Blog • IFTA Basics
What Is IFTA Mileage Reporting?
IFTA mileage reporting is how trucking carriers and independent drivers document the distance they travel in each member jurisdiction for fuel tax purposes. Under the International Fuel Tax Agreement, you remit fuel taxes based on where you consume fuel, not just where you purchase it. Accurate mileage splits by state or province are the backbone of every quarterly IFTA return.
How mileage is calculated
- Start with every trip’s origin and destination, plus intermediate stops.
- Apply a routing engine to determine the driven path and total miles.
- Split those miles where the route crosses state or provincial boundaries.
- Pair miles with fuel purchases to derive taxable gallons for each jurisdiction.
Why accuracy matters
Auditors look for consistent, reproducible routes, reasonable MPG, and proper jurisdiction splits. Under‑reporting in one state and over‑reporting in another can trigger penalties, interest, or denied credits. A clean, verifiable mileage record keeps your IFTA score healthy and reduces audit risk.
How modern software simplifies compliance
- Routing intelligence: Calculates expected miles between cities without invasive “ping every minute” GPS.
- Automatic state splits: Uses map data to apportion miles whenever the route crosses a boundary.
- Audit-ready trails: Stores routes, timestamps, and calculations so you can reproduce every entry during an audit.
- Fleet and driver views: Supports both privacy-first driver workflows and optional fleet tracking when you need it.
Bottom line
IFTA compliance hinges on trustworthy mileage. With the right tooling, you can generate jurisdiction-accurate miles, protect driver privacy, and deliver audit-ready reports every quarter.