Overview #

IFTA taxes are calculated by comparing fuel consumed in each jurisdiction against fuel taxes already paid at the pump.

Basic Calculation Process #

1. Calculate total miles traveled.
2. Calculate total gallons consumed.
3. Determine fleet MPG.
4. Allocate fuel usage by jurisdiction.
5. Compare fuel usage against tax-paid fuel purchases.
6. Calculate tax due or credit.

Result #

The carrier may either:

• Owe additional fuel tax
• Receive a fuel tax credit
• Have no balance due