Let's Argue About IFTA in the most confusing manner possible

Tazz

Infidel
I will try this one more time real slow. You are not saving a damn dime buying here or there. You will owe the exact same amount for the miles you travel in any given state regardless of where you buy the fuel. They do not give you a discounted tax rate per mile if you fuel in their state or timbuktoo. So it comes down to cheapest price after tax is removed.

SOB I think someone said that way back, and then predicted a spreadsheet. I do owe an apology tbough, should known it was the commie making crap complicated.
 

mndriver

curmudgeon extraordinare
Supporter
I follow my IFTA during the quarter to keep my IFTA bill +/- $40. Mostly a refund under $20.


Having said that,....

You buy fuel at the lowest base price to minimize your fuel bill.

Base price is pump price - state fuel tax.

Which is cheaper?

Mo fuel at $2.50/ gal or IL fuel at $2.65/ gal?

MO is $2.5- $0.175 or $2.325
Il is $2.65-$0.425 or $2.225
America Moves By Truck (AMBT) - Moving America, one truck at a time

If you leave Davenport IA and have to go to st louis?, do you go down through IA and mo? Or down through IL?.

Mo and IA would give you the lowest IFTA bill but add miles.

I just went from Forrest city AR to Chicago. I could have gone straight up I 57 and gotten fuel in Illinois or gone up through st Louis.

In the end, I went up through St Louis and I55. It was basically a wash cost wise taking into account IFTA, miles driven and fuel price paid.

It was the only time since 7/2012 I have ever gotten so detailed about all components to see which rout was cheapest.

I settled on I55 because going up I57 would have had me on 2-lane roads to get back to I55 and my final destination.

So routing kind of comes iton it as well.

Sometimes.


Mike Mike has a copy of my IFTA spreadsheet I use. If he knows how to post it, he's more than free to post it up. I modified it from Ohio if I remember correctly.

It just compiles it easily for me to file it with Minnesota online.
 
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Tazz

Infidel
Yeah I know some folks run up through Misery instead of Illinois to avoid the tax. Or run Washington instead of Oregon.
 

Duck

Bumper sticker slogan goes here
Supporter
I settled on I55 because going up I57 would have had me on 2-lane roads to get back to I55 and my final destination.
Well then you weren't really going to Chicago because I-57 takes you right into the city.
 

mndriver

curmudgeon extraordinare
Supporter
I run a lot of the same routes staying in MN/Wi/IA/IL/MO.
Having a truck with a 1400 mile range and only driving 2500 miles a week, gives you the flexibility to buy cheap base price fuel.

When it's a wash base price wise on routes that I might take for a week, I've gone to buying high tax fuel just to pad the IFTA tax collected.

Each state only gets fuel tax on the miles you actually drive in those state. That's where a truck with really good fuel mileage can really come into benefit because in the end, it will truly lower your total IFTA tax expense. And to easily calculate that, requires one of those bazillion spreadsheets I have. (It's not much different than the one 8 8978 already posted.)

I pay all my taxes to Minnesota. Minnesota takes my report and passes it all around to all the others states I've driven in or gets a refund if I've paid to much to a state and redistributes it to a state I might have a liability for.
 
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mndriver

curmudgeon extraordinare
Supporter
Well then you weren't really going to Chicago because I-57 takes you right into the city.

"Chicago" is easier to say than each and every "suburb" that people may or may not recognize the location off.

IE, the Joliet weight stations. Are they REALLY in Joliet?
 

Duck

Bumper sticker slogan goes here
Supporter
"Chicago" is easier to say than each and every "suburb" that people may or may not recognize the location off.

IE, the Joliet weight stations. Are they REALLY in Joliet?
Yes. I found out recently that they're actually embassies of Joliet. :D
 

8978

** Commie Express **
Supporter
I will try this one more time real slow. You are not saving a damn dime buying here or there. You will owe the exact same amount for the miles you travel in any given state regardless of where you buy the fuel.
That's correct but you need to take the price of fuel into consideration. Sometimes buying fuel in another state for $.30 cents more will allow you to come out ahead based on the per mile IFTA tax like mndriver mndriver said.

There's a reason they have these services they charge for. If it was as simple as buying the cheapest fuel nobody would sign up for them and large companies would not dictate to their drivers where to buy fuel and how much.

Maybe you could be a consultant to these large companies and tell them they don't know what they're doing?
 

Blood

Driveler Emeritus
Supporter
Screw the hypothetical trips.
I ran KC to Grand Rapids twice a week for 2 years.
I always fueled in IL on I-55 at the 240 expect on rare occasion when the fuel price would spike or drop sharply and IL would lag.
So here's what I would do on a given week and you can dissect it all you want...
I can't believe we're arguing over 4th grade math.

MO...808 miles.....134.667 gallons...22.89 owed in fuel tax
IL.....1184 miles.....197.33................84.26
IN......176 miles.......29.33..................4.69 on pump + 3.23 off pump
MI......600 miles.....100.....................28.20
......................................................143.27 total fuel tax

That's 2768 miles and using 6 mpg = 461.33 gallons of fuel.
I would buy all fuel in IL right now at 2.179 per gallon and pay 196.99 in IFTA
The cheapest Mo fuel on my route is usually QT in Oak Grove which is 2.07 right now.

2.179 - .427 = 1.752 per gallon in IL
2.079 - .17 = 1.909 per gallon in MO

That's trading dimes for quarters on every gallon of fuel and I'll take that deal all day every day.
 

mndriver

curmudgeon extraordinare
Supporter
When you file your IFTA, the IFTA looks at total miles driven and total fuel purchased. From that, they determine your mpg.

The second part of that, you report the miles you've driven in a state. To determine this takes a lot of things. This can be where a GPS service on your elog comes in handy. Or even having a GPS in your truck and recording miles driven in a state comes in handy.

But you also have to have your supporting documents managed correctly to support you. Especially if you ever get audited. Supporting documents are BOL, fuel receipts, toll receipts etc. It proves routes, dates and times you were in a location.

You also have to record your entering and exiting miles driven in that state.

At the end of the quarter, you add up all the miles driven in the state, divide it by the mpg calculated over the quarter to determine how many gallons used in that state.

Multiply the number of gallons used times the individuals states fuel tax rate and that is your liability or refund.
 

Blood

Driveler Emeritus
Supporter
......................................................143.27 total fuel tax

That's 2768 miles and using 6 mpg = 461.33 gallons of fuel.
I would buy all fuel in IL right now at 2.179 per gallon and pay 196.99 in IFTA.
I would have $53.72 coming to me at the end of the quarter for this one week.

I was going to edit my last post but I didn't want you to freak out.
:D
 

8978

** Commie Express **
Supporter
My IFTA was all over the place when I started. Sometimes I owed over $200 in a quarter. Then a friend of mine told me he buys $300 at a time whenever he needs it. I started doing that maybe 3 years ago. I owe or get back around $20 each quarter. I don't even ask for a refund. I keep it on the books.
 

mndriver

curmudgeon extraordinare
Supporter
The IFTA program is managed by a clearinghouse for the entire nation.

IFTA, Inc.


There's a bunch of good info on their website to understand it better on their "About us" page.
 

mndriver

curmudgeon extraordinare
Supporter
To add to all this convoluted mess.

Oregon is not a part of IFTA. You have to file monthly or quarterly depending on how your account is setup. Or you can buy a single trip permit based on your vehicle vin.

New York, Kentucky and new Mexico also have a weight distance tax you have to file quarterly as well as your IFTA miles reported.

Kentucky you are required to have a kyu number,

New York you are required to have a heavy use tax sticker (HUT)

New Mexico an annual fuel tax permit.
 

8978

** Commie Express **
Supporter
Believe or not, Maine has the most state of the art IFTA reporting now. It accepts a whole bunch of formats of IFTA data including GPS files. It takes like 5 minutes to do your reporting. I was the go between ME and NH last year. Caused quit a stir. Got pissed about being ignored and called the head of NH DOT. I spoke to her and she forced others to listen to me.

mndriver mndriver if you want me to email you the IFTA spreadsheet let me know. I did all the macros and everything. You might find it interesting. You do have to change all the values every quarter for both the rate code and tax rate
 

Blood

Driveler Emeritus
Supporter
Plus the off pump tax you have to file for IN & KY on IFTA...
which is probably what started this whole damn mess in the first place.
:stare1:
 
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