IFTA Glossary

    IFTA Terms and System Requirements

    This is an alphabetized list of IFTA terms intended to assist users of the ClearFleet system:

    A

    • Account Number: Also known as a Client ID, the account number is a unique identifier assigned to the client level account, and will therefore be the same for IRP and IFTA.

    • Additional Unassigned Decals: IFTA decals that are purchased that are not assigned to a VIN yet. When purchasing in the system, external users will be limited to a minimum of 1 and a maximum of 10% of the vehicle count. Note: System does not limit internal users.See also Decals and Temporary Decals

    • Audit: A review of records to ensure proper records kept and taxes were paid.

    B

    • Bad Check: Bad check can be entered into ClearFleet for the following reasons: Insufficient funds, no account located, refer to maker, or stop payment. When a bad check is entered on an account, guaranteed funds are required for the period specified in the bad check.

    • Base State: The state where the account holder has an established place of business and where operational records are maintained.

    • Base State Operation Only: An uncommon scenario when an IFTA account holder operated in their base state only, conducting intrastate business, base state operation only can be selected on the quarterly return filing.

    • Bonds: Financial guarantees that licensed motor carriers will pay their fuel taxes and file their tax returns on time.

    • Bulk Fuel: A licensee who maintains bulk fuel storage maybe obtain credit for tax paid on fuel withdrawn from that storage facility. Records must include date of withdrawal, number of gallons withdrawn, fuel type, and purchase and inventory records to substantiate tax paid on bulk fuel purchases.

    D

    • Decals: IFTA decals are stickers that authorize a vehicle to operate in multiple jurisdictions. Decals must be displayed on each vehicle operating under the IFTA license, on both the exterior and sides of the cab. See also Additional Unassigned Decals and Temporary Decals

    E

    • Error Corrections: Edits made to an IFTA quarterly return after processing is complete.

    G

    • Guaranteed Funds: When an account holder has a guaranteed funds flagged on their account, their payment options will be limited. Guaranteed funds flag occurs automatically when a bad check has been flagged on the account, and can be added without a bad check.

    I

    • IFTA (International Fuel Tax Agreement): An agreement for the collection and distribution of fuel tax for vehicles operating in multiple jurisdictions.

    • IFTA License: Upon approval of IFTA application, and IFTA license will be issued. The license is good for one calendar year of Jan. 1 to Dec. 31. A copy of the IFTA license must be placed in each vehicle operating under the IFTA license.

    • IFTA Renewal: All IFTA licenses must be renewed each year. Fuel types can be added or removed during the renewal. Account information cannot be updated during a renewal. IFTA renewals must be received or postmarked on or before Dec. 31 of each year to be considered renewed on time.

    • IFTA Tax Returns: All IFTA licensees must file a quarterly tax return even if no operations were conducted during the reporting period. Actual Iowa miles and fuel purchases must be reported, even if there was no out-of-state activity. A quarterly return must be filed for each fuel type. Returns must be filed and paid on or before the due date to be considered timely.

    J

    • Jurisdiction: A state, territory, or province participating in IFTA.

    M

    • Mileage Records: Records that document the distance traveled by a vehicle in each jurisdiction.

    N

    • No Operation: A quarterly tax return with 0 miles should select No Operation when filing. When no taxable miles were traveled, a quarterly return is still required but the No Operation option allows a 0 miles return to be filed.

    O

    • Operational Records: Records that document the operation of a vehicle, including mileage records, fuel records, and trip reports.

    • Owner-Operator: A person or entity owning and operating a commercial motor vehicle.

    R

    • Records Retention: Account holders are required to preserve company records, which are subject to audit. A signed copy of the records retention statement must be received prior to account approval.

    • Remitted: When transactions have been finalized and distributed to other jurisdictions.

    T

    • Temporary Decals: A temporary decal, also called a temporary fuel permit, is a 30-day temporary decal issued on a newly added IFTA vehicle. Temporary decals can be accessed to print and display in the vehicle until the official decal is received.

    U

    • Unit Number: Must be unique for each Vehicle Identification Number (VIN) regardless of program participation. System allows alphanumeric and special characters.

    V

    • VIN (Vehicle Identification Number): 5-17 characters, must be unique per fleet. The system supports the use of alphanumeric and special characters.

    Learn more about IRP terms and definitions

    Learn more about IRP processes in ClearFleetLearn more about IFTA processes in ClearFleetLearn more about client level processes in ClearFleet

    Access forms here

    Iowa Department of Transportation Motor Carrier Services

    Mailing Address:PO Box 10382, Des Moines, IA 50306-0382

    Physical Address:6310 SE Convenience Blvd., Ankeny, IA 50021

    Email: [email protected]Phone: 515-237-3268Fax: 515-237-3225Website: Iowa DOT Motor Carriers