Instructions For Form 720 - Quarterly Federal Excise Tax Return printable pdf download

Instructions for Form 720

Department of the Treasury

Internal Revenue Service

(Rev. April 2017)

Quarterly Federal Excise Tax Return

Section references are to the Internal Revenue Code unless

corporate income tax. Generally, electronic funds transfers

otherwise noted.

are made using the Electronic Federal Tax Payment System

(EFTPS). If you do not want to use EFTPS, you can arrange

Future Developments

for your tax professional, financial institution, payroll service,

or other trusted third party to make deposits on your behalf.

For the latest information about developments related to

EFTPS is a free service provided by the Department of

Form 720, and its instructions, such as legislation enacted

Treasury.

after they were published, go to IRS.gov/Form720.

To get more information about EFTPS or to enroll in

What's New

EFTPS, visit

or call 1-800-555-4477. Also see

Pub. 966.

Sections 4375 and 4376 patient-centered outcomes re-

search fee increase. The fee for policy and plan years

General Instructions

ending on or after October 1, 2016, but before October 1,

2017, is the applicable rate of $2.26, multiplied by the

Purpose of Form

average number of lives covered under the policy or plan.

The applicable rate for policy and plan years ending on or

Use Form 720 and attachments to report your liability by IRS

after October 1, 2017, will be included in future revisions. For

No. and pay the excise taxes listed on the form. If you report

updated information, see Future Developments, above. The

a liability on Part I or Part II, you may be eligible to use

fee for policy and plan years ending on or after October 1,

Schedule C to claim a credit.

2015, but before October 1, 2016, remains at the applicable

Who Must File

rate of $2.17, multiplied by the average number of lives

covered under the policy or plan. See Patient-centered

See Patient-centered outcomes research fee (IRS

outcomes research fee (IRS No. 133), later, and Notice

No. 133) in Part II for special rules about who must

2016-64.

file to report the patient-centered outcomes research

Reminders

CAUTION

fee.

You must file Form 720 if:

Uncollected tax report. The address for submitting your

You were liable for, or responsible for collecting, any of the

uncollected tax report for communications and air

federal excise taxes listed on Form 720, Parts I and II, for a

transportation taxes is changed. See Communications and

prior quarter and you have not filed a final return; or

Air Transportation Taxes Uncollected Tax Report, later.

You are liable for, or responsible for collecting, any of the

Suspension of section 4191 medical device tax (former-

federal excise taxes listed on Form 720, Parts I and II, for the

ly IRS No. 136). The medical device tax no longer applies

current quarter.

to sales for 2 years beginning January 1, 2016, through

See How To File, later, for more information.

December 31, 2017. For information on the tax for sales

before January 1, 2016, see T.D. 9604 and Notice 2012-77.

When To File

Reducing your excise tax liability. For federal income tax

You must file a return for each quarter of the calendar year as

purposes, reduce your section 4081 excise tax liability by the

follows.

amount of excise tax credit allowable under section 6426(c)

and your section 4041 excise tax liability by the amount of

your excise tax credit allowable under section 6426(d), in

Quarter covered

Due by

determining your deduction for those excise taxes or your

Jan., Feb., Mar.

April 30

cost of goods sold deduction attributable to those excise

taxes.

Apr., May, June

July 31

July, Aug., Sept.

October 31

Exported gasoline blendstocks. Claims for exported

gasoline blendstocks taxed at $.001 per gallon are made on

Oct., Nov., Dec.

January 31

Schedule C, line 14b. Continue to use line 1b to make claims

for exported gasoline blendstocks taxed at $.184 per gallon.

Electronic filing. You can electronically file Form 720

If any due date for filing a return falls on a Saturday,

through any electronic return originator (ERO), transmitter,

Sunday, or legal holiday, you may file the return on the next

and/or intermediate service provider (ISP) participating in the

business day.

IRS e-file program for excise taxes. For more information on

Send your return to the IRS using the U.S. Postal Service

e-file, visit the IRS website at IRS.gov/eFILE.

or a designated private delivery service to meet the “timely

Federal tax deposits made by electronic funds transfer.

mailing as timely filing/paying” rule. See Private Delivery

Generally, you must use electronic funds transfer to make

Services, later.

federal tax deposits, such as deposits of employment tax,

Floor stocks tax. Report the floor stocks tax on

excise tax (for exceptions, see Payment of Taxes, later), and

ozone-depleting chemicals (ODCs), IRS No. 20, on the

Apr 27, 2017

Cat. No. 64240C

Instructions For Form 720 - Quarterly Federal Excise Tax Return

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