Understanding the Regional Fuel Tax Agreement and Its Legal Implications

Definition & Meaning

The term Regional Fuel Tax Agreement (often abbreviated as RFTA) refers to an interstate agreement established under 49 USCS § 31701. This agreement governs the collection and distribution of fuel use taxes paid by motor carriers operating in the states of Maine, Vermont, and New Hampshire. It specifically applies to fuel use taxes incurred in these three states, facilitating a streamlined process for tax management among them.

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Real-world examples

Here are a couple of examples of abatement:

Example 1: A trucking company based in New Hampshire operates in both Maine and Vermont. Under the RFTA, this company must collect and remit fuel taxes according to the agreement, ensuring compliance across state lines.

Example 2: A motor carrier receives a notice from the state of Vermont regarding an audit of their fuel tax payments. The carrier can refer to the RFTA to understand their obligations and ensure they have accurately reported their fuel use taxes. (hypothetical example)

What to do if this term applies to you

If you are a motor carrier operating in Maine, Vermont, or New Hampshire, ensure you understand your obligations under the Regional Fuel Tax Agreement. You may want to:

  • Review your fuel tax records to ensure compliance.
  • Consider using legal forms from US Legal Forms to assist with tax filings.
  • If you face complex issues or audits, consult a legal professional for guidance.

Quick facts

Attribute Details
Jurisdictions Maine, Vermont, New Hampshire
Applicable Users Motor carriers
Legal Framework 49 USCS § 31701

Key takeaways