To simplify the reporting of fuel used by interstate and inter-jurisdictional motor carriers, Maryland participates in the International Fuel Tax Agreement (IFTA). IFTA is an agreement among 48 participating states and 10 Canadian provinces which allows qualified commercial vehicles to travel throughout those jurisdictions and pay the required motor carrier taxes. Vehicles displaying valid licenses and decals issued by a base jurisdiction may travel in any other jurisdiction.
The Comptroller of Maryland was proud to be responsible for legislation which repealed the motor carrier decal fee beginning in 2001. The Motor Fuel Tax office added another high-tech convenience in 2002, which allowed motor carriers to submit their applications for IFTA decals over the Internet. Today, taxpayers can also file their quarterly IFTA motor carrier returns electronically and use a host of other online services.
For more information about IFTA qualifications or additional registration requirements under the Maryland Department of Transportation, see the links below or the MDOT Motor Carrier Program.
Important Information for IFTA Licenses - State of Maryland Carriers
International Fuel Tax Agreement (IFTA) returns processing procedures will change in the 3rd and 4th quarters of 2014. The change is due to the closing of the shared Regional Processing Center (RPC) in New York that is now used to process Maryland IFTA returns. The RPC will no longer accept Maryland IFTA returns as of November 24, 2014. Beginning November 24, 2014 all Maryland IFTA returns should be mailed to our new address in Maryland:
IFTA Returns Processing
PO Box 2171
Annapolis, MD 21404
The new Maryland IFTA system, known as the Explore system, will use the latest encryption and security technologies to provide for full electronic filing of returns and payments through common web browsers to the State of Maryland. To facilitate the transition, however, e-filing will not be available starting November 1 through December 8, 2014. On December 9, 2014, anyone with Internet access and proper authorization will be able to file an IFTA return electronically though our new IFTA system.
There are several benefits to e-filing your IFTA returns:
• Saves time. IFTA e-filing is the fastest way to file your return.
• Electronic filings are processed immediately, even if you wait until the due date to file.
• Does not require special software or hardware.
• Electronic filing is FREE!
• Saves money, by eliminating postage and other mailing costs.
• Reduces errors, by performing necessary computations for you.
• Reduces mail delays.
• You receive immediate confirmation that we received your IFTA report.
• You can print a copy of your electronic IFTA report for your records.
We urge all taxpayers to take advantage of electronic filing as the most convenient way to file your IFTA quarterly tax returns.
Maryland had joined forces with 5 other states to form an IFTA Processing Consortium (IPC) for development of our new state of the art IFTA software. The Explore Software has been custom configured for each member of the newly formed IPC.
This new system is user friendly and will have more information available. One improvement is that taxpayers will now have access to their accounts through this system. The State of Maryland will be conducting classes throughout the state in order for carriers to be familiar with the new Maryland IFTA system. In the near future, more information concerning training will be forth coming.
If you have any questions, please contact Taxpayer Services at (410)-260-7980, or via email: MFT@comp.state.md.us