Registering for IFTA in Ontario

Everything you need to know to get your Ontario IFTA license.

As long as your carrier/business is based in Ontario, you must register under the procedures for Ontario, even if your operations span across multiple other provinces or even down to the United States.

Not based in Ontario? Click here and find your province/state to get the relevant IFTA registration guide.

 

Do you have to register for IFTA in Ontario?

If you were wondering whether or not you’re exempt, know that you must register and file for IFTA if you have:

  • Any vehicle with two axles and a gross vehicle weight of over 11,797 kilograms or 26,000 pounds
  • A vehicle of any weight but with three or more axles
  • A vehicle that exceeds 11,797 kilograms or 26,000 pounds

Now, let’s get into the steps you need to take in order to register for an Ontario IFTA license.

How to register for an IFTA license in Ontario

Filing online

The easiest way is to use Ontario’s ONT-TAXS portal to apply for your IFTA license – if it’s your first time, you have to sign up for an account.
 
Filing through mail

Alternatively, to mail in your application, visit this link –> Download: Application for IFTA Registration [PDF]

Mail your completed application and payment to:

Ministry of Finance
IFTA Program
33 King Street West
PO Box 625
Oshawa ON L1H 8H9

After registering, the Ministry of Finance will issue a single IFTA licence for your fleet of qualified vehicles. You will also receive two decals for each qualified motor vehicle. The licence and the decals are valid for one year from January 1st to December 31st, and need to be renewed each year.

Cost of the Ontario IFTA license

In contrast to many other states, there is no fee for an IFTA license in Ontario. However, you will have to pay for the decals for every qualifying motor vehicle in your fleet.

  • Annual Decal Fee: $10 per set of 2 decals per qualified motor vehicle
 

Filing your quarterly IFTA return

As an IFTA licensee, you report your fuel purchases and jurisdictional travel within one month after the end of every quarter. The Ministry of Finance will mail an IFTA tax return to you at least 30 days before each due date.

 

On your IFTA tax return, you will report how much tax-paid fuel you purchased and the distance travelled in each jurisdiction. You will balance overpayments in one jurisdiction against amounts owed in other jurisdictions. If the net result is an underpayment, you will send one payment to Ontario. If the net result is an overpayment, you will receive one refund from Ontario.

 

To file your quarterly IFTA return, click here

Penalties for not filing or filing late

 

If you do not file your IFTA tax return or pay any taxes owing:

  • you may be charged interest and penalty, and
  • your IFTA licence may be cancelled.
So make sure to always file your IFTA returns on time! Luckily, Switchboard automates calculating your IFTA mileage and fuel taxes – learn more about our ELD here.

Renewing your IFTA license in Ontario

Prior to the end of the year, a renewal application will be issued automatically to eligible IFTA licensees, so just make sure to watch out for that in the mail.

Rules you need to remember and follow

Here are just a few rules that you must ensure you/your drivers follow:


1. Stick the decals to the specified location in the application.
2. Carry a photocopy of the IFTA license in each of your qualified motor vehicles.
3. File all IFTA quarterly tax returns and pay any outstanding fuel taxes by the due date.
4. Keep all records to support the information reported on your IFTA tax return in case you are audited.

Ontario IFTA Exemptions

Single Trip Permit

If you occasionally travel to other jurisdictions – need to find a single trip permit agency. 

 

A single trip permit allows qualified vehicles conditional travel in another jurisdiction. The permit is valid for one vehicle making a single journey into another jurisdiction for a pre-determined distance and time period. Single trip permits may also include other fees in addition to the fuel tax.

 

When you transport goods for someone else, a contract may hold the carrier and not the vehicle owner responsible for interjurisdictional reporting and payment of fuel taxes. The contract needs to identify: 

 

  • the start and end dates of the agreement 
  • who is responsible, the carrier or the vehicle owner, for reporting and paying the motor fuel tax. 
  • The responsible party identified in the contract should obtain the IFTA license.

Need to calculate your IFTA fuel tax and mileage?

Read our in depth guide below.