Fuel Tax Records & Exemptions: Get the Whole Story

Corrina Peterson, Transport Editor

October 12, 2022

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When it comes to fuel taxes, taking “the word on the street” at face value can lead to violations and expensive penalties.


Myth: I can delete my ELD hours-of-service (HOS) files after six months.

Fact: If you are using information gathered by your ELDs for fuel tax filing under International Fuel Tax Agreement (IFTA), you must preserve the records upon which the quarterly tax return is based for four years from the return due date or filing date, whichever is later, plus any time period included as a result of waivers or jeopardy assessments.


Myth: Miles accrued on toll roads in New York are exempt from fuel taxes.

Fact: While toll miles can be deducted from the New York Highway Use Tax (HUT) return, they are not deductible under IFTA.


Myth: Oregon does not impose fuel taxes, so I don’t have to track miles traveled in the state.

Fact: While it is true that Oregon does not impose a tax on motor fuels under IFTA, the state does charge a weight-mile tax through a separate filing. And, although the miles are exempt from IFTA taxes:

  • Miles traveled in Oregon must still be tracked and included with your “Total IFTA miles,” and
  • Taxes must be paid through the other program.


Myth: Miles traveled on the Massachusetts Turnpike are exempt, so I don’t have to track those.

Fact: Travel on the Massachusetts Turnpike may be reported as nontaxable miles on the IFTA quarterly tax return. However, to claim those miles you must retain all turnpike receipts and fuel invoices, and file a separate “Use Tax Return” to the state by April 15 each year the exemption is taken. And, again, those miles must still be tracked and included with your “Total IFTA miles.”


When filing your fuel taxes, even if someone told you they “read it on the internet,” it’s important to dig deeper and get the whole story.


J. J. Keller advisors are ready to help with your fuel tax needs and questions, call 888.473.4638. 

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