['Fleet Taxes']
['Highway use - Mileage tax']
04/21/2025
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International Fuel Tax Agreement (IFTA)
IFTA applies to qualified vehicles operating in more than one IFTA jurisdiction. A qualified motor vehicle is a motor vehicle used, designed, or maintained for transportation of persons or property and that:
- Has two axles and a gross vehicle weight or registered gross vehicle weight exceeding 26,000 pounds; or
- Has three or more axles regardless of weight; or
- Is used in combination, when the weight of such combination exceeds 26,000 pounds gross vehicle weight.
IFTA fees
IFTA license and decals, no fee
Temporary decal permit
Temporary IFTA decal permits are only available for current IFTA license holders in good standing.
Biodiesel
Biodiesel fuel and the volume of biodiesel in biodiesel fuel blends are not taxable. Licensees report biodiesel purchased in Texas in the total gallons consumed to calculate the fleet’s average miles per gallon. Texas presumes that the biodiesel is consumed in the jurisdiction where it was purchased. When licensees purchase biodiesel fuel in Texas, the licensees must adjust the tax-paid gallons on the IFTA returns. Refer to https://roar-assets-auto.rbl.ms/documents/14552/biodiesel.pdf for more information on how to adjust the tax return.
Fuel use tax
Intrastate carriers are not required to obtain a fuel permit, or report fuel use.
Mileage/Highway use taxes
There are no highway use or mileage taxes charged in Texas.
Tax refunds or credits
IFTA
Information regarding credits or refunds under IFTA is included in the IFTA Agreement manual.
PTO/Reefer fuel
As of January 1, 2005, Texas no longer offers refunds of taxes paid on diesel (undyed or dyed) used in off-highway equipment, stationary engines, or for other non-highway purposes.
['Fleet Taxes']
['Highway use - Mileage tax']
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