The Importance of Accurate IFTA Record Keeping

The Importance of Accurate IFTA Record Keeping

If you are a truck driver or a fleet owner, you have probably heard about the International Fuel Tax Agreement or IFTA. IFTA is an agreement among the lower 48 states of the United States and the Canadian provinces that simplifies the reporting of fuel use by interstate motor carriers. The agreement requires motor carriers to keep accurate records of the fuel used, miles traveled, and taxes paid in each jurisdiction. In this article, we will discuss the importance of accurate IFTA record keeping and the benefits of using IFTA Manager by TMS-Digital.

 

Why is Accurate IFTA Record Keeping Important?

The main reason for keeping accurate IFTA records is compliance with the law. The IFTA requires motor carriers to file quarterly fuel tax returns with the state or province where they are registered. Failure to file or inaccurate filing can result in penalties and fines. Keeping accurate records ensures you report the correct amount of fuel used and miles traveled in each jurisdiction, which can help you avoid these penalties and fines.

Accurate record-keeping also helps you manage your fuel expenses. By tracking your fuel usage and miles traveled, you can identify trends in fuel consumption and make adjustments to improve your fuel economy. You can also track the fuel efficiency of your fleet and individual trucks, which can help you make informed decisions about vehicle maintenance and replacement.

Another benefit of accurate IFTA record keeping is improved customer service. By tracking your fuel usage and miles traveled, you can provide customers with more accurate delivery estimates and better customer service. You can also offer your customers detailed invoices showing the taxes paid in each jurisdiction, which can help them understand the costs associated with their shipments.

 

Using IFTA Manager by TMS-Digital

To make IFTA record keeping more accessible and more accurate, many trucking companies use specialized software like IFTA Manager by TMS-Digital. IFTA Manager is a web-based application that helps motor carriers manage fuel tax reporting and compliance. The software simplifies tracking fuel usage and miles traveled and automatically calculates the taxes owed in each jurisdiction.

One of the critical features of IFTA Manager is its ability to import data from electronic logging devices (ELDs) and other telematics systems. This eliminates the need for manual data entry and reduces the risk of errors. The software also generates detailed reports that can be used to verify the accuracy of your IFTA filings and identify areas for improvement.

In addition to simplifying the IFTA filing process, IFTA Manager helps you manage other aspects of your fleet operations. The software includes features for tracking vehicle maintenance, managing driver logs, and monitoring fuel consumption. This allows you to proactively approach fleet management and identify potential issues before they become significant problems.

The-Importance-of-Accurate-IFTA-Record-Keeping-middle

How IFTA Manager Can Benefit Your Fleet

Accurate record-keeping is essential for compliance with the International Fuel Tax Agreement (IFTA). However, manually tracking fuel usage and miles traveled can be time-consuming and prone to errors. That’s where IFTA Manager by TMS-Digital comes in. This web-based application simplifies IFTA reporting and compliance and offers several benefits for your fleet:

  1. Saves Time and Money: IFTA Manager reduces the need for manual data entry by importing data from ELDs and other telematics systems. This saves time and reduces the risk of errors. In addition, the software automatically calculates the taxes owed in each jurisdiction, saving your fleet the hassle of manual calculations.
  2. Improves Accuracy and Compliance: Using IFTA Manager, your fleet can ensure accurate record keeping and avoid penalties and fines associated with inaccurate or incomplete IFTA filings. The software generates detailed reports that can be used to verify the accuracy of your IFTA filings and identify areas for improvement.
  3. Helps Manage Fuel Expenses: IFTA Manager helps your fleet track fuel usage, and miles traveled, identify trends in fuel consumption, and make adjustments to improve fuel economy. This allows you to manage fuel expenses better and reduce costs.
  4. Streamlines Fleet Management: In addition to IFTA reporting, IFTA Manager includes features for tracking vehicle maintenance, managing driver logs, and monitoring fuel consumption. This allows you to approach fleet management and identify potential issues proactively.
  5. Improves Customer Service: By accurately tracking your fuel usage and miles traveled, IFTA Manager allows you to provide more accurate delivery estimates and better customer service. The software also generates detailed invoices that show the taxes paid in each jurisdiction, which can help your customers understand the costs associated with their shipments.

 

Conclusion

IFTA record-keeping is essential to comply with the law, manage fuel expenses, and provide good customer service. By using specialized software like IFTA Manager by TMS-Digital, motor carriers can simplify the process of tracking fuel usage, and miles traveled and ensure accurate tax reporting. This can save time and money, reduce the risk of penalties and fines, and improve overall fleet management. If you are a truck driver or a fleet owner, consider using IFTA Manager by TMS-Digital to streamline your IFTA reporting and compliance.

Leave a Reply

Your email address will not be published. Required fields are marked *