The International Fuel Tax Agreement, also known as IFTA, was designed to simplify the collection and proportional distribution of motor fuel use fees among member jurisdictions.
Motor carriers who travel in more than one jurisdiction are required to register with the IFTA. Fuel taxes are to be paid quarterly, and late payments are subject to fines and penalties.
How IFTA Fuel Tax Rates Have Changed
Since its creation in 1983, the International Fuel Tax Agreement (IFTA) has undergone many changes, including fuel tax rate increases and decreases. Let’s compare the fluctuations in rates over five years.
IFTA Diesel Tax Rates for the five-year period from 2013 to 2018:
State | 2013 Diesel Tax Rate | 2018 Diesel Tax Rate |
AL – Alabama | 0.19 | 0.19 |
AR – Arkansas | 0.225 | 0.225 |
AZ – Arizona | 0.26 | 0.26 |
CA – California | 0.453 | 0.7 |
CO – Colorado | 0.205 | 0.205 |
CT – Connecticut | 0.549 | 0.439 |
DE – Delaware | 0.22 | 0.22 |
FL – Florida | 0.3307 | 0.3437 |
GA – Georgia | 0.179 | 0.3 |
IA – Iowa | 0.225 | 0.325 |
ID – Idaho | 0.25 | 0.32 |
IL – Illinois | 0.43 | 0.349 |
IN – Indiana | 0.16 | 0.48 |
KS – Kansas | 0.26 | 0.26 |
KY – Kentucky | 0.279 | 0.216 |
LA – Louisiana | 0.2 | 0.2 |
MA – Massachusetts | 0.24 | 0.24 |
MD – Maryland | 0.2775 | 0.3605 |
ME – Maine | 0.312 | 0.312 |
MI – Michigan | 0.359 | 0.434 |
MN – Minnesota | 0.285 | 0.285 |
MO – Missouri | 0.17 | 0.17 |
MS – Mississippi | 0.18 | 0.18 |
MT – Montana | 0.2775 | 0.2925 |
NC – North Carolina | 0.375 | 0.351 |
ND – North Dakota | 0.23 | 0.23 |
NE – Nebraska | 0.263 | 0.28 |
NH – New Hampshire | 0.18 | 0.222 |
NJ – New Jersey | 0.175 | 0.485 |
NM – New Mexico | 0.21 | 0.21 |
NV – Nevada | 0.27 | 0.27 |
NY – New York | 0.4085 | 0.3915 |
OH – Ohio | 0.28 | 0.28 |
OK – Oklahoma | 0.13 | 0.19 |
OR – Oregon | 0 | 0 |
PA – Pennsylvania | 0.381 | 0.741 |
RI – Rhode Island | 0.32 | 0.33 |
SC – South Carolina | 0.16 | 0.2 |
SD – South Dakota | 0.22 | 0.28 |
TN – Tennessee | 0.17 | 0.24 |
TX – Texas | 0.2 | 0.2 |
UT – Utah | 0.245 | 0.294 |
VA – Virginia | 0.202 | 0.202 |
VT – Vermont | 0.31 | 0.31 |
WA – Washington | 0.375 | 0.494 |
WI – Wisconsin | 0.329 | 0.329 |
WV – West Virginia | 0.347 | 0.357 |
WY – Wyoming | 0.24 | 0.24 |
Canada | ||
AB – Alberta | 0.3366 | 0.6192 |
BC – British Columbia | 0.7999 | 0.6675 |
MB – Manitoba | 0.4301 | 0.4122 |
NB – New Brunswick | 0.718 | 0.663 |
NL – Newfoundland | 0.617 | 0.215 |
NS – Nova Scotia | 0.5759 | 0.4534 |
ON – Ontario | 0.5348 | 0.421 |
PE – P. Edward Island | 0.7555 | 0.5947 |
QC – Quebec | 0.718 | 0.5947 |
SK – Saskatchewan | 0.561 | 0.4417 |
*Rates are from 4th-quarter of the year indicated.
*Rates in bold type represent increases.
Changes in Effect for 2019 Rates
When we headed into the third quarter of 2019 (July to September), seven states showed a tax rate increase. This went into effect on July 1, 2019. Those states are Maryland, Montana, Nebraska, Ohio, Rhode Island, Tennessee, and Virginia.
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