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Who registers the vehicle and who pays the IFTA tax, the Lessor or Lessee?

April 26, 2017IFTA lessee lessor pays registers tax vehicle

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Who registers the vehicle and who pays the IFTA tax, the Lessor or Lessee?

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If you lease a qualified motor vehicle, without a driver, from a rental company that has an IFTA license and decals on the vehicle, you are not required to obtain an IFTA license and decals for the vehicle. However, if the lease is for 30 days or more, you may choose to obtain your own IFTA license and decals for the vehicle. As the licensee, you would be required to report and pay the fuel taxes. In this situation, the vehicle may be IFTA licensed by both you and the owner of the vehicle, and may have two sets of decals displayed on it. If you lease a qualified motor vehicle from an independent contractor, the independent contractor is required to get an IFTA license and decals for the vehicle. However, if the lease is for 30 days or more, you and the owner of the vehicle have the option of designating which of you will get the IFTA license and decals for the vehicle, and will report and pay the fuel taxes. A leasing agreement should detail which party, lessor or lessee, is responsibl