Montana IFTA Fuel Tax

IFTA Reporting and Filing Requirements in Montana

Who Needs an IFTA License in Montana?

You need a Montana International Fuel Tax Association (IFTA) license if your business is based in Montana and you operate a license if Montana is your base jurisdiction and you operate a qualified motor vehicle in Montana and at least one other IFTA member jurisdiction. Carriers may use fuel trip permits instead of obtaining IFTA credentials for occasional interstate travel. 

A qualified motor vehicle is one used, designed, or maintained to transport people or property and meets at least one of the following criteria:

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

Recreational vehicles, including motorhomes, pickup trucks with attached campers, and buses, are not considered qualified motor vehicles when used exclusively for personal purposes. The exemption does not apply when the vehicle is used for business.

Montana generally qualifies as your base jurisdiction when your qualified vehicles are registered there, your fleet’s operational control and records are maintained or available there, and your fleet travels some distance on Montana roads.

If your qualified vehicles operate only within Montana, you do not need an IFTA license. If you travel into another IFTA jurisdiction without IFTA credentials, you must obtain any required fuel trip permits before operating there.

You can find additional eligibility details on the Montana IFTA Website

What Are the IFTA Reporting Requirements in Montana?

If Montana is your base jurisdiction and you hold a Montana IFTA license, you must file one fuel tax return with the Montana Department of Transportation for every calendar quarter. Montana uses the return to calculate and distribute the appropriate fuel taxes or credits among the IFTA jurisdictions where your vehicles operated. 

When filing your Montana IFTA return, you must report:

• Total miles traveled by your IFTA-licensed fleet in all jurisdictions, including non-IFTA and nontaxable mileage
• Total and taxable miles traveled in each IFTA jurisdiction
• Total gallons of fuel placed into qualified vehicles, separated by fuel type
• Tax-paid gallons purchased in each jurisdiction, including qualifying withdrawals from tax-paid bulk storage
• Applicable exempt mileage used to calculate the difference between total and taxable miles

For Montana operations, exempt mileage may include travel under a valid fuel trip permit or travel on private property or qualifying Forest Service development roads. These miles and the associated fuel must still be included when calculating the fleet’s average MPG. The exempt miles are then deducted from total Montana mileage to determine taxable miles.

You must file a quarterly return even if:

• Your qualified vehicles had no operations during the reporting period
• No taxable fuel was used during the quarter
• The return shows no tax due

Failure to file a required return may result in a penalty.

Keep complete mileage, trip, and fuel records supporting each return. Montana requires these records to be retained for four years from the return’s due date or filing date, whichever is later. The retention period may be extended when records are covered by a waiver or assessment or are not provided when requested for an audit

Download the Montana Quick Reference Guide for more information.

How Do You File an IFTA Report in Montana?

Montana IFTA license holders can file quarterly returns online through the ePART portal or submit Form MDT-IFTA-001, IFTA Tax Return, to the Montana Department of Transportation. An active ePART account is required for online filing.

1. Prepare Your IFTA Return

   Before filing, gather the mileage and fuel information for your IFTA-licensed fleet, including:

   • Total fleet miles traveled in all jurisdictions, including non-IFTA and nontaxable mileage
   • Total and taxable miles traveled in each IFTA jurisdiction
   • Total gallons of fuel placed into qualified vehicles, separated by fuel type
   • Tax-paid gallons purchased in each jurisdiction
   • Trip reports, distance records, fuel receipts, and bulk-fuel records, if applicable
   • Any exempt Montana mileage, such as travel under a valid fuel trip permit or qualifying travel on private property or Forest Service development roads

   This information is used to calculate your fleet’s average MPG and determine the tax due or credit for each jurisdiction. Keep the supporting records used to prepare the return in case your account is audited.

2. Submit Your IFTA Return

   Once your return is complete, file it online through the Montana ePART portal or submit a completed Form MDT-IFTA-001 to the Montana Department of Transportation Revenue Services Bureau. An active ePART account is required for online filing.

   Through ePART, you can submit your quarterly return and pay any balance due electronically. Montana accepts electronic checks and Visa, Mastercard, American Express, and Discover for online payments. Credit card processing fees are disclosed during the payment process.

   Montana allows manual returns to be submitted by fax, U.S. mail, or the state’s File Transfer Service. Electronic payments can be made by e-check or credit card through ePART or by calling 406-444-7664.

   If you complete a manual return, sign and date it, keep a copy for your records, and submit it using one of the following methods:

   • Fax: 406-444-5411
   • State of Montana File Transfer Service

   Or Mail to:

   Montana Department of Transportation
   Revenue Services Bureau
   P.O. Box 5895
   Helena, MT 59604-5895

What Are the IFTA License Costs and Fees in Montana?

The Montana Department of Transportation does not publish an application fee, renewal fee, or decal fee for an IFTA license in its publicly available guidance.

All forms can be accessed through the Montana Department of Transportation Forms page under Motor Fuel Tax

If you are having trouble opening any Montana IFTA / Motor Fuel Tax Forms, call 406 444-6030, M-F 7:30 – 4:00, or e-mail mdtfueltaxrefund@mt.gov.

Established Montana IFTA carriers can use the ePART portal to renew their licenses, file returns, and complete other account transactions. MDT notes that fees associated with its secure online payment system may vary. New carriers must establish an account by submitting Form MDT-IFTA-002 rather than applying through ePART.

Montana issues one set of two IFTA decals for each qualified motor vehicle. One decal must be displayed on each exterior side of the cab. Established licensees who need more decals can submit Form MDT-IFTA-007, Additional IFTA Decal Form.

Montana may issue a temporary IFTA license in place of decals while an established carrier in good standing waits for permanent decals. Temporary licenses are not issued for new accounts.

What Are the IFTA Penalties and Interest in Montana?

Montana may assess penalties and interest if you file an IFTA return after the deadline or fail to pay the full amount due.

The penalty for a late return is the greater of:

• $50
• 10% of the total tax liability

The penalty applies to every late return, including a return showing no operations, no tax due, or a credit.

Interest accrues separately on unpaid tax owed to each IFTA jurisdiction from the original due date. A full month of interest is charged for each month or portion of a month that the tax remains unpaid.

For fleets based in a U.S. jurisdiction, the 2026 IFTA interest rate is 9% annually, calculated monthly at one-twelfth of the annual rate. The rate is adjusted each year and may change for future reporting periods.

Montana requires a return for every quarter, even if your qualified vehicles had no operations or used no taxable fuel. Filing each return and paying any balance by the deadline helps keep your account eligible for renewal and avoids possible license revocation for unresolved delinquencies.

For more information, download the Montana IFTA Guidelines.

How Do You Renew an IFTA License in Montana?

Montana IFTA licenses and decals are valid for one calendar year and must be renewed annually. Renewals become available in October after the third-quarter IFTA return has been filed and paid.

1. Meet the Renewal Requirements To qualify for renewal, make sure your account:
   
   
   • Has not been revoked or canceled
   • Has all required IFTA returns filed
   • Has all fuel taxes, penalties, and interest paid

   Accounts with unresolved filing or payment issues are not eligible for renewal.

2. Submit Your Renewal Log in to ePART, review your account information, complete the renewal transaction, and request decal sets for each qualified vehicle.
   
   Montana also accepts paper renewals. Paper renewal documents can be submitted to Montana Motor Carrier Services using one of the following methods:
   
   
   • Fax: 406-444-5411
   • State of Montana File Transfer Service

   Or mail to:

   Montana Department of Transportation
   Revenue Services Bureau
   P.O. Box 5895
   Helena, MT 59604-5895

3. Receive and Display Your Credentials After processing your renewal, MDT will issue one IFTA license for the fleet and two decals for each qualified vehicle. Carry a photocopy of the current license in each vehicle and display one decal on each exterior side of the cab.
   
   Renewal applications must be received before December 31 to qualify for Montana’s credential-display grace period. During January and February, renewing carriers may continue operating with valid prior-year credentials while waiting to receive and display the new license and decals. The previous year’s decals must remain displayed, and the license must be available in the vehicle.
   
   Accounts that are not renewed by December 31 are canceled on January 15, according to the Montana IFTA Guidelines.

Simplify Your Montana IFTA Reporting with eIFTA by Truckopedia

Managing IFTA reporting doesn’t have to be time-consuming. eIFTA by Truckopedia helps you track mileage, calculate fuel taxes, and prepare accurate quarterly IFTA reports from one easy-to-use platform. Whether you operate a single truck or manage an entire fleet, eIFTA reduces paperwork, minimizes calculation errors, and keeps you ready for every filing deadline.

With eIFTA, you can:

• Automatically calculate IFTA fuel taxes across all jurisdictions.
• Track miles and fuel purchases in one centralized dashboard.
• Generate accurate quarterly IFTA reports in minutes.
• Store trip and fuel records securely for audit readiness.
• Manage multiple vehicles and drivers with ease.
• Save time with a streamlined, paperless reporting process.

Make IFTA reporting simpler, faster, and more accurate with eIFTA by Truckopedia.