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Those who have started trucking or trucking business after 1996 might not get the pain and nuisance that truckers operating before 1996 used to go through. Why was that? Before 1996, IFTA was not operating in the whole of the US, but since 1996 IFTA is operating in 48 states of the US, except Alaska and Hawaii, and 10 constituencies of Canada. In this blog, I am going to tell you about the nits and grits of the International Fuel Tax Agreement (IFTA License), how it has made the truckers’ life easier, and how Global Multi Services is one of the most booming companies in providing all kinds of proficient trucking related services.

What is IFTA?

The IFTA is the abbreviated form of the International Fuel Tax Agreement. This agreement was signed by the 48 States of the US and Canadian Provinces. It allowed the truckers and the fleet owners to pay their fuel taxes quarterly, and also, to pay their taxes based on the fuel charges specific to their base jurisdiction only. Otherwise, before 1996, the IFTA was established only in a few American states but each state used to charge its own fuel tax from the truckers traveling interstate, regardless of where the fuel was purchased. So, by time, this became chaotic, and very expensive too, for the truckers and fleet owners. Plus, as it was not used to be filed quarterly or annually but regularly, it also became an administrative menace for the trucking companies. Now the fuel taxes are just to be filed quarterly, and that too in your base jurisdiction which further distributes it to the states that you maneuvered from in that quarter.

Who are Eligible to get an IFTA Permit

Well, not everyone is blessed with the boon of getting an IFTA Permit as the IFTA has specified some vehicle requirements to get an IFTA Permit and IFTA Decals. The vehicles should lie under one of the following categories to get an IFTA permit:

  • The vehicle should at least have two axles with a maximum weight of 26,000 or 11,797 Kilograms.
  • The vehicles should at least have three or more axles.
  • And at last, those vehicles which have a gross vehicle weight of more than 26,000 lbs or 11,797 kilograms.

If your vehicle falls under any of the above categories and you travel interstate or across borders for commercial purposes, you are eligible to get an IFTA permit.

IFTA License & IFTA Decals

Getting into an IFTA Program and having an IFTA Permit are two different things. Anyone can get into an IFTA Program, but to get a License you have to apply officially with the required documents, plus your vehicle should also fulfill the requirements asked by IFTA.

To get the IFTA Permit and License you have to apply in your base jurisdiction, or if your state does not comply with IFTA you could apply in the neighboring state. The following list of documents are required:

  • USDOT Number
  • Registered Business Name
  • Mailing Address
  • Federal Business Number

Once you get the License you will be given a pair of IFTA Decals for each of your vehicles. And you could also apply for more than one pair of IFTA Decal, which will cost you some $25 for each pair.

How We Can Help

To file the fuel tax reports correctly and enjoy the tax benefits, truckers and trucking companies must keep a comprehensive record of their travel details, fuel consumption, and mileage. The experts at Global Multi Services will help you keep all records efficiently, and help you to apply for the IFTA permit as well, as we deal with all kinds of trucking permits and services.


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Global Multi Services provides provides IFTA (International Fuel Tax Agreement) and all truck-related services to legally operate your carriers and save yourself from hefty fines by making your easy.

What Is International Fuel Tax Agreement (IFTA) Returns?

 Being aware of the rules and regulations is very important while making decisions, especially for drivers and carriers. One such principle limitation is the International Fuel Tax Agreement (IFTA), a collaborative deal between the 48 states of the United States and ten provinces of Canada. It allows inter- jurisdictional reporting for the fuel which vehicles consume within a single fuel tax license.

It is mainly designed to maintain a single fuel license within the state carriers. For each possessor of the permit, there will be a single administering base jurisdiction. However, Canadian territories, Alaska and Hawaii, do not participate in this. Operating carrier with IFTA also gets an IFTA license, and for every vehicle passed, there will be two decals imprinted on it. To figure out the refund, the carrier has to file a quarterly fuel tax report. This also leads to redistribution of the collected taxes from different which are due.

Experts at Global Multi Services are best at processing IFTA permits like:-

  • MONTHLY OREGON FILING
  • QUARTERLY NEW YORK FILING HUT
  • QUARTERLY INTERNATIONAL FUEL TAX AGREEMENT
  • NEW MEXICO WEIGHT DISTANCE TAX
  • KENTUCKY HIGHWAYS USE(KYU) TAX

Who gets Qualified for IFTA?

Tax is needed for only two vehicles which are

  • Having weight more than 26,000 lbs when combined with Gross vehicle weight.
  • Having two axles and registered GVW weight over 26,000 lbs.
  • Having three axles or more irrespective of the weight.

Experts at Global multi services quickly provide you with:-

Quarterly IFTA Filing in which every motor carrier has to submit monthly driven miles to BOE so that they charge accordingly for every vehicle.

New Mexico Weight Distance Tax is implemented on owners, intrastate carriers with a GVW of 26,000 lbs or more.

Kentucky Highways Use Tax is (KYU) an organization calculated based on the distance covered by your vehicles traveled that calculated in Kentucky for vehicles with GVW 60,000 lbs more.

Experts at Global Multi Services will help you calculate the miles completed and distance travel within the state. Thus, getting truck permits is an easy task for them and will help you grow your business multi-services.


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Introduction:

The IFTA is a Canadian arrangement with the U.S. states and provinces to allow data on interstate motor carriers working in two or more member states or provinces simpler on taxation on gasoline use. IFTA’s goal is to create and retain a single Fuel Tax License definition for all your registered motor vehicles, enable it to pass across all IFTA jurisdictions and mandate that you record the fuel and mileage consumption for all IFTA member states and the provinces on a single fuel tax return per quarter.

It is used in a more than 26000 pounds or 11,797 kilograms in combination or recorded gross vehicle weight. The cars used for commercial purposes would not be treated as leisure vehicles.

You need to get fuel trip permits to fly in or through every Member authority if you apply as an IFTA or Interstate Recipient, but don’t want to register. The global multi services provides four successive days for non-statutory carriers to join and return to California without receiving a fuel license. Licensed carriers in California often have to buy a fuel trip license, to re-enter California after they depart the region if they do not have a fuel tax certificate. Before joining the state, the California Travel Authorization must be bought and done.

Fuel Trip licenses from California are eligible for online buying. If, for example, you are a California-based carrier not approved under IFTA and travel in Nevada (IFTA jurisdiction). You would have to buy a gasoline trip certificate for California before you head back to California.

You may be liable to a penalty, fine, or quote based on the jurisdiction rules, whether you are approaching California or moving under an IFTA jurisdiction without appropriate IFTA or inter-state permit qualifications or a fuel trip permit. You are liable to a tax if you reach California without a legitimate fuel trip permit or IFTA permits. Penalties are between $100 and $500 or higher (the penalty could be more than $500 when you pay gasoline tax). You would still have to buy a petrol journey certificate and will face potential seizures. When this happens, you cannot free the car until you pay your full obligation, plus the automobile seizure expenses.

The criteria for reporting on fuel tax in Non-IFTA jurisdictions would continue to be met by carrier passengers. You must upgrade your IFTA license and order new decals from 1st December of the year. With our online facilities, you can renovate your IFTA credentials.

Once you have extended your license and charged your renewal, we will give you the one (1) California IFTA license for your enterprise. You are requested to duplicate the certificate such that each motor vehicle in your fleet includes a (1) copy.

Conclusion:

For an eligible motor vehicle in your fleet, you earn two (2) decals. The outside of the passenger area of the cab must be fitted with one decal; the second stop must be positioned on the driver’s side in the same spot. Decals for all eligible engines installed in California will be obtained annually when renewed; your Interstate Consumer License must not be renewed.