IFTA Managers Workshop/ Law Enforcement Seminar

1. Best Practices IFTA Managers Workshop/ Law Enforcement Seminar

2. Objectives • Present best practices • Facilitate discussion • Best Practices User Manual • Capture ideas/suggestions on roll-out and maintenance. Department of Finance Revenue and Taxation Division

3. “Best Practices” • Why have the discussion? • What do we mean by “Best Practices”? • How are they identified? • Our methodology Department of Finance Revenue and Taxation Division

4. The Questionnaire • Key Areas of Interest: • Screening applications • Revoking and suspending licences • Enforcement practices • Dealing with delinquencies • Clearinghouse participation Continued… Department of Finance Revenue and Taxation Division

5. The Questionnaire • Automatic renewals • New technologies • Benefits/problems • Audit challenges and management Department of Finance Revenue and Taxation Division

6. Discovery • Challenges are a constant in many areas • Similarities and Peculiarities • Successful administration through innovation Department of Finance Revenue and Taxation Division

7. Most Common Challenges • Lack of education at carrier level • Screening process • Truck leasing companies • Automatic renewals • Clearinghouse participation • Revocation & suspension enforcement • Electronic filing Department of Finance Revenue and Taxation Division

8. Jurisdiction Difficulties Percentage of Jurisdictions Department of Finance Revenue and Taxation Division Difficulties

9. Educational Visits • Training sessions for the industry • Explain record keeping and licence requirements to new licencees and carriers • Regular mailings • Guides, pamphlets, and notices Continued… Department of Finance Revenue and Taxation Division

10. Educational VisitsBenefits • Identify and address record keeping problems • Identify high risk accounts • Establish trust ties • Opportunity to build strong relationships Department of Finance Revenue and Taxation Division

11. DISCUSSION Your Thoughts What Does Your Jurisdiction Do?

12. Screening Process The applicant is asked if he or she has ever had an IFTA licence revoked Benefits • Able to identify high risk applications • Rejected or approved with conditions • Minimizes future grief cases Continued… Department of Finance Revenue and Taxation Division

13. Screening Process Ask applicants to specify where their fleet(s) is registered Benefit • Use information to verify if other licences are held in that jurisdiction, or if there is a delinquency record Continued… Department of Finance Revenue and Taxation Division

14. Screening Process Collect IRP data from applicants Benefits • Cross reference files to identify irregularities • Identify audit leads • Identify possible registration errors Continued… Department of Finance Revenue and Taxation Division

15. Screening Process Screen out applicants if the previous year showed no inter-jurisdiction travel Benefits • Only applicants that meet the criteria are registered • Eliminates extra return processing caused by continual no operation returns • Audit plans based on an accurate account base Department of Finance Revenue and Taxation Division

16. DISCUSSION Your Thoughts What Does Your Jurisdiction Do?

17. Truck Leasing Require that the leasing agreement be filed with the IFTA application Benefits • The person responsible for IFTA reporting can be clearly identified at application • Identification of possible registration errors Continued… Department of Finance Revenue and Taxation Division

18. Truck Leasing Conduct regular books and records reviews Benefits • Immediate identification of record keeping issues • Additional opportunity to educate licencees regarding possible problems Department of Finance Revenue and Taxation Division

19. DISCUSSION Your Thoughts What Does Your Jurisdiction Do?

20. Automatic Renewals At least 4 jurisdictions offer automatic renewals Benefits • Reduces backlog at the end of year • Renewals are spread over a more manageable period of time • Incentive to carriers to ensure their quarterly reports are filed accurately and on time Department of Finance Revenue and Taxation Division

21. DISCUSSION Your Thoughts What Does Your Jurisdiction Do?

22. Clearinghouse 39% reported that they are using the Clearinghouse, and 60% of the 39% reported that they use it to check an applicant’s status prior to issuing a licence Benefit • Identification of high risk applicants • Rejected or approved with conditions Department of Finance Revenue and Taxation Division

23. DISCUSSION Your Thoughts What Does Your Jurisdiction Do?

24. Revocation & Suspension Enforcement A number of enforcement tools may be relied upon: • Communication to roadside agencies by flagging the suspended or revoked carriers • Enforcement officers to collect, or seize/remove plates or decals • Notify the Department of Motor Vehicles • renewal of licence or registration denied Department of Finance Revenue and Taxation Division

25. DISCUSSION Your Thoughts What Does Your Jurisdiction Do?

26. Electronic Filing • All 14 respondents who reported that they use electronic filing, also reported that they had encountered challenges implementing the electronic functions • Registrants using the service varied from 1% to 36% Continued… Department of Finance Revenue and Taxation Division

27. Electronic FilingBenefits • Accurately calculated reports • Saved time • No manual entry of information • No reliance on postal services Department of Finance Revenue and Taxation Division

28. DISCUSSION Your Thoughts What Does Your Jurisdiction Do?

29. Jurisdiction Activities Percentage of Jurisdictions Department of Finance Revenue and Taxation Division

30. Best Practices User Manual • Intent • Approach • Timeline • Stakeholder expectations • Maintenance Department of Finance Revenue and Taxation Division

31. Thank You Questions & Comments Department of Finance Revenue and Taxation Division