTA tax returns.
When Is IFTA Due?
IFTA tax returns are due quarterly, on the last day of the month following the end of each quarter. For example, the first quarter IFTA tax return is due on April 30th. The other quarters are due on July 31st, October 31st, and January 31st.
What Happens if IFTA is Not Filed?
If you fail to file your IFTA tax return on time, you could be subject to penalties and fines. In some cases, this can result in the suspension or revocation of your IFTA license.
How Purcell Compliance Services Virtual Fleet Manager Can Help
Purcell Compliance Services offers a Virtual Fleet Manager service that is designed to help motor carriers with IFTA compliance. Their team of experts has years of experience in IFTA/IPR set up and filings, and they can help ensure that your IFTA and IRP accounts are set up correctly. They can also file past IFTA filings and help reduce fines.
In addition, Purcell Compliance Services’ Virtual Fleet Manager service can handle New York Hut and Heavy Weight Tax filings, making it a one-stop-shop for all your compliance needs. Their team has received 5-star reviews from large fleets, and they are considered the best in the industry.
In summary, if you are a motor carrier operating in the US or Canada, it is important to understand IFTA compliance. Failing to file your IFTA tax returns on time can result in penalties and fines, which can be costly for your business. However, with the help of Purcell Compliance Services’ Virtual Fleet Manager service, you can ensure that your IFTA and IRP accounts are set up correctly and that your filings are done on time, helping you avoid any potential issues.