Instructions For Form 720 - Quarterly Federal Excise Tax Return

commercial aviation and partly for use in noncommercial

3. Claims must be filed by the last day of the first quarter

aviation, see the rules in Notice 2005-80, section 3(e)(3).

following the earliest quarter of the claimant’s income tax

year included in the claim. For example, a calendar year

For lines 5c and 5d, the kerosene must have been used

income taxpayer’s claim for the first quarter is due June 30 if

during the period of claim for type of use 1, 9, 10, 11, 13, 15,

filed on Form 8849. However, Form 720 must be filed by

or 16.

April 30.

For line 5e, the kerosene must have been used during

If requirements 1 – 3 above are not met, see Annual

the period of claim for type of use 9. This claim is made in

Claims on page 15.

addition to the claim made on lines 5c and 5d for type of

use 9.

Registration number. Enter your UV registration number

in the space provided.

Line 6. Nontaxable Use of Alternative Fuel

Information to be submitted. For claims on line 7a, attach

a separate sheet with the name and TIN of each

Claimant. The ultimate purchaser of the taxed alternative

governmental unit to whom the diesel fuel was sold and the

fuel is the only person eligible to make this claim.

number of gallons sold to each.

Allowable uses. The alternative fuel must have been used

during the period of claim for type of use 1, 2, 4, 5, 6, 7, 11,

Line 7b. Sales by Registered Ultimate

13, 14, or 15.

Vendors of Undyed Diesel Fuel for Use in

Type of use 5. Write “Bus” in the space to the left of the

Certain Intercity and Local Buses

Type of use column. Enter the correct claim rate in the Rate

Claimant. For line 7b, the registered ultimate vendor of the

column. The claim rates for type of use 5 are listed below.

diesel fuel is eligible to make a claim only if the buyer

Line number

Claim rate

waives his or her right to make the claim by providing the

registered ultimate vendor with an unexpired waiver. See

$.109

Model Waiver N in Pub. 510. Only one claim may be filed

.110

with respect to any gallon of diesel fuel.

Claim requirements. The following requirements must be

.109*

met.

.110

1. The claim must be for diesel fuel sold during a period

.17

that is at least 1 week.

2. The amount of the claim must be at least $200. To

.17

meet this minimum requirement, amounts from lines 7, 8,

.169

and 9 may be combined.

3. Claims must be filed by the last day of the first quarter

.110

following the earliest quarter of the claimant’s income tax

* This is the claim rate per gasoline gallon equivalent (126.67 cubic feet of CNG).

year included in the claim. For example, a calendar year

income taxpayer’s claim for the first quarter is due June 30 if

Information for Claims on Lines 7–11

filed on Form 8849. However, Form 720 must be filed by

April 30.

Registration number. To make an ultimate vendor claim

on lines 7 – 11, you must be registered. Enter your

If requirements 1 – 3 above are not met, see Annual

registration number, including the prefix (for prefixes, see

Claims on page 15.

instructions for Form 637, Application for Registration (For

Registration number. Enter your UB registration number

Certain Excise Tax Activities)), on the applicable line for

in the space provided.

your claim. If you are not registered, use Form 637 to apply

Lines 8a and 8b. Sales By Registered

for a registration number.

Ultimate Vendors of Undyed Kerosene

Required certificates or waivers. The required

certificates or waivers for lines 7 – 11 are listed in the line

(Other Than Kerosene Sold for Use in

instructions and are available in Pub. 510.

Aviation)

Line 7a. Sales By Registered Ultimate

Claimant. For line 8a, the registered ultimate vendor of the

Vendors of Undyed Diesel Fuel

kerosene is the only person eligible to make this claim and

has obtained the required certificate from the buyer and has

Claimant. For line 7a, the registered ultimate vendor of the

no reason to believe any information in the certificate is

diesel fuel is the only person eligible to make this claim and

false. See Model Certificate P in Pub. 510. For line 8b,

has obtained the required certificate from the buyer and has

claimant has a statement, if required, that contains the date

no reason to believe any information in the certificate is

of sale, name and address of the buyer, and the number of

false. See Model Certificate P in Pub. 510. Only one claim

gallons of kerosene sold to the buyer. For lines 8a and 8b,

may be filed with respect to any gallon of diesel fuel.

only one claim may be filed with respect to any gallon of

Allowable sales. The fuel must have been sold during the

kerosene.

period of claim for the exclusive use by a state or local

Allowable sales. The fuel must have been sold during the

government (including essential government use by an

period of claim:

•

Indian tribal government).

For line 8a, use by a state or local government (including

essential government use by an Indian tribal government),

Claim requirements. The following requirements must be

met.

•

For line 8b, from a blocked pump.

1. The claim must be for diesel fuel sold during a period

Claim requirements. The following requirements must be

that is at least 1 week.

met.

2. The amount of the claim must be at least $200. To

meet this minimum requirement, amounts from lines 7, 8,

1. The claim must be for kerosene sold during a period

and 9 may be combined.

that is at least 1 week.

-12-

Instructions for Form 720 (Rev. 7-2010)

Instructions For Form 720 - Quarterly Federal Excise Tax Return - 2010 Page 12

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