The important thing is to be careful and sure that this report is done correctly to avoid costly audits. Unpaid quarter IFTA fuel tax reporting, late-filed reports, or underpayment of tax can lead to charges from the government.
Penalties vary by tax type, and the rate of the penalty is set by law.
IFTA motor fuel carrier tax
Penalty Rate
1. Failure to file $25 for each failure
2. Failure to pay Greater of $10 or 10% of the unpaid tax due
3. Unlawful operation $25 per motor vehicle in violation
Unpaid Company and Staff Permits could lead to penalties and fines
Trucking permits are required to collect taxes from interstate truckers for fuel and miles operated over the highways of the United States. Each state typically has different tax rates on fuel purchased and miles driven.
You must have these permits, because if you do not you will be subject to serious penalties and your company will suffer big losses with your trucks off road.
1. IFTA Permits
The International Fuel Tax Agreement (IFTA) is an agreement between states to report fuel taxes by interstate motor carriers. This is the requirements for registration
- to have an established place of business in the State from which motor carrier operations are performed,
- your operating records of your fleet must be maintained
- mileage must be accrued in your State
- you have to operate in at least one other IFTA jurisdiction.
With IFTA license you can operate in all other IFTA jurisdictions without buying additional permits from those jurisdictions and copy of this license may be used instead of the original truck license.
2. Oversize and overweight permits
Source: Source: www.comdata.com
