The International Fuel Tax Agreement (IFTA) was designed to simplify fleet fuel use reporting, but it still can be complicated. With so much on your plate already, you know that optimizing the IFTA reporting process would be a game changer, saving you time and headache.
We’ve outlined some tips to help make your IFTA reporting process run smoothly.
Log Data Incrementally
A little effort spent over time can quickly add up. Logging your fleet’s miles traveled and fuel used daily or monthly can save you significant time at the end of the quarter.
This is arguably the most tedious step in the IFTA fuel tax reporting process, so tackling a portion incrementally can make it more bearable and less tempting for you to procrastinate.
Remove Non-essential Players
The more hands information must pass through to get to its final destination, the longer the process will take. Map out everyone involved in your IFTA reporting process from your drivers logging the information to the person(s) submitting the report. Then, cut out anyone in the process who acts as a middleman and isn’t adding value. If they are performing a task like reviewing information, pass this task on to the next person in the process instead.
Establish a Clear Process
Efficient processes are clear processes. For your IFTA reporting to be as smooth as possible, make sure all involved players know their role and exactly who they must pass their information to next. Any confusion will slow down the process and result in inconsistencies or missing data.
You could even create a diagram of all the players in the process to make sure it’s as clear as possible.
Automate Tasks
When applicable, automate tasks. This will save time and reduce the risk of mistakes. This could include using an Excel template, your fleet management software’s reporting tools or adopting an IFTA-specific software.
Stay Organized
There are a lot of pieces to IFTA reporting. The more organized you can be, the less time you will have to spend tracking down lost data records, redoing tasks you’ve already completed or correcting mistakes.
Ask for Feedback
There may be inefficiencies in your reporting process that you are not aware of. Don’t be afraid to ask your drivers and other players involved for feedback to see if there are improvements you could make. This will also help everyone feel more involved and invested in the process.
Implementing even one of these tips mentioned can help make your IFTA tax reporting less painful.
