International Fuel Tax Agreement (IFTA) - How Do I

How do I open an IFTA account and obtain an IFTA license and fuel decals?

Before you may open an account and obtain your IFTA credentials, you must be in good standing with the Tax Department. To inquire about your standing, you may submit a request for a letter of good standing using this form and send it to the address listed at the bottom of the form. Once you have completed all necessary tax requirements and have received your Letter of Good Standing, you may send a copy of that letter with your IFTA Application for new carriers or your IFTA Renewal Application to the DMV/IRP Office at the address listed on the form to obtain your IFTA license and credentials. You must apply for one IFTA license for your entire fleet. You must obtain IFTA decals (2) for each qualified motor vehicle that you operate in more than one IFTA member jurisdiction. Your IFTA license and decals are good for the calendar year, and they must be renewed annually.

What is a qualified motor vehicle?

You may license your vehicles through West Virginia if you meet all of these conditions:

  • You are a West Virginia based interstate motor carrier (your qualified motor vehicles are registered in West Virginia) traveling in two or more IFTA jurisdictions, and
  • You have qualified motor vehicles which travel in West Virginia, and
  • You keep the operational control and records for your vehicles in West Virginia or can make your records available for audit in West Virginia.

*Do NOT register your vehicles for IFTA if they do not leave the state of West Virginia.

Recreational vehicles and vehicles owned and operated by the United States Government and subsidiaries are exempt from fuel tax licensing by West Virginia. These are the ONLY exempt vehicles in West Virginia. For information on tax exempt vehicles in other jurisdictions you may visit the IFTA Inc. website, or contact the appropriate jurisdiction.

When is my IFTA quarterly report due?

You must report to us each quarter. If you do not operate your vehicles during a quarter, tell us on your return (no operations can be designated by checking the appropriate box on the return). When you do not report, we must assume that you operated and are avoiding fuel tax payments. Failure to file an IFTA Quarterly Tax Report with us may result in penalty and/or revocation of your fuel tax license and credentials.

Where do I find the tax rates?

Tax rates are subject to change each quarter. To be sure that you are reporting the correct tax rate for a quarter, check the IFTA, Inc. website.

How long should I keep my records?

Adequate record keeping is important to the carrier when seeking a refund or credit for tax-paid fuel, and is equally important to the Department to ensure compliance with the reporting and payment of all tax liabilities. Every licensee shall maintain records to substantiate information reported on the quarterly tax report. These records must be maintained for a period of four (4) years from the due date of the return or the date that the return was filed, whichever is later. Records must be made available upon request by any member jurisdiction. A licensee's records should be maintained at a location in West Virginia. If these records are not maintained in West Virginia or are not made available in West Virginia, an auditor's travel expenses will be billed to the licensee upon completion an audit. IFTA decals MUST be removed from vehicles prior to the closure or sale of a business or sale of a vehicle. All decals, both used and unused, must be returned. You may not sell or transfer decals and you may not receive or purchase decals from anyone other the Division of Motor Vehicles. Any person who does so is guilty of a felony.

How do I cancel my account?

You may cancel your IFTA account when you are no longer operating qualified motor vehicles via interstate. To request the cancellation of your fuel license, complete the quarterly tax report for the last operational quarter. On the report, mark your request for cancellation and give the date of closure. If you sell your business, the FTA Unit must be notified in writing immediately, so that the existing license can be cancelled and a proper license issued to the new owner. A new application form is needed to reactivate your canceled account. You must return the IFTA license, remove the decals from the cab of the truck, and file any required tax returns. IFTA decals MUST be removed from vehicles prior to the closure or sale of a business or sale of a vehicle. All decals, both used and unused, must be returned. You may not sell or transfer decals and you may not receive or purchase decals from anyone other the Division of Motor Vehicles. Any person who does so is guilty of a felony.