Bob Pitcher

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Together Weve Made It Happen A Celebration of
30 Years of IFTA
THE INDUSTRY PERSPECTIVE

• Bob Pitcher
• VP, State Laws
• American Trucking Associations
• 703-838-7939
• bpitcher_at_trucking.org

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First, a little history

• 30 Years Ago
• Fuel Use Taxes Are a Crisis
• for the Trucking Industry
• Non-uniform
• Burdensome
• Expensive to Administer and Comply With

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Non-Uniformity

• Vehicles
• Registration
• Credentials
• Bonds
• Leases
• Tax Reports
• Credits Refunds
• Audit Administration

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Vehicles Reported

• gt all commercial vehicles
• gt 2 axles
• gt 7,000 lbs. empty wt.
• gt 10,000 lbs. empty wt.
• gt 18,000 lbs. GVW or 7,500 lbs. empty wt.
• gt 16,000 lbs. GVW
• gt 30 gallon fuel tank capacity
• at least 16 other definitions

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Registration

• Annual, biennial, or permanent
• One-time fees per fleet
• Annual fees per fleet
• Annual fees per vehicle
• Licenses for each place of business
• Renewable in October, December, January, March,
  April, or July
• Vehicle-specific cab cards
• Account nos. on vehicle

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Credentials (DECALS!)

• 1 per vehicle or 2?
• On left side, right side or front?
• Display dates?
• Annual, biennial or permanent?
• Fees?
• YOU BETCHA! Charged by 22 states TOTAL ANNUAL
  FEES PER TRUCK 331.70

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Bonds

• Required by 19 states
• Various amounts and limits
• Required for refunds in c. 10 more states
• Alternative security rarely allowed

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Leases

• Whos responsible for reporting?
• Lessee?
• Lessor?
• Party buying fuel?
• Vehicle operator?
• Up to parties?
• State permission needed?
• Depend on term of lease?
• Copy required in vehicle?

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Tax Reports

• Frequency monthly, quarterly, annually
• Due date 20th, 25th, 30th, last of month
• Postmark honored?
• Format
• Computation of tax
• Vehicles covered? Formula? State MPGs?
• Individual vehicle MPGs?
• Supporting documentation required
• Payment in certified funds

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Credits Refunds

• Do credits carry over?
• How long?
• Refunds available?
• Minimum amount?
• Audit first?
• Documentation?
• Other restrictions?

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Audit Admin.

• Record requirements
• Official fuel receipts
• Original documents
• Frequent changes in requirements
• Rules inaccessible to taxpayers
• Multiple audits under different rules
• LOTS of Gotchas

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Fuel Use Taxes in 1983

• Non-uniform ? Definitely
• Burdensome ? For carriers of all sizes
• Expensive ? US DOT 1 billion a year in
  administrative costs for motor carriers

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IFTA

• First implemented 1983 3 members
• Redrafted per NGA 1986 4 members
• Required by ISTEA 1991 14 members
• ISTEA deadline 1996
• IFTA Recodified 1995-98
• Today 58 members

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Together Weve Made It Happen A Celebration of
30 Years of IFTA
THE JURISDICTION AND IFTA, INC. PERSPECTIVES
Lonette Turner CEO/CFO International Fuel Tax
Association, Inc. 480.839.4382 lturner_at_iftach.org
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Jurisdiction IFTA Implementation
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NUMBER OF LICENSEES
2003 and 2013 based on Annual Reports
Filed. Renewals would be approximately the same.
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NUMBER OF DECALS
Assuming 10 QMVs per carrier and 2 decals per QMV
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NUMBER OF TAX RETURNS PROCESSED
Assuming 4 quarterly returns filed.
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Jurisdictions Fully Participating In
Clearinghouse
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What Did The Clearinghouse Mean for the
Participating Members?
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www.iftach.org
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Summary of Benefits (Some of Them)

• Fewer licenses and decals to issue
• Fewer tax returns to process
• More audits completed (other jurisdictions
  auditing on your behalf)
• Decrease in costs to process (for both personnel
  and other administrative costs)
• Open communication with other jurisdictions
• Program is reviewed on a regular basis

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Thank You! Thank you Very Much!