Archive for January, 2010

4th Quarter 2009 IFTA returns due soon

Your 4th quarter 2009 IFTA fuel tax report is due by January 31, 2010.

Collect all your diesel gallons purchased and miles driven between October 1 and December 31, 2009.  Then, use IFTA Plus to enter your information and prepare your IFTA return.

Safe driving!

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January 27, 2010 at 10:31 pm Leave a comment

IFTA Plus Discontinues Utah IFTA Fuel Tax Preparation

As of 1/20/2010, IFTA Plus is discontinuing our Utah IFTA preparation because of new Utah state regulations requiring all companies to file fuel tax returns using their online website.  All of our existing Utah companies will be receiving a full refund for any pre-paid quarters.

Utah now joins Minnesota in adopting regulations that act solely in the State’s best interest without regard for existing practices, tools and vendors of the transportation industry.

January 21, 2010 at 5:34 pm 1 comment

How to properly calculate IFTA taxes owed per truck

IFTA Plus has established itself as the leader in online IFTA fuel tax preparation boasting thousands of customers and a growing number of features.  One issue, however, has long confused customers and hopefully this will help clarify the matter.

When preparing a state IFTA fuel tax return, IFTA Plus combines all miles driven and fuel purchased across all trucks within the company.  An overall company MPG is calculated and used to determine the amount of taxes a company owes.  IFTA Plus offers a report showing the amount of taxes owed for each truck.  Here lies the problem because there are two approaches to this calculation.

1)  Use the company MPG when calculating truck taxes.

This approach uses the company MPG along with the truck mileage and fuel to determine the truck taxes.  If a company has 5 trucks and this method is used, the sum of the taxes owed per truck will equal the amount of taxes owed by the company.

2) Use the truck MPG when calculating truck taxes.

This approach uses the truck MPG along with the truck mileage and fuel to determine the truck taxes.  If a company has 5 trucks and this method is used, the sum of the taxes owed per truck will not equal the amount of taxes owed by the company.  The total taxes owed equals the amount the truck would pay if it were to file on its own.

While the difference may seem slight, it method greatly alters the amount of taxes owed per truck.  Take the following example of 2 trucks.

Truck Comparison

In this scenario, the overall company drove 20000 miles and bought 3500 gallons of fuel for a company MPG of 5.71.  The company would have an IFTA credit of $6.29.

When calculating the amount owed per truck

If we use the company MPG, Truck 1 would owe $139.57 and Truck 2 would get a credit of $145.86.  The total of these equals the overall company IFTA credit of $6.29.  If we use the truck MPG, Truck 1 would get a credit of $20.00 and truck 2 would owe $31.25.  The total of these does not equal the overall amount paid by the company.

Which approach is best for you?

This is hard to determine.  You will be able to justify either approach.  Using the company MPG penalizes drivers who get better gas mileage, but it better reflects their contribution to the amount of taxes your company paid.  Using the truck MPG is more fair to the drivers, but in the end the sum of the trucks does not total the amount owed by your company.

No matter which choice you prefer, IFTA Plus lets you decide which method is best and provides you an easy way to switch between these methods.  For current customers, to change this setting navigate to settings -> IFTA  and check or uncheck the ‘use the company MPG as compared to the truck MPG’ setting.

January 15, 2010 at 10:50 pm 2 comments

IFTA Plus Helps Prevent and Manage IFTA Audits

At least 3% of all trucking companies must undergo an IFTA audit each year. IFTA Plus can help your company through an IFTA Audit.

Continue Reading January 15, 2010 at 4:43 pm 2 comments

Q4 2009 IFTA fuel tax preparation

As of this morning, January 1 2010, IFTA Plus is ready to prepare your fourth quarter 2009 IFTA fuel tax return.

If you already have an account with IFTA Plus, sign in and start entering your miles and fuel.  If not, our registration process takes only a minute and we walk you through each step in the filing process.  You don’t have to pay for anything until you are ready to print out your state IFTA fuel tax return.

To complete your return, you will need to collect your miles per state and fuel purchases per state between October 1 and December 31.  If you need help with older returns, we can file any quarter since Q1 2007.

As always, feel free to contact us if you need further assistance.  See you soon!

January 1, 2010 at 4:50 pm 1 comment


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