The IFTA only applies to vehicles that are a certain size or weight. If your vehicle has three or more axles, then it qualifies for the IFTA, regardless of its weight. If your vehicle has two axles and weighs more than 26,000 pounds (or it's part of a combination that exceeds the same weight threshold), then it qualifies for the IFTA.
Notably, the IFTA only applies to commercial motor vehicles (CMVs). Therefore, if you have a large vehicle, like an RV, that meets the weight requirement, you don't have to sign up for the IFTA.
IFTA licenses are a great idea for any trucker who regularly operates on an interstate basis. This way, you can file just one return for your vehicle, as opposed to having to file your fuel tax returns individually across each state or province you haul in. Furthermore, if you have multiple trucks, you can simplify all of their returns into just one!
Your base jurisdiction is the state or province where your vehicle is registered. So, if your business and truck are registered in Arkansas, then Arkansas is your base state.
No, your registration is only valid unless you get the IRP. This is why IRP and IFTA are usually mentioned together; they are both key for interstate truckers.
Missing your due date will incur a penalty. These penalties will vary based on your base jurisdiction, but they will be either a flat rate or a percentage of your tax liability. They will also increase over time, so make sure you pay them quickly!
You'll need to keep records of your mileage driven through each jurisdiction. These should include:
—The date of your trip
—Your route
—Total mileage and mileage in each jurisdiction
—Receipts for any fuel you buy
—Any intermediate stops you make along the way
You have to keep these records in storage for multiple years afterwards. Each jurisdiction has different requirements for how long you have to keep your records, but it's honestly best to hold onto them for around 5 years. That way, you should be compliant with the IFTA's record-keeping rules.