Fuel prices/ IFTA

Being I am based in Indiana, I am not liking this. Indiana always was a high tax state.

 

That would be a silly thing to do wouldn't it.

 

@Gearwarrent

Have you read this thread?

 

I don't understand where you jokers think I don't think I am paying fuel tax. I didn't start this last week, I simply minimize any amount addl I might owe due to buying to much in one state and not enough in another and end up owing money.

that's always been my objective to not pay any additional tax other than what I pay at the pump.


when you can do all 4 quarters and add em all up and end up with a 48 cents credit , that dang near as close as ya can get over 4 quarters. every state is gonna get theirs either way.

 

Yes, I am not fond of the "hidden" extra tax. I am still trying to wrap my head around all this.

 

heres your formula you buy 6 gallons of diesel in Illinois , you pay 35 cent a gallon tax for a total of 2.10 cents , you run 4 gallons of it in mo. and 2 gallons in ill , you owe 68 cents fuel tax in mo . and 70 cents in il for a total of 1.38 cents tax. you get a refund of 72 cents tax on the 6 gallons less the 4 cents difference in price(24 cents) you net 48 cents on 6 gallons.

now buy 6 gallons in mo. and run 4 gallons in mo and 2 gallons in il, you paid 17 cents a gallon for a total of 1.02 cents fuel tax, you owe 68 centx in mo and 70 in illnois for a total of 1.38 cents , you owe 36 cents in tax , credit the 4 cents a gallon cheaper pump price, 24 cents, and you are down to 12 cents difference that you have to pay. kind of blows the old cheapest pre tax fuel theory out the window.

so buying the 6 gallons in il you come out 36 cents to the good buying the fuel in il even with a pre tax price 4 cents cheaper in mo.

sometimes a higher fuel tax can easily offset a few cents difference of pump price.

it actually matters where the cheap pre tax fuel is used also.

 

I Have a buddy who uses his GPS and it records his state totals in miles and it can also store his fuel purchases but he enters fuel in gallions himself at the truck stop

 

First, Illinois is 43.4cpg. However, let's use your numbers.

You're right that it would be $1.38 in tax. However, whether you pay at the pump or at the end of the quarter doesn't change how much you owe.

So, you're paying more for diesel pre-tax,.... You've just stated that your fuel tax is the same whether you buy it in Illinois or buy it in Missouri. No matter what, when push comes to shove, you still only pay $1.38 for state fuel taxes. NO MATTER WHERE YOU BUY IT.

Go back and read your first statement. You buy diesel in Missouri, it costs you $1.38 in fuel tax. You buy fuel in Illinois. It costs you $1.38 in fuel tax. You've definitively proven that where you buy diesel has zero bearing on your fuel tax cost. You're just 'paying now' instead of 'paying later'.



Let's say you and I did the exact same run and got the exact same mileage as you. 24 miles in Missouri, 12 miles in Illinois and bought 6 gallons of diesel. I buy it in Missouri. You buy it in Illinois. My pre-tax price is 4cpg less than yours.

You pay $1.38 in state fuel tax. I pay $1.38 in state fuel tax. You bought diesel pre-tax in Illinois for $3.45, I bought diesel pre-tax in Missouri for $3.41. You paid $20.70 for diesel pre-tax, I paid $20.46 for diesel pre-tax. Add up your state fuel tax and your pre-tax diesel, and you paid a total of $22.08 while I paid a total of $21.84. A net savings on six gallons of diesel of $0.24.

So, tell me again, how are you saving money?

 

Skateboard, it really doesn't matter how long you have been doing this, what matters is if you understand it. You apparently don't, we have explained it in different ways with real world examples, but it seems you will not open your mind. You are not buying your fuel as efficiently as you could, if that's what you want to do fine by me, free country and all. But you shouldn't be on here passing out bad info as a self proclaimed expert, with you main point being you haven't paid much at the end of the quarter (which doesn't mean squat) and you've been doing this for 80 years (doing it wrong in my opinion).

 

so youre saying a fellow who makes a 4 quarter ifta that is 48 cents from being dead on perfect for each mile driven for the year doesn't have a clue about fuel tax, rotflmao.

what you don't understand is I didn't even make an effort to do that, its like second nature.

I guess the big difference is what we are paying for fuel, my prices for today april the fifth are 3.729 at t/a in troy ,il and 3.52 at floristal,mo that's t/a east and t/a west. that's a 5 cent cheaper price in Illinois pre-fuel tax rate.

so you win ipod, I have no clue about fuel taxes, I just know they will be paid one way or the other , I just choose not to write a check later, I make it work out so its one less thing to worry about.