1. 2014 IFTA / IRP AUDIT WORKSHOP Appendix 1 – Return Model for Dual-Fuel Vehicles Assumptions: Miles Fuel - Diesel (gallons) Fuel - LNG (gallons)Total Fuel Jurisdiction 1 8,000 500 - Jurisdiction 2 2,000 - 1,000 Total 10,000 500 1,000 1,500 No exempt distances were traveled in either jurisdiction. Calculate MPG:Total Miles Total Fuel (gallons) MPG 10,000 1,5006.67

2. 2014 IFTA / IRP AUDIT WORKSHOP Prorate the Miles by Jurisdiction Between Fuel Types Total FuelFuel by TypeRatio Diesel 1,500 5000.3333 LNG 1,500 1,0000.6667

3. 2014 IFTA / IRP AUDIT WORKSHOP Diesel FormABC D EFGHI Fuel Type Juris. Total Distance Fuel Ratio Taxable Distance Taxable Fuel Volume Tax Paid Volume Net Taxable Volume Tax Rate (Diesel) Tax Due dDJ1 8,0000.3333 2,666 400500(100)0.2000(20.00) dDJ2 2,0000.3333 667 1000 0.100010.00 Subtotal 10,000 3,333 500 0 (10.00)

4. 2014 IFTA / IRP AUDIT WORKSHOP LNG FormA BC D EFGHI Fuel Type Juris. Total Distance Fuel Ratio Taxable Distance Taxable Fuel Volume Tax Paid Volume Net Taxable Volume Tax Rate (LNG) Tax Due dLNGJ1 8,0000.6667 5,334 8000 0.050040.00 dLNGJ2 2,0000.6667 1,333 2001000(800)0.1000(80.00) Subtotal 10,000 6,667 1,00010000 (40.00) TOTAL FOR BOTH FUELS 10,000 1,50015000 (50.00)

5. 2014 IFTA / IRP AUDIT WORKSHOP Note: Although states don't want to see double miles, the miles by state has to be shown somewhere on the return or you lose a step in the calculation and preparers get confused. The calculation to allocate taxable distance could be made on a schedule separate from the return.