IFTA Made Easy: A How-To

By Brian Frederick
October 5, 2017

Using ES Track to simplify IFTA reporting

The International Fuel Tax Agreement, also known as IFTA, is the bane of most fleet managers’ existence. While it’s an improvement on the old way in which every state managed its own fuel tax reporting regulations and mandates, it’s still a huge hassle.

At least it was, until ES Track came along. Simplifying the entire process, ES Track eliminates the headache of juggling spreadsheets and doing calculations. Instead it gives you everything you need to ensure compliance in one convenient platform.

A look at the IFTA standard

There’s a good chance you already have an understanding of IFTA if you’re reading this article, but a quick refresher is always a good thing. Here’s a look at the basic requirements:

1. Registering a base state — Even if you operate over a wide region, you need to be registered in at least one state.

2. Identify qualifying vehicles and fuels — To qualify, a vehicle must travel through at least two IFTA jurisdictions, weigh over 26,000 pounds or have three or more axles on the power unit, and be powered by diesel, propane or natural gas.

3. Licensed from a local DoT — Each vehicle must have an annual license validated by two decals on either door.

4. Quarterly fuel tax reporting — If your fleet has IFTA-qualified vehicles, you must submit a report four times a year, along with any necessary receipts and a check covering any tax payment due.

5. Records — In addition to tax reporting, registered carriers must keep records of individual vehicle mileage reports and information on all fuel bought at service stations.

How to use ES Track for IFTA reporting

So now that we’ve discussed the basics of IFTA, let’s take a look at the simple process of generating reports using ESTrack.

1. After logging into ESTrack, click “Reports” in the left navigation.

2. Click on “View” under “Mileage Report.”

3. Choose your Report Period Start and End dates at the top.

4. Now click the box that says “Show IFTA Only.”

5. Click “Run Report” to generate your report.  You’ll see a list of states, with details on miles driven, gallons purchase, gallons used and fuel cost.

6. If your account is connected to a Wex or Combat fuel card, you can assign payments to each state using the “Assign Payments” button in the top right.

Get rid of messy paper logs and receipts

The best part of using ES Track for IFTA reporting is that it does all the messy, time-consuming calculations for you. You don’t have to spend hours poring over receipts, separating everything into piles to determine which fuel was bought in which state, where it was burned and where you may or may not owe taxes. It’s all automated.

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