Illinois IFTA Fuel Tax

IFTA Reporting and Filing Requirements in Illinois

Who Needs IFTA Registration in Illinois?

Businesses based in Illinois must register for an International Fuel Tax Agreement license if they operate qualified motor vehicles in Illinois and at least one other IFTA member jurisdiction.

Illinois may serve as the base jurisdiction when the carrier’s qualified motor vehicles are based in Illinois for registration, the carrier operates from an established physical place of business in Illinois, operational control and records are maintained or available in Illinois, and the fleet accrues mileage on Illinois highways.

A vehicle generally qualifies for IFTA in Illinois when it is used to transport people or property and meets any of the following conditions:

• Has two axles and a gross vehicle weight or registered gross vehicle weight over 26,000 lbs.
• Has three or more axles, regardless of weight
• Is used in combination when the gross vehicle weight or registered gross vehicle weight of the combined vehicles exceeds 26,000 lbs.

Certain vehicles are not treated as qualified motor vehicles for Illinois IFTA purposes, including recreational vehicles, school buses, vehicles operated by the State of Illinois or the United States, and qualified or commercial motor vehicles operating only within Illinois when all motor fuel is purchased in Illinois.

What Are the IFTA Reporting Requirements in Illinois?

If Illinois is your base jurisdiction and you hold an Illinois IFTA license, you must file quarterly IFTA fuel tax returns reporting your carrier operations, including distance traveled and fuel use.

Instead of filing separate fuel tax returns in every IFTA jurisdiction where you operate, you file one quarterly IFTA return with Illinois. On that return, you report:

• Distance traveled in each jurisdiction
• Fuel use and fuel purchases for your operations
• Fuel taxes owed or credits earned using the applicable IFTA fuel tax rates

Illinois requires carriers to file Form MFUT-15, IFTA Quarterly Return, electronically through MyTax Illinois.

You must file quarterly IFTA returns to keep your Illinois IFTA license in good standing. Carriers must also maintain accurate distance and fuel records to support the information reported on their quarterly IFTA returns.

How Do You File an IFTA Report in Illinois?

You can file your Illinois IFTA return using a simple two-step process:

1. Prepare Your IFTA Report

   Gather your mileage and fuel records for the reporting quarter. You will need information including:

   • Total miles traveled in IFTA and non-IFTA jurisdictions
   • Miles traveled in each jurisdiction
   • Fuel purchased in each jurisdiction
   • Applicable fuel tax credits or amounts due

   Use this information to complete MFUT-15, IFTA Quarterly Return.

2. Submit Your IFTA Return

   Once your report is complete, you can:

   • Download your Illinois-compatible IFTA report
   • File your IFTA Quarterly Return, Form MFUT-15, through MyTax Illinois
   • Submit your return and payment electronically

   Illinois requires IFTA returns and payments to be submitted through MyTax Illinois, the state’s online tax administration system.

What Are the IFTA License Costs and Fees in Illinois?

Illinois does not charge a fee to obtain an International Fuel Tax Agreement (IFTA) license.

However, carriers must purchase one set of IFTA decals for each qualified motor vehicle (QMV). Each decal set includes two decals and costs $3.75 per qualified vehicle.

Additional decal sets are available for $3.75 per set. Replacement decal sets for lost, destroyed, or stolen decals cost $2.00 per set.

To maintain an active Illinois IFTA account, carriers must remain in good standing and file all required quarterly IFTA returns through MyTax Illinois.

Illinois requires IFTA returns and payments to be filed on time to keep your account in good standing. If you file your Illinois IFTA return late or fail to pay the tax due by the filing deadline, penalties and interest may apply.

Illinois imposes a penalty equal to:

• $50, or
• 10% of the total tax due,

whichever amount is greater.

Interest may also apply to unpaid IFTA tax balances. Interest begins after the return due date and continues until the outstanding balance is paid in full.

Illinois follows the annual IFTA interest rates established under the International Fuel Tax Agreement. Interest is calculated based on the applicable IFTA interest rate for the reporting period.

To avoid penalties, interest, and possible compliance issues, carriers should file all quarterly IFTA returns and submit payments through MyTax Illinois before the due date.

How to Renew an IFTA License in Illinois

Illinois IFTA licenses and decals must be renewed every year through MyTax Illinois.

Illinois IFTA licenses are valid from January 1 through December 31. Renewal generally begins in late October, and carriers may begin displaying decals for the following year on December 1.

Eligible carriers can renew their Illinois IFTA license, order decals, and manage their account through MyTax Illinois.

To avoid interruptions in interstate operations, carriers should renew their IFTA credentials before the current license expires. Current-year decals must be affixed to qualified motor vehicles by February 28.

Your renewal may be delayed, denied, suspended, or revoked if:

• Required IFTA returns have not been filed
• Outstanding IFTA taxes, penalties, or interest remain unpaid
• Your account is not in good standing with the Illinois Department of Revenue

Simplify Quarterly IFTA Reporting with eIFTA by Truckopedia

eIFTA helps you prepare accurate, file-ready IFTA reports without the hassle of manual calculations or spreadsheets. Whether you manage a single vehicle or an entire fleet, the platform streamlines quarterly fuel tax reporting with a simple and efficient workflow.

• Automatically applies the latest IFTA tax rates for each reporting quarter
• Organizes mileage and fuel purchase data across jurisdictions
• Calculates fuel tax liabilities and credits in minutes
• Generates reports ready for review and filing

With eIFTA, you can save time, reduce reporting errors, and simplify your quarterly IFTA reporting process.