Carbon levy repeal

Bill 1, An Act to Repeal the Carbon Tax, received Royal Assent on June 4, 2019. The carbon levy no longer applies to any type of fuel effective May 30, 2019. See IFTA Special Notice Vol. 10 No. 2 – Repeal of the Carbon Levy.

Contact Canada Revenue Agency (CRA) if you have questions related to the federal fuel charge under the Greenhouse Gas Pollution Pricing Act (Canada).

2019 split-rates

A split-rate occurs when a jurisdiction has 2 different tax rates for the same fuel type during the calendar quarter. When this occurs, Alberta IFTA carriers that travelled in the jurisdiction with a split-rate and at least one other jurisdiction will need to complete an additional Split-Rate Adjustment Schedule. The following jurisdictions had a split-rate in 2019:

News

Overview

IFTA is an agreement among American and Canadian jurisdictions that enables uniform collection and distribution of fuel taxes paid by motor carriers traveling in multiple jurisdictions.

IFTA membership is voluntary and allows the carrier to significantly reduce the paperwork and compliance burden for fuel tax reporting.

Once registered, a carrier must submit returns to Tax and Revenue Administration (TRA) on a quarterly basis and report all fuel purchased, and kilometres travelled, for all of their IFTA vehicles.

Carriers can renew their IFTA licence and receive new decal sets each year.

IFTA Top 10 Tips

See IFTA Top 10 Tips: view the video or download the PDF version.

Benefits of an IFTA membership

  • A carrier licensed under IFTA is required to submit only one quarterly fuel tax return to its base jurisdiction, where it is registered.
  • The single return covers the distance travelled in all IFTA jurisdictions, rather than the carrier being required to complete separate fuel tax returns for each jurisdiction.
  • Each base jurisdiction then refunds or collects the net fuel tax for all member jurisdictions.

IFTA and the Prorate program

A carrier does not have to register under the Prorate program to register under IFTA. The programs are not related. You may register for one, both, or neither program.

Eligible carriers

A carrier can register for IFTA in Alberta if it:

  • operates one or more qualified motor vehicles base-plated in Alberta or the Northwest Territories
  • travels to at least one other IFTA jurisdiction
  • allocates some income to Alberta for income tax purposes
  • does not have an amount owing or an unfiled IFTA return for a prior reporting period

Eligible motor vehicles

A qualified motor vehicle is one used, designed, or maintained for the transportation of persons or property and meeting one of the following size and weight requirements:

  • 2 axles and a gross vehicle weight or registered gross vehicle weight exceeding 11,797 kilograms (26,000 lbs.)
  • 3 or more axles regardless of weight, or
  • if used in combination with a trailer, a combined weight that exceeds 11,797 kilograms (26,000 lbs.)

A recreational vehicle is not a qualified motor vehicle.

Special rules apply for farm-plated vehicles registered under IFTA and can be found in Information Circular IFTA-2, Alberta IFTA Licensing and Reporting Requirements.

If you don’t register your vehicle

If you are an Alberta carrier with qualified motor vehicles not registered for IFTA, your vehicles cannot travel in other IFTA jurisdictions without purchasing a trip permit for fuel tax purposes.

If you are not a member of a licensing Prorate plan, you will have to purchase a trip permit for licensing purposes. Contact the jurisdiction(s) you will be travelling to for information on the purchase of trip permits.

For complete information about the IFTA program administered by TRA, see the IFTA series of information circulars.

Cost

The registration fees for each carrier are:

  • an annual registration fee of $15 for the Alberta IFTA Fuel Tax Licence
  • an annual decal fee of $10 per set of 2 decals per qualified motor vehicle

Carriers must submit both the registration and decal fees with their initial registration or annual renewal application.

Form instructions

Trouble opening or completing fillable PDF forms?

Fillable PDF forms do not open properly on some mobile devices and web browsers. If the form doesn't open, or you can't complete the form, or you see a "please wait" message, follow these steps to complete and save fillable forms from Tax and Revenue Administration (TRA):

  1. Right-click on the form link and select "Save Target As" or "Save Link As", and save the form to your computer.
  2. Launch Adobe Reader.
  3. Open the PDF from within Adobe Reader. You can now fill and save your form.

To submit your forms

Forms cannot be sent through email. Complete and print your forms and bring, mail or fax them to TRA.

How to register

Only register if you will be travelling outside of Alberta, and have a qualified motor vehicle.

Step 1: Fill out the IFTA Registration form

Step 2: Submit registration documents

  • Bring, mail or fax your completed IFTA registration form to TRA.

Step 3: Submit payment

Step 4: Once approved

You will receive the following by mail:

  • IFTA licence
  • IFTA decals
  • information sheet

How to file

IFTA returns and remittances are required quarterly, and are due on the last day of the month following the end of the calendar quarter reporting period. A return is still required when there is no travel, or when you only travel in Alberta.

You are required to report:

  • all fuel put into qualified vehicles, including fuel provided by a third party
  • all kilometres travelled by qualified vehicles, including off-road travel and personal use, on the IFTA fuel type schedule

Note: Licensed vehicles with IFTA credentials, including those with farm plates, can use only clear fuel. Using marked fuel is not permitted.

Step 1: Complete the IFTA return

You will be charged a penalty if you file your return late. The penalty is $50 or 10% of the assessed unpaid taxes, whichever is greater.

Step 2: Submit your return

  • Online: submit the return in TRACS and print the confirmation page for your records.
  • Paper copy: bring, mail or fax your completed IFTA Quarterly Tax Return to TRA.

Step 3: Remit the amount owing and view the Notice of Assessment

  • Remit the amount owing (see Making payments).
  • Interest will be charged on late remittances and will accrue until the balance is paid in full.

If changes were made to your return, or a balance is owing, a notice of assessment will be available in your TRACS account under “View Assessments” (or mailed if you do not have a TRACS account).

How to file for the quarter ending September 30, 2019

Online filing instructions for Alberta carriers
who travelled in Alabama between July 1 and September 30, 2019

If you have trouble opening fillable PDF forms, see the form instructions.

  • log in to your TRACS account, select “File a Return”, and select the period ending September 30, 2019
  • select the applicable jurisdictions and enter the litres purchased and kilometres travelled for each as you normally would do
  • complete the Alabama Split-Rate Adjustment Schedule for each applicable fuel type:
  • save the schedule(s), and enter the Total Alabama Split-Rate Adjustment in the applicable box in the online return
  • upload the Alabama Split-Rate Schedule(s) on the Review Summary page

Paper filing instructions for Alberta carriers
who travelled in Alabama between July 1 and September 30, 2019

If you have trouble opening fillable PDF forms, see the form instructions.

Complete these forms if you travelled in Alabama and at least one other jurisdiction:

Step 2: Submit your return

  • Online: submit the return in TRACS and print the confirmation page for your records.
  • Paper copy: bring, mail or fax your completed IFTA Quarterly Tax Return to TRA.

Step 3: Remit the amount owing and view the Notice of Assessment

  • Remit the amount owing (see Making payments).
  • Interest will be charged on late remittances and will accrue until the balance is paid in full.

If changes were made to your return, or a balance is owing, a notice of assessment will be available in your TRACS account under “View Assessments” (or mailed if you do not have a TRACS account).

How to file for the quarter ending June 30, 2019

Online filing instructions for Alberta carriers

Watch the instructional video: filing online.

If you have trouble opening fillable PDF forms, see the form instructions.

Paper filing instructions for Alberta carriers

Watch the instructional video: filing using paper forms.

If you have trouble opening fillable PDF forms, see the form instructions.

After watching the instructional video, complete these forms:

Step 2: Submit your return

  • Online: submit the return in TRACS and print the confirmation page for your records.
  • Paper copy: bring, mail or fax your completed IFTA Quarterly Tax Return to TRA.

Step 3: Remit the amount owing and view the Notice of Assessment

  • Remit the amount owing (see Making payments).
  • Interest will be charged on late remittances and will accrue until the balance is paid in full.

If changes were made to your return, or a balance is owing, a notice of assessment will be available in your TRACS account under “View Assessments” (or mailed if you do not have a TRACS account).

Additional decals and temporary permits

Additional decals

IFTA registrants in Alberta may purchase additional decals throughout the year.

Additional decals will only be processed once payment has been received (for more information, see Making payments).

Temporary permits

For situations where IFTA credentials are required more urgently, TRA may issue a 30-day temporary permit for an additional fee of $10 per vehicle.

  • Existing registrants may contact TRA and provide the make, model and vehicle identification number (VIN).
  • New carriers must include the above information and the IFTA Registration form (AT2054) (PDF, 1.1 MB).

Temporary permits will not be processed until payment has been received (see Making payments).

Temporary permits can take 7-10 business days to process under normal circumstances. Contact the jurisdictions you will be traveling to if you need to travel immediately to arrange for a trip permit.

Temporary permits and a copy of the IFTA licence will be faxed to the carrier.

How to renew your IFTA licence

Step 1: Complete the IFTA Renewal Form

Step 2: Pay for your renewal and decals

Step 3: Once renewed

You will receive the following by mail:

  • IFTA licence
  • IFTA decals

Maintain your account in TRACS

TRA Client Self-Service (TRACS) is a secure online system for authorized Tax and Revenue Administration (TRA) clients to conveniently conduct business with TRA. You can do the following tasks in TRACS:

  • file quarterly IFTA returns
  • confirm receipt of submitted returns
  • submit documents
  • view status of prior assessments, financial details and notices of assessment and reassessment
  • access financial information and view account period balances
  • apply for annual renewals
  • update address and contact information
  • delegate account access to other employees or authorized individuals
  • make credit card payments

For more details, instructional videos and to log in to your TRACS account, see TRACS information.

IFTA quarterly tax rate chart

AT2062 - IFTA Fuel Tax Rate Charts:

Publications

IFTA Top 10 Tips (PDF)

Information circulars

These documents discuss procedural matters and administrative policies and practices for programs administered by TRA. They are updated as necessary and a revision number assigned.

Cross-program information circulars

IFTA information circulars

IFTA special notices

These documents are used to announce changes to the legislation administered by TRA, or changes to administrative policies and practices carried out by TRA. These notices are time-specific, and meant to be transitory in nature. The information may eventually be incorporated into other publications, such as information circulars or web content.

Forms

If you have trouble opening fillable PDF forms, see the form instructions.

Registration, Quarterly Tax Return, Decals, Notice of Objection, Consent

Online Filing – Alabama – for the quarter ended September 30, 2019 (October 2019):

Paper Filing – Alabama – for the quarter ended September 30, 2019 (October 2019):

Online Filing – Alberta – for the quarter ended June 30, 2019 (July 2019):

Paper Filing – Alberta – for the quarter ended June 30, 2019 (June 2019):

Videos

Sign up for updates

Subscribe to get TRA's publications and announcements by email

Contact

To submit forms

Please note: forms cannot be sent through email. Complete and print your forms and bring, mail or fax them to:

Tax and Revenue Administration
Alberta Treasury Board and Finance
9811 109 Street NW
Edmonton, Alberta  T5K 2L5

Fax: 780-427-0348

To connect with Tax and Revenue Administration

Hours: 8:15 am to 4:30 pm (open Monday to Friday, closed statutory holidays)
Phone: 780-427-3044
Toll free: 310-0000 before the phone number (in Alberta)
Email: tra.revenue@gov.ab.ca

Related

Other programs administered by Tax and Revenue Administration

Fuel tax rates

Fuel Tax Act and Regulations

International Fuel Tax Association, Inc.

Canadian Fuel Charge information from the Canada Revenue Agency (CRA):