IFTA Filing Guide: What Documents You Need and How to Stay Organized

What Is IFTA?

The International Fuel Tax Agreement (IFTA) is a tax collection agreement between the 48 contiguous US states and 10 Canadian provinces. It simplifies fuel tax reporting for carriers that operate in multiple jurisdictions. Instead of filing separate fuel tax returns with every state you drove through, you file a single quarterly return with your base jurisdiction, and they redistribute the taxes owed.

IFTA applies to qualified motor vehicles - generally those with two axles and a gross vehicle weight or registered gross vehicle weight exceeding 26,000 pounds, or vehicles with three or more axles regardless of weight. If your trucks cross state lines, you almost certainly need IFTA.

Quarterly Filing Deadlines

IFTA returns are due on the last day of the month following each quarter. Mark these dates on your calendar - late filings come with penalties and interest.

What Records You Need for IFTA Filing

Accurate IFTA filing depends on two categories of records: fuel purchases and mileage driven in each jurisdiction. Here's what you need to keep:

Fuel Receipts

Every fuel purchase needs a receipt that shows the date, seller name and address, number of gallons purchased, fuel type, price per gallon or total amount, and the unit number or license plate of the vehicle fueled. Credit card statements alone are not sufficient - you need the actual receipt or a detailed transaction record from your fuel card provider.

Mileage Records

You must track total miles driven and break them down by jurisdiction. This typically comes from trip sheets, ELD data, or GPS records. Your records should include the trip origin and destination, route of travel, beginning and ending odometer readings, and the total miles per state or province.

Trip Sheets

Trip sheets tie your fuel purchases to specific trips and jurisdictions. They should document each trip with the date, driver, vehicle, origin, destination, and miles driven in each state. Many carriers still do this on paper - which is exactly where things start to fall apart.

• Fuel receipts with gallons, price, date, and location
• Odometer readings at the start and end of each trip
• Miles driven per jurisdiction (state/province)
• Trip sheets or ELD logs linking trips to routes
• Fuel card transaction summaries as backup documentation

Penalties for IFTA Non-Compliance

Late filing penalties vary by jurisdiction but typically include a flat penalty of $50 or more per month, plus interest on any taxes owed (usually 1% per month). If you fail to file entirely, your IFTA license can be revoked - meaning your trucks can be stopped and fined at weigh stations in any member jurisdiction.

During an IFTA audit, you're required to produce records going back four years. If you can't produce adequate documentation, the auditor will estimate your tax liability - and those estimates rarely work in your favor.