The International Fuel Tax Agreement (IFTA), is an agreement that streamlines the collection and distribution of fuel carriers who operate in several different jurisdictions. The IFTA agreement allows licensed carriers to turn in one quarterly tax return on their fuel usage to their base jurisdiction.
This allowance helps carriers simplify their paperwork by not having to submit individual returns for each state they visit. Maintaining compliance with IFTA regulations is important for commercial carriers when it comes to longevity and sustainability, and technologies like GPS IFTA tracking solutions help make sure IFTA reports are accurate and automated.
How GPS IFTA tracking uses automation to help with IFTA reporting
GPS IFTA tracking comes with a host of benefits for commercial carriers. The best solutions for GPS IFTA fleet tracking employ smart technology to help with:
- Automating complex calculations: GPS IFTA tracking solutions do the math for you, calculating distance traveled by jurisdiction and fuel purchases for all vehicles.
- Improving operational efficiency: The best GPS IFTA tracking tools let you upload receipts in bulk from a desktop dashboard or individually by drivers from a mobile application.
- Automating to scale: Commercial carriers can say goodbye to notebooks and spreadsheets and hello to automated processes, less waste, cost savings, and business growth.
- Reducing audit risk and eliminating human error: Automatically tracking the distance a vehicle travels in each IFTA jurisdiction allows carriers to eliminate the administrative burden of collecting state mileage and fuel receipts.
IFTA reporting without the hassle
All owners of commercial vehicle fleets need to have a good understanding of the requirements of the IFTA. While the IFTA rules are complex and there is a learning curve, it was created to simplify fuel tax collection.
The best thing you can do as a commercial carrier to streamline IFTA reporting for your fleet is to get acquainted with the best GPS IFTA tracking tools available in the market. A GPS IFTA tracking platform can make a huge difference in your operations by making data collection and fuel tax reporting a simple and low-stress task.
With a modern GPS IFTA tracking system, there is no need for manual fuel tax calculation, and your company won’t have to worry about filling out paperwork by hand. Good technology frees up your time and reduces the risk of error, making audits less likely and helping improve your bottom line.