IFTA Permit And Temporary IFTA Permit: All You Need To Know
May 28, 2021 0IFTA DecalIFTA Fuel Tax ReturnsIFTA PermitIFTA ProgramTemporary IFTA Permit
Many years ago before the introduction of the IFTA Permit and license to the US, motor carrier drivers were required to purchase fuel permits from each state they travel across. This is often stressful, time-consuming, and causes delay. To improve the trucking industry, officials from some states came together to establish the IFTA program in the 1980s.
The International Fuel Agreement is a joint agreement between 48 states in the US and 10 provinces in Canada that leads to using a single permit. This way the motor carrier IFTA Quarterly Fuel Tax Return will be assessed by one authority which later distributes it to the member states.
How IFTA Operates
The agreement ensures all member states are properly compensated for the use of their road by motor carriers. With the IFTA program, motor carriers only need to return the fuel used in each member state to their base state. The state then collects the taxes, processes IFTA Fuel Tax Return, and distributes the fund to the other states. The base state is also responsible for issuing an IFTA decal, which comes with an IFTA license as proof of IFTA registration.
How To Get IFTA Decal
Before you obtain the IFTA decal, you will need to complete your IFTA registration in your base state or province. It should be the state or province your trucking company is registered in or where your company’s records are kept. After registering with IFTA, you will be issued a license and two IFTA decals to be placed on both sides of your truck. IFTA decal expires at the end of every year, therefore, you need to always renewal to stay compliant.
How To Obtain Temporary IFTA Permit
To stay in business, trucking companies must obtain legal documents and also adhere to the rules and regulations that govern the road. This is why it is important for qualified motor carriers that do not participate in IFTA must obtain a Temporary IFTA Permit to travel across the IFTA member state.
Also, any motor carrier who operates one or more qualified motor vehicles in other IFTA member state other than their base state must apply for must be obtained Temporary IFTA Permit to travel through the member state according to the regulations of each member jurisdiction.
The cost of a Temporary IFTA permit varies from state to state and its validity time ranging from 72 hours to 30 days. Paying for a temporary permit is much cheaper when compared to paying a huge penalty fee for illegal road use. Our job at Global Multi Services is to help you get your permit as fast as possible so you can be on your way.
How To Calculate IFTA Fuel Tax Report
Follow the following steps to calculate your IFTA Fuel Tax Report
- Track miles travel in each member state or province
- Record and calculate the total gallons of fuel purchase in each member state or province.
- Record and calculate fuel consumed in each member state or province
- Record and calculate the fuel tax of each state or province.
- Add everything together.
How We Help At Global Multi Services
Global Multi Services is a company with many years of experience when it comes to filing IFTA Quarterly Fuel Tax Return, IFTA Fuel Tax Return, and IFTA Permit. Our team is ready to explain the IFTA Program to you to get knowledge about how it works. Our system of applying for a Temporary IFTA Permit and IFTA decal is very fast and affordable. Contact us today to get the best services you deserve.