If you’re a little confused about how to figure your Interstate Fuel Tax Agreement (IFTA) payments, then you’re far from alone. Even the publications that the government puts out to “help” with the process make it clear how easy it is to make costly mistakes. For example, one pamphlet put out by the Florida DOT says, “a minor error can cause an entire tax return to be calculated incorrectly and thereby create a costly mistake for the licensee. Tax returns with detected errors cannot be processed and will be returned to you (the driver) for correction.” No wonder so many transportation professionals are using TruckingOffice’s IFTA software to make this once-complex task easy and quick.
There’s no reason to feel bad about using software to calculate your IFTA taxes. Going at it without some high-tech help would drive even Einstein nuts. Some of the many details that must be figured and recorded exactly right include:
- Whether the return is an original, amended, or final one.
- Exact types of fuel used; for example, if any of your trips were made with a truck that runs gas instead of diesel, you must create a separate report just for those runs.
- Total mileage driven, in both IFTA and non-IFTA jurisdictions. As these figures are based on odometer readings, even a single misplaced digit can throw the entire report off.
- Total number of gallons of fuel pumped into qualified vehicles in both IFTA and non-IFTA jurisdictions (and don’t forget to round to the nearest whole number!).
- Average miles per gallons (MPGs) driven, which is determined by calculating the figure with three decimal places and then using arithmetical rounding to convert the final sum back to two decimals.
- A listing of each jurisdiction in which a surcharge was applied. Plus, such jurisdictions must be listed twice, on two different lines, for the form to be correct.
- Number of taxable gallons used in each jurisdiction, calculated to the nearest whole number and without any decimals applied.
- Total amount of taxes already paid in each jurisdiction, determined from either fuel receipts or bulk fuel withdrawal slips and calculated to the nearest whole number.
- The exact amount (if any) due from prior quarters, which must include the exact amount of interest due, along with any applicable late fees and/or penalty amounts.
We could go on, but you get the point. That’s why we’re so excited about our truckers software; among its many great features is a set of handy, easy-to-use tools that make figuring and paying your IFTA taxes a simple, no-hassle affair. Here are some of the benefits our IFTA software offers:
- Automatic mileage calculations with PC Miler.
- Instant recording of miles by state.
- Easy to use screens for entering fuel information.
- Gallons of fuel used per state are calculated instantly by the software.
- IFTA reports are created instantly, including mileage and gallons per state.
- All of your IFTA records can be easily updated, edited, and managed.
- Allows accurate, on-time payment of all fuel taxes; never over- or under-pay again.
Drastically reduces the chances you’ll be audited. However, if you are audited, the process will go quickly and smoothly, and you’ll have everything you needs at your fingertips to prove you’ve paid exactly what you owe.
The biggest benefit of all – no math needed! That’s right; no adding, subtracting, dividing, or multiplying. No worrying if you entered a number wrong or didn’t dot every “i” or cross every “t” just right.
With TruckingOffice, you will be in control, not only of your IFTA payments, but also of every part of your trucking business. So go ahead; give it a free 30-day test drive starting today.