Motor and Alternative Fuel Taxes

Motor Carriers Road Tax/IFTA

Pennsylvania joined the International Fuel Tax Agreement (IFTA), effective Jan. 1, 1996. This agreement provides for base state reporting of fuel taxes for operators of qualified motor vehicles, most commonly truckers, used in interstate operations.

Overview

The motor carriers road tax/IFTA is imposed on fuel consumed by qualified motor vehicles operated within Pennsylvania. Qualified motor vehicles operated in Pennsylvania intrastate activities only are subject to fuel taxation under the motor carriers road tax. Credit is granted for tax paid on fuel purchases.

The tax rate is equivalent to the rate per gallon currently in effect on liquid fuels, fuels or alternative fuels.

Annual decal fees indicating vehicle registration in Pennsylvania are also included in these taxes. The cost is $12 per vehicle per calendar year. The decals must be displayed on both sides of each qualified vehicle operated in Pennsylvania.