Abbreviation: IFTA

International Fuel Tax Agreement

A cooperative agreement among U.S. states and Canadian provinces simplifying fuel tax reporting for carriers operating in multiple jurisdictions.

Under IFTA, a carrier files a single quarterly fuel tax return with their base jurisdiction, which then distributes taxes to other jurisdictions based on miles driven there. Required for qualified motor vehicles with a GVWR over 26,000 lbs or with 3 or more axles. Owner-operators with their own authority typically need an IFTA license from their base state.

Last updated: May 29, 2026