If you've renewed your IRP plates or IFTA tags the same way for years, don't assume the same documentation will work this year.
Across the country, carriers are facing stricter verification requirements around where they actually live and operate their businesses.
If you can't prove that you meet your base state's requirements, you could run into problems establishing or renewing your plates or IFTA tags.
Regulators want to verify that trucking companies actually have a legitimate connection to the location they're using for registration purposes.
For IRP and IFTA, that means your base state isn't simply the state where you'd prefer to register your trucks. You have to meet the requirements to establish that state as your home base.
Residency and business location verification can create challenges for owner-operators and small carriers.
Truck drivers don't always have traditional living arrangements, which can make proving residency difficult. Some spend most of the year on the road, live with family between trips, or don't have utilities or leases in their own names.
Depending on your base state, you may be asked to provide multiple forms of documentation showing that you legitimately reside there.
Acceptable documents vary by state but may include:
Not every bill counts as proof of residency, and the documents accepted can vary by state. For example, a state may accept a utility bill but not an internet or cell phone bill.
Before applying or renewing, make sure your documentation meets your base state's current requirements.
Carriers may also meet their base state's requirements by having an established place of business, but simply renting an office or putting your company name on an address may not be enough.
Depending on the state and its requirements, an established place of business may need to have:
Some states require the location to be staffed for a minimum number of hours each week, with 20 hours per week being a common requirement. If your business has posted hours, someone should be available at the location during those times.
Yes, and carriers shouldn't assume verification stops with the paperwork.
Depending on the state, officials may ask for additional documentation or visit the address in person to verify your business location and operations.
That could include reviewing:
The goal is to establish that the address represents a legitimate residence or trucking operation rather than an address being used only for registration purposes.
Be particularly careful with virtual offices, private mailboxes, P.O. boxes, registered agents, or addresses shared by multiple unrelated companies.
An address where your company receives mail isn't necessarily a legitimate place of business.
For IRP and IFTA, you should check your individual state's requirements before assuming a shared or virtual location meets the requirements.
Although IRP and IFTA are separate programs and their specific base-state requirements aren't identical, they do both require carriers to meet the requirements of their base states.
Having apportioned plates in a state doesn't automatically mean you meet that state's requirements for an IFTA account. You may still need to provide documentation showing that you meet the state's IFTA requirements.
Just because you’ve been registered in the same state for years, that doesn’t necessarily mean you’re automatically grandfathered in.
This is one of the biggest issues carriers are encountering.
You may have operated from the same state for 10, 20, or even 30 years and never previously been asked for certain documentation. However, your state may now require additional documentation before allowing you to renew.
If your state asks for proof of residency or your business location, you’ll need to meet its current requirements.
The worst time to find out that you can't prove your residency is when your plates or IFTA tags are about to expire.
Before your next renewal:
Proof of residency and business-location verification are becoming increasingly important parts of motor carrier compliance.
Whether you're establishing an IRP or IFTA account, or renewing plates or IFTA tags you've had for years, make sure you can prove that your business legitimately qualifies in the state you're using.
If you’re unsure whether you have the right documentation in place, Aladdin’s compliance specialists can help you navigate your state’s requirements and take care of your IRP and IFTA registrations and renewals from start to finish.
For help with your IRP or IFTA registration and renewals, reach out to our compliance specialists here.