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Formulir 720 Instruksi

Instruksi untuk Formulir 720, Pengembalian Pajak Terbatas

Rev. Desember 2023

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Department of the Treasury  
Internal Revenue Service  
Instructions for Form 720  
Quarterly Federal Excise Tax Return  
(Rev. December 2023)  
Section references are to the Internal Revenue Code unless  
otherwise noted.  
new IRS Nos. 53 and 16 are added to Form 720, Part I. See  
the Instructions for Form 6627, Environmental Taxes.  
Renewable diesel and kerosene changes. The Act made  
the following changes to the definition of renewable diesel  
and the treatment of kerosene, effective for fuel sold or used  
after 2022.  
Future Developments  
For the latest information about developments related to  
Form 720 and its instructions, such as legislation enacted  
after they were published, go to IRS.gov/Form720.  
Renewable diesel no longer includes fuel derived from  
biomass that meets the requirements of a Department of  
Defense specification for military jet fuel or an American  
Society of Testing Materials (ASTM) specification for aviation  
turbine fuel.  
What's New  
Taxes that are scheduled to expire. Unless extended by  
Congress, the following taxes will expire after December 31,  
2023. For updates, see the 2024 1st quarter Form 720 and its  
instructions.  
Kerosene is no longer treated as diesel fuel for purposes of  
the renewable diesel mixture credit.  
The section 4081 and 4083 tax rates (except for the  
Sustainable aviation fuel credit. The Act created a  
sustainable aviation fuel (SAF) credit under sections 40B and  
6426(k), effective January 1, 2023, so line 12d is added to  
Form 720, Schedule C.  
Liquefied hydrogen. The Act removed liquefied hydrogen  
from the definition of alternative fuel under section 6426(d)(2)  
for purposes of the alternative fuel credit and alternative fuel  
mixture credit for fuel sold or used after 2022.  
permanent 4.3-cents-per-gallon rate) on noncommercial  
aviation kerosene and noncommercial aviation gasoline.  
The section 4261 domestic and international air passenger  
ticket taxes and the ticket tax exemption for aircraft in  
fractional ownership aircraft programs.  
The section 4271 tax on air cargo.  
The section 4043 surtax on fuel used in aircraft in a  
fractional ownership program.  
Kerosene used in aviation. Kerosene is generally taxed at  
$.244 per gallon unless a reduced rate applies. The $.244  
per gallon tax rate applies to kerosene removals unless it is  
removed from a terminal or refinery (or a qualified refueler  
truck, tanker, or tank wagon that is treated as a terminal)  
directly into the fuel tank of an aircraft. See Kerosene for use  
Reminders  
Sections 4375 and 4376 patient-centered outcomes re-  
search fee increase. The fee for policy and plan years  
ending on or after October 1, 2022, but before October 1,  
2023, is increased to the applicable rate of $3.00 multiplied  
by the average number of lives covered under the policy or  
plan. The fee for policy and plan years ending on or after  
October 1, 2021, but before October 1, 2022, remains at the  
applicable rate of $2.79, multiplied by the average number of  
lives covered under the policy or plan. See patient-centered  
outcomes research (PCOR) fee (IRS No. 133), later, and  
Butane mixture doesn’t qualify for a credit. A mixture of  
butane (or other gasoline blendstock) and gasoline is a  
mixture of two taxable fuels. Therefore, it isn’t an alternative  
fuel mixture and doesn’t qualify for the section 6426  
alternative fuel mixture credit. See section 6426(e)(2), and  
Rev. Rul. 2018-02 at IRS.gov/IRB/  
Transportation of persons by air (IRS No. 26). The  
section 4261 tax on the amount paid for each domestic  
segment of taxable air transportation is adjusted for inflation  
and increased to $4.80.  
Use of international air travel facilities (IRS No. 27). The  
section 4261 tax on the amount paid for international flights is  
adjusted for inflation and increased to $21.10 per person for  
flights that begin or end in the United States. The tax is  
adjusted for inflation and increased to $10.60 per person for  
domestic segments that begin or end in Alaska or Hawaii  
(applies only to departures).  
Reducing your excise tax liability. For federal income tax  
purposes, reduce your expense for the section 4081 excise  
tax, whether taken as a deduction or as a component of cost  
of goods sold, by the amount of excise tax credits allowable  
under sections 6426(c), (e), and (k) (biodiesel mixture,  
alternative fuel mixture, and SAF, respectively). Similarly,  
reduce your expense for the section 4041 excise tax, whether  
taken as a deduction or as a component of cost of goods  
sold, by the amount of excise tax credit allowable under  
section 6426(d) (alternative fuel credit).  
Exported gasoline blendstocks. Claims for exported  
gasoline blendstocks taxed at $.001 per gallon are made on  
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  
through any electronic return originator (ERO), transmitter,  
and/or intermediate service provider (ISP) participating in the  
IRS e-file program for excise taxes. For more information on  
Arrow shafts (IRS No. 106). The section 4161 tax on arrow  
shafts is adjusted for inflation and increased to $.59 per  
arrow shaft.  
Petroleum tax on domestic crude oil and imported pe-  
troleum products. The Inflation Reduction Act of 2022 (the  
Act) reinstates and increases the section 4611 Hazardous  
Substance Superfund financing rate (petroleum Superfund  
tax rate) on domestic crude oil (IRS No. 53) and imported  
petroleum products (IRS No. 16), effective January 1, 2023  
(the taxes previously expired on December 31,1995). The  
Dec 7, 2023  
Cat. No. 64240C  
Department of the Treasury  
Internal Revenue Service  
Ogden, UT 84201-0009  
Federal tax deposits made by electronic funds transfer.  
Generally, you must use electronic funds transfer to make  
federal tax deposits, such as deposits of employment tax,  
excise tax (for exceptions, see Payment of Taxes, later), and  
corporate income tax. Generally, electronic funds transfers  
are made using the Electronic Federal Tax Payment System  
(EFTPS). If you don't want to use EFTPS, you can arrange for  
your tax professional, financial institution, payroll service, or  
other trusted third party to make deposits on your behalf.  
EFTPS is a free service provided by the Department of the  
Treasury.  
How To File  
If you aren't reporting a tax that you normally report, enter a  
zero on the appropriate line on Form 720, Part I or II. Also, if  
you have no tax to report, enter “None” on Form 720, Part III,  
line 3; sign and date the return. If you file the second quarter  
Form 720 only to report the PCOR fee, no filing is required in  
other quarters unless you have to report other fees or taxes.  
To get more information about EFTPS or to enroll in  
EFTPS, go to EFTPS.gov or call 800-555-4477. See Pub.  
966.  
If you have adjustments to liabilities reported for prior  
quarters, see Form 720-X, Amended Quarterly Federal  
Excise Tax Return. Don't enter adjustments on Form 720.  
If you attach additional sheets, enter your name and EIN  
on each sheet.  
General Instructions  
Purpose of Form  
Final Return  
File a final return if you have been filing Form 720 and you:  
1. Go out of business, or  
Use Form 720 and attachments to report your liability by IRS  
No. and pay the excise taxes listed on the form. If you report a  
liability on Part I or Part II, you may be eligible to use  
Schedule C to claim a credit.  
2. Won't owe excise taxes that are reportable on Form  
720 in future quarters.  
Who Must File  
If you are only filing to report zero tax and you won't  
owe excise tax in future quarters, check the Final  
return box above Part I of Form 720.  
TIP  
(IRS No. 133) in Part II for special rules about who  
!
CAUTION  
must file to report the PCOR fee.  
Recordkeeping  
You must file Form 720 if:  
You were liable for, or responsible for collecting, any of the  
Keep copies of your tax return, records, and accounts of all  
transactions to show that the correct tax has been paid. Keep  
records to support all claims and all exemptions at least 4  
years from the latest of the date:  
federal excise taxes listed on Form 720, Parts I and II, for a  
prior quarter and you haven’t filed a final return; or  
You are liable for, or responsible for collecting, any of the  
federal excise taxes listed on Form 720, Parts I and II, for the  
current quarter.  
The tax became due,  
You paid the tax, or  
You filed a claim.  
See How To File, later, for more information.  
Penalties and Interest  
When To File  
If you receive a notice about a penalty after you file this  
return, reply to the notice with an explanation and we will  
determine if you meet reasonable-cause criteria. Don't  
include an explanation when you file your return.  
You must file a return for each quarter of the calendar year as  
follows.  
Quarter covered  
Due by  
Trust fund recovery penalty. If communications, air  
transportation, and indoor tanning services taxes are  
collected but not paid to the U.S. Treasury or are willfully not  
collected, the trust fund recovery penalty may apply. The  
penalty is the full amount of the unpaid tax.  
The trust fund recovery penalty may be imposed on all  
persons who are determined by the IRS to be responsible for  
collecting, accounting for, and paying over these taxes, and  
who acted willfully in not doing so.  
A responsible person can be an officer or employee of a  
corporation, a partner or employee of a partnership, an  
employee of a sole proprietorship, an accountant, or a  
volunteer director/trustee. A responsible person may also  
include one who signs checks for the business or otherwise  
has authority to cause the spending of business funds.  
Jan., Feb., Mar.  
Apr., May, June  
July, Aug., Sept.  
Oct., Nov., Dec.  
April 30  
July 31  
October 31  
January 31  
If any due date for filing a return falls on a Saturday,  
Sunday, or legal holiday, you may file the return on the next  
business day.  
Send your return to the IRS using the U.S. Postal Service  
or a designated private delivery service to meet the “timely  
mailing as timely filing/paying” rule. See Private Delivery  
Services, later.  
Floor stocks tax. Report the floor stocks tax on  
ozone-depleting chemicals (ODCs), IRS No. 20, on the return  
due by July 31 of each year. The tax payment is due by June  
30. See Floor Stocks Tax, later.  
Willfully means voluntarily, consciously, and intentionally. A  
responsible person acts willfully if they know the required  
actions aren't taking place.  
Additional Information  
Where To File  
You may find the following products helpful when preparing  
Form 720 and any attachments.  
Send Form 720 to:  
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Instructions for Form 720 (Rev. 12-2023)  
               
Pub. 510, Excise Taxes, contains definitions and examples  
PDSs can’t deliver items to P.O. boxes. You must use  
the U.S. Postal Service to mail any item to an IRS  
P.O. box address.  
that will help you prepare Form 720. Pub. 510 also contains  
information on fuel tax credits and refunds.  
!
CAUTION  
Pub. 509, Tax Calendars, has deposit and payment due  
dates for federal excise taxes listed in this publication.  
Notice 2005-4 (fuel tax guidance), 2005-2 I.R.B. 289, at  
Photographs of Missing Children  
The IRS is a proud partner with the National Center for  
missing children selected by the Center may appear in  
instructions on pages that would otherwise be blank. You can  
help bring these children home by looking at the photographs  
and calling 1-800-THE-LOST (1-800-843-5678) if you  
recognize a child.  
Notice 2005-24 (sales of gasoline on oil company credit  
cards), 2005-12 I.R.B. 757, at  
Notice 2005-62 (biodiesel and aviation-grade kerosene),  
2005-35 I.R.B. 443, at  
Notice 2005-80 (LUST, kerosene, claims by credit card  
issuers, and mechanical dye injection), 2005-46 I.R.B. 953,  
Specific Instructions  
Notice 2006-92 (alternative fuels and mixtures), 2006-43  
Name and Address  
I.R.B. 774, at  
Enter your name, address, and the quarter ending date  
(month and year). If your address changes, check the  
address change box above Form 720, Part I.  
Notice 2007-97 (alternative fuel and alternative fuel  
mixtures), 2007-49 I.R.B. 1092, at  
P.O. box. If the post office doesn't deliver mail to the street  
address and you have a P.O. box, show the box number  
instead of the street address.  
Notice 2008-110 (biodiesel and cellulosic biofuel),  
2008-51 I.R.B. 1298, at  
Foreign address. Follow the country's practice for entering  
Notice 2010-68 (Alaska dyed diesel exemption), 2010-44  
the postal code. Don't abbreviate the country name.  
Notice 2012-27 (fractional aircraft), 2012-17 I.R.B. 849, at  
Employer Identification Number (EIN)  
Treasury Decision (T.D.) 9670 (tanning tax), 2014-29 I.R.B.  
Enter the correct EIN. If you are a one-time filer, you may not  
need an EIN. See Gas guzzler tax (IRS No. 40), later. If you  
don't have an EIN, you may apply for one online by going to  
IRS.gov/EIN. You may also apply for an EIN by faxing or  
mailing Form SS-4, Application for Employer Identification  
Number, to the IRS.  
T.D. 9621 (indoor tanning), 2013-28 I.R.B. 49, at  
Rev. Rul. 2016-03 (foreign reinsurance), 2016-3 I.R.B. 282,  
Rev. Rul. 2018-02 (butane mixture) at IRS.gov/IRB/  
Disregarded entities and qualified subchapter S subsid-  
iaries. Qualified subchapter S subsidiaries (QSubs) and  
eligible single-owner disregarded entities are treated as  
separate entities for excise tax and reporting purposes.  
QSubs and eligible single-owner disregarded entities must  
pay and report excise taxes (other than IRS Nos. 31, 51, and  
117), register for most excise tax activities, and claim any  
refunds, credits, and payments under their EINs. These  
actions can't take place under the owner's taxpayer  
identification number (TIN). Some QSubs and disregarded  
entities may already have an EIN. However, if you are unsure,  
please call the IRS Business and Specialty Tax Line at  
800-829-4933.  
Generally, QSubs and eligible single-owner disregarded  
entities will continue to be treated as disregarded entities for  
other federal tax purposes (other than employment taxes).  
Thus, taxpayers filing Form 4136, with Form 1040, U.S.  
Individual Income Tax Return, or 1040-SR, U.S Tax Return for  
Seniors, can use the owner's TIN. For more information, see  
Regulations section 301.7701-2(c)(2).  
Rev. Proc. 2022-38 (inflation adjustments), 2022-182  
Notice 2022-59 (patient-centered outcomes research  
(PCOR) fee), 2022-48 I.R.B. 498, at IRS.gov/NOT-2022-59.  
T.D. 9948 (exemption for amounts paid for certain aircraft  
management services) at IRS.gov/IRB/  
Notice 2023-6 (sustainable aviation fuel credit) at  
Announcement 2023-18 (stock buy backs) at IRS.gov/pub/  
Notice 2023-52 (sales of a designated drug during  
statutory period) at IRS.gov/pub/irs-drop/n-23-52.pdf.  
Notice 2023-28 (reinstatement of the “Superfund” excise  
Rev. Proc. 2022-26 (request a determination that a  
substance be added to or removed from the list of taxable  
substances) at IRS.gov/IRB/2022-29.  
Rev. Proc. 2023-20 (modifies the effective date of  
Signature  
additions to the list of taxable substances) at IRS.gov/IRB/  
Form 720 must be signed by a person authorized by the  
entity to sign this return.  
Private Delivery Services (PDSs)  
Third Party Designee  
You can use PDSs designated by the IRS to meet the “timely  
mailing as timely filing/paying” rule for tax returns and  
payments. Go to IRS.gov/PDS for the current list of  
If you want to allow an employee of your business, a return  
preparer, or other third party to discuss your Form 720 with  
the IRS, check the “Yes” box on Form 720 under Third Party  
Designee. Also, enter the designee's name, phone number,  
designated services. The PDS can tell you how to get written  
proof of the mail date. For the IRS mailing address to use if  
you are using a PDS, go to IRS.gov/PDSStreetAddresses.  
-3-  
Instructions for Form 720 (Rev. 12-2023)  
         
and any five digits that person chooses as their personal  
identification number (PIN).  
Communications Taxes  
Communications Services (IRS No. 22)  
By checking the “Yes” box, you are authorizing the IRS to  
speak with the designee to answer any questions relating to  
the processing of, or the information reported on,  
The tax is 3% of amounts paid for local telephone service  
and teletypewriter exchange service.  
Form 720. You are also authorizing the designee to:  
Exchange information concerning Form 720 with the IRS,  
and  
Who Must File  
Respond to certain IRS notices that you have shared with  
your designee relating to Form 720. The IRS won't send  
notices to your designee.  
The person receiving the payment for communications  
services must collect and submit the tax and file the return.  
Enter the amount of tax collected or considered collected for  
the quarter.  
You aren't authorizing the designee to receive any refund  
check, bind you to anything (including additional tax liability),  
or otherwise represent you before the IRS. If you want to  
expand the designee's authority, see Pub. 947, Practice  
Before the IRS and Power of Attorney.  
Credits or Refunds  
If tax is collected and paid over for nontaxable services from  
the communications tax, the collector may request a credit or  
refund as described below.  
The authorization will automatically expire 1 year from the  
due date (without regard to extensions) for filing your Form  
720. If you or your designee wants to revoke this  
authorization, send a written statement of revocation to:  
Collectors. The collector may request a credit or refund only  
if it has repaid the tax to the person from whom the tax was  
collected, or obtained the consent of that person to the  
allowance of the credit or refund. These requirements also  
apply to nontaxable service refunds.  
Collectors using the regular method for deposits.  
Collectors using the regular method for deposits must use  
Form 720-X to request a credit or refund.  
Collectors using the alternative method for deposits.  
Collectors using the alternative method for deposits must  
adjust their separate accounts for the credit or refund. For  
27, and 28), later.  
Department of the Treasury  
Internal Revenue Service  
Cincinnati, OH 45999  
See Pub. 947 for more information.  
Paid Preparer Use Only  
A paid preparer must sign Form 720 and provide the  
information in the Paid Preparer Use Only section at the end  
of the form if the preparer was paid to prepare the form and  
isn't an employee of the filing entity. The preparer must give  
you a copy of the form in addition to the copy to be filed with  
the IRS. If you are a paid preparer, enter your Preparer Tax  
Identification Number (PTIN) in the space provided. Include  
your complete address. If you work for a firm, you must also  
enter the firm’s name and the EIN of the firm. However, you  
can't use the EIN of the tax preparation firm in place of your  
PTIN. You can apply for a PTIN online or by filing Form W-12,  
IRS Paid Preparer Tax Identification Number (PTIN)  
Air Transportation Taxes  
Transportation of Persons by Air (IRS No. 26)  
The taxes on transportation of persons by air are the  
percentage tax and the domestic segment tax. Add the  
percentage tax and the domestic segment tax to get the total  
tax on transportation of persons by air.  
Application and Renewal. For more information about  
applying for a PTIN online, go to IRS.gov/PTIN.  
Note. The percentage and domestic segment taxes don't  
apply on a flight if the surtax on fuel used in a fractional  
ownership program aircraft is imposed. For more information,  
Part I  
Environmental Taxes  
Use Form 6627, Environmental Taxes, to figure the  
environmental taxes on:  
Domestic petroleum superfund tax, IRS No. 53.  
Chemicals (other than ODCs), IRS No. 54.  
Who Must File  
Imported chemical substances, IRS No. 17.  
Imported petroleum products superfund tax, IRS No. 16.  
Oil spill liability, IRS Nos. 18 and 21.  
The person receiving the payment for air transportation  
services must do all of the following.  
Ozone-depleting chemicals (ODCs), IRS No. 98.  
Imported products that used ODCs as materials in the  
Collect the tax.  
Submit the tax.  
manufacture or production of the product, IRS No. 19.  
File Form 720 to report the amount of the tax collected, or  
The floor stocks tax on ODCs, IRS No. 20 (reported on  
considered collected, for the quarter.  
Form 720, Part II).  
Exemption for amounts paid for aircraft management  
services. Effective December 23, 2017, certain payments  
related to the management of private aircraft are exempt from  
the excise taxes imposed on taxable transportation by air.  
See Pub. 510.  
Attach Form 6627 to Form 720. The tax rates for these  
taxes are shown on Form 6627.  
Percentage tax. The percentage tax is 7.5% of amounts  
paid for taxable transportation of persons by air.  
-4-  
Instructions for Form 720 (Rev. 12-2023)  
     
account for the uncollected tax. See Alternative method (IRS  
Where to file your uncollected tax report. Don't file the  
uncollected tax report with Form 720. Instead, mail the  
report to:  
Domestic segment tax. For calendar year 2023, the tax on  
the amount paid for each domestic segment of taxable  
transportation is $4.80.  
Example. In January 2023, Frank Jones pays $267.60 to  
a commercial airline for a flight in January from Washington  
to Chicago with a stopover in Cleveland. The flight has two  
segments. The price includes the $240 fare and $27.60  
excise tax [($240 × 7.5%) + (2 × $4.80)] for which Frank is  
liable. The airline collects the tax from Frank and submits it to  
the government.  
Department of the Treasury  
Internal Revenue Service  
Cincinnati, OH 45999  
Charter flights. If an aircraft is chartered, and the flight  
isn't one where the tax on fuel used in a fractional ownership  
program aircraft is imposed, the domestic segment tax for  
each segment of taxable transportation is figured by  
multiplying the tax by the number of passengers transported  
on the aircraft.  
Fuel Taxes  
First taxpayer's report. If you are reporting gallons of  
taxable fuel that may again be subject to tax, you may need  
to file a first taxpayer's report. The report must contain all the  
information as shown in the Model Certificate B in the  
Appendix of Pub. 510.  
Example. In March 2023, Tim Clark pays $1,142.20 to an  
air charter service to carry seven employees from  
Washington to Detroit with a stopover in Pittsburgh. The flight  
has two segments. The price includes the $1,000 charter  
payment and $142.20 excise tax [($1,000 × 7.5%) + (2 ×  
$4.80 × 7 passengers)] for which Tim is liable. The charter  
service collects the tax from Tim and submits it to the  
government.  
The person who paid the first tax must do all of the  
following.  
Give a copy of the first taxpayer's report to the buyer.  
File the first taxpayer's report with Form 720 for the quarter  
for which the report relates.  
Enter “EXCISE—FIRST TAXPAYER'S REPORT” across  
the top of a separate copy of the report, and by the due date  
of Form 720, send the copy to:  
Rural airports. If a segment is to or from a rural airport,  
the domestic segment tax doesn't apply.  
Department of the Treasury  
Internal Revenue Service  
Cincinnati, OH 45999-0555  
Transportation of Property by Air (IRS No. 28)  
Diesel (IRS No. 60). If you are liable for the diesel fuel tax  
on removal at the terminal rack, report these gallons on  
line 60(a). If you are liable for the diesel fuel tax on events  
other than removal at the terminal rack, report these gallons  
on line 60(b). If you are liable for the diesel fuel tax because  
you have produced diesel by blending biodiesel with taxed  
diesel outside of the bulk transfer/terminal system, report  
these gallons of biodiesel on line 60(c). If you report gallons  
on line 60(c), don't report those gallons on line 60(b).  
The tax is 6.25% of amounts paid for transportation of  
property by air. The tax doesn't apply if the surtax on fuel  
used in a fractional ownership program aircraft is imposed.  
Use of International Air Travel Facilities  
(IRS No. 27)  
Multiply the total number of gallons subject to tax on lines  
60(a), 60(b), and 60(c) by $.244 and make one entry in the  
tax column.  
For calendar year 2023, the section 4261 excise tax on any  
amount paid for international air transportation, if the  
transportation begins or ends in the United States, is  
generally $21.10. However, a lower rate of tax applies to a  
domestic segment beginning or ending in Alaska or Hawaii,  
and the tax applies only to departures. For calendar year  
2023, the rate of tax is $10.60.  
Reporting, later, if applicable.  
Diesel-water emulsion (IRS No. 104). If you are liable for  
the reduced rate (see below) of tax on a diesel-water  
emulsion removal at the terminal rack or other taxable event,  
report these gallons on the line for IRS No. 104.  
Requirements. All of the following requirements must be  
met to be eligible for the reduced rate: (a) the diesel-water  
emulsion must contain at least 14% water; (b) the emulsion  
additive must be registered by a U.S. manufacturer with the  
Environmental Protection Agency (EPA) under the Clean Air  
Act, section 211 (as in effect on March 31, 2003); and (c) the  
taxpayer must be registered by the IRS. If these requirements  
aren't met, you must report the sale, removal, or use of a  
diesel-water emulsion as diesel.  
Communications and Air Transportation  
Taxes—Uncollected Tax Report  
A separate report is required to be filed by collecting agents  
of communications services (local and teletypewriter service)  
and air transportation taxes if the person from whom the  
facilities or services tax (the tax) is required to be collected  
(the taxpayer) refuses to pay the tax, or it's impossible for the  
collecting agent to collect the tax. The report must contain  
the name and address of the taxpayer, the type of facility  
provided or service rendered, the amount paid for the facility  
or service (the amount on which the tax is based), and the  
date paid.  
IRS Nos. 105, 107, and 119. Tax is imposed at $.001 per  
gallon on removals, entries, and sales of gasoline, diesel, and  
kerosene described as exempt transactions. Multiply the total  
number of gallons subject to tax for each fuel by $.001 and  
enter the amount in the tax column for the following IRS Nos.  
Regular method taxpayers. For regular method taxpayers,  
the report must be filed by the due date of the Form 720 on  
which the tax would have been reported.  
Alternative method taxpayers. For alternative method  
taxpayers, the report must be filed by the due date of the  
Form 720 that includes an adjustment to the separate  
IRS No. 105, dyed diesel, LUST tax.  
IRS No. 107, dyed kerosene, LUST tax.  
-5-  
Instructions for Form 720 (Rev. 12-2023)  
         
IRS No. 119, LUST tax, other exempt removals; report  
line 62(a). If you are liable for the gasoline tax on events other  
than removal at the terminal rack, report these gallons on  
line 62(b). If you are liable for the gasoline tax because you  
have blended alcohol with taxed gasoline outside of the bulk  
transfer/terminal system, report these gallons of alcohol on  
line 62(b).  
Multiply the total number of gallons subject to tax on lines  
62(a) and 62(b) by $.184. Combine the tax for lines 62(a) and  
62(b) and make one entry in the tax column.  
gasoline blendstocks, kerosene used for a feedstock  
purpose, and diesel or kerosene sold or used in Alaska.  
Kerosene (IRS No. 35). If you are liable for the kerosene tax  
on removal at the terminal rack (not located at an airport),  
report these gallons on line 35(a). If you are liable for the  
kerosene tax on events other than removal at the terminal  
rack, report these gallons of kerosene on line 35(b).  
Multiply the total number of gallons subject to tax on lines  
35(a) and 35(b) by $.244 and make one entry in the tax  
column.  
Reporting, later, if applicable.  
Surtax on any liquid used in a fractional ownership pro-  
gram aircraft as fuel (IRS No. 13). Fuel used in a fractional  
ownership program aircraft, as defined below, after March 31,  
2012, is subject to a surtax of $.141 per gallon. The fractional  
ownership program manager is liable for the surtax. If you are  
liable, report these gallons on the line for IRS No. 13.  
The surtax applies in addition to any other taxes imposed  
on the removal, entry, use, or sale of the fuel. If the surtax is  
imposed, the flight isn't considered commercial aviation.  
Instead, the tax on the fuel used in the flight is imposed at the  
noncommercial aviation rate of $.219 per gallon (IRS No. 69).  
Reporting, later, if applicable.  
Kerosene for use in aviation (IRS Nos. 69, 77, and 111).  
Generally, kerosene is taxed at $.244 per gallon unless a  
reduced rate applies. See Kerosene for Use in Aviation in  
Pub. 510, for more details about these reduced rates.  
If you're liable for kerosene tax on removal directly from a  
terminal into the fuel tank of an aircraft for use in aviation, the  
tax rate is $.219 per gallon. This rate applies to kerosene  
used in noncommercial aviation. This rate can also apply to  
kerosene used in commercial aviation or for nontaxable  
aviation uses if the requirements for a further reduced rate  
aren't met. Report these gallons on the line for IRS No. 69.  
If the surtax is imposed, the following taxes don't apply.  
Transportation of persons by air (IRS No. 26).  
Transportation of property by air (IRS No. 28).  
Use of international air travel facilities (IRS No. 27).  
Fractional ownership aircraft program is a program  
If you're liable for kerosene tax on removal directly from a  
terminal into the fuel tank of an aircraft for use in commercial  
aviation (other than foreign trade), the tax rate is $.044 per  
gallon. Report these gallons on the line for IRS No. 77. The  
line for IRS No. 77 is only applicable to registered  
under which:  
A single fractional ownership program manager provides  
fractional ownership program management services on  
behalf of the fractional owners;  
commercial aviation operators (Form 637 "Y" Registrant).  
If you’re liable for kerosene tax on removal directly from a  
There are one or more fractional owners per fractional  
terminal into the fuel tank of an aircraft for nontaxable uses,  
the tax rate is $.001. Report these gallons on the line for IRS  
No. 111.  
program aircraft, with at least one fractional program aircraft  
having more than one owner;  
For at least two fractional program aircraft, none of the  
See Pub. 510 for foreign trade rules.  
ownership interests in the aircraft are less than the minimum  
fractional ownership interest or held by the program  
manager;  
Note. Fuel used in a fractional ownership program aircraft is  
also subject to a surtax of $.141 per gallon. For more  
Other fuels (IRS No. 79). You are liable for the tax on the  
fuels listed below when they are delivered into the fuel supply  
tank of a motor vehicle or motorboat (or trains for B-100). Use  
the following table to determine the tax for each gallon. Fill in  
the number of gallons and the appropriate rate in the Rate  
column on the line for IRS No. 79. If more than one rate  
applies, leave the Rate column blank and attach a schedule  
showing the rates and number of gallons taxed at each rate.  
There exists a dry-lease aircraft exchange arrangement  
among all of the fractional owners; and  
There are multi-year program agreements covering the  
fractional ownership, fractional ownership program  
management services, and dry-lease aircraft exchange  
aspects of the program.  
Fractional program aircraft. Any aircraft that, in any  
fractional ownership aircraft program, is listed as a fractional  
program aircraft in the management specifications issued to  
the manager of such program by the Federal Aviation  
Administration under subpart K of part 91, title 14, Code of  
Federal Regulations, and is registered in the United States.  
Fractional program aircraft aren't considered used for  
transportation of a qualified fractional owner, or on account of  
such qualified fractional owner, when they are used for flight  
demonstration, maintenance, or crew training. In such  
situations, the flight isn't commercial aviation. Instead, the tax  
on the fuel used in the flight is imposed at the noncommercial  
aviation rate.  
Fuel  
Tax Rate  
per Gallon  
Qualified—  
Ethanol produced from coal  
Methanol produced from coal  
Partially exempt—  
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$.184  
.184  
Ethanol produced from natural gas  
Methanol produced from natural gas  
B-100 (100% biodiesel)  
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.114  
.0925  
.244  
.184  
.184  
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Fractional owner. Any person owning any interest  
Liquefied gas derived from biomass .  
Other fuels not shown .  
(including the entire interest) in a fractional program aircraft.  
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Dry-lease aircraft exchange. An agreement, documented  
by the written program agreements, under which the  
fractional program aircraft are available, on an as-needed  
basis without crew, to each fractional owner.  
Gasoline (IRS No. 62). If you are liable for the gasoline tax  
on removal at the terminal rack, report these gallons on  
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Instructions for Form 720 (Rev. 12-2023)  
         
Generally, gross combined weight means the weight of a  
tractor and the weight of its trailer(s).  
Special rule relating to deadhead service. A fractional  
program aircraft won't be considered to be used on account  
of a qualified fractional owner when it's used in deadhead  
service and a person other than a qualified fractional owner is  
separately charged for such service.  
The tax imposed on parts and accessories sold on or in  
connection with the units listed above and the tax imposed  
on the separate purchase of parts and accessories for the  
units listed above don't apply to an idling reduction device,  
described next, or to insulation that has an R value of at least  
R35 per inch.  
Idling reduction device. Any device or system of devices  
that provides the tractor with services, such as heat, air  
conditioning, and electricity, without the use of the main drive  
engine while the tractor is temporarily parked or stationary.  
The device must be affixed to the tractor and determined by  
the Administrator of the EPA, in consultation with the  
Secretary of Energy and Secretary of Transportation, to  
reduce idling while parked or stationary.  
More information. See section 4043 for more information  
on the surtax.  
Aviation gasoline (IRS No. 14). Aviation gasoline is taxed  
at the rate shown on Form 720.  
Also, a surtax of $.141 per gallon applies on fuel used in  
an aircraft which is part of a fractional ownership program.  
For further information on fractional ownership program  
Alternative fuel (IRS Nos. 112, 118, and 120–124).  
Alternative fuel is any liquid other than gas oil, fuel oil, or any  
product taxable under section 4081. You are liable for tax on  
alternative fuel delivered into the fuel supply tank of a motor  
vehicle or motorboat, or on certain bulk sales. Report the tax  
on the line for the IRS No. listed in the following table.  
Figure the tax for each vehicle sold and enter the total for  
the quarter on the line for IRS No. 33.  
Gross vehicle weight. The gross vehicle weight (GVW)  
means the maximum total weight of a loaded vehicle.  
Generally, this maximum total weight is the GVW rating  
provided by the manufacturer or determined by the seller of  
the completed article. The seller's GVW rating must be  
determined for excise tax purposes on the basis of the  
strength of the chassis frame and the axle capacity and  
placement. The seller may not take into account any readily  
attachable components (such as tires or rim assemblies) in  
determining the GVW. See Regulations section  
Alternative Fuel  
IRS No.  
Liquefied petroleum gas (LPG)  
“P Series” fuels  
112  
118  
120  
121  
122  
Compressed natural gas (CNG)  
Liquefied hydrogen  
Fischer-Tropsch process liquid fuel from coal  
(including peat)  
145.4051-1(e)(3) for more information.  
The following four classifications of truck body types meet  
the suitable-for-use standard and will be excluded from the  
retail excise tax.  
Liquid fuel derived from biomass  
Liquefied natural gas (LNG)  
123  
124  
Platform truck bodies 21 feet or less in length.  
Dry freight and refrigerated truck van bodies 24 feet or less  
For sales or uses after 2015, the following gasoline gallon  
equivalent (GGE) or diesel gallon equivalent (DGE) applies.  
in length.  
Dump truck bodies with load capacities of 8 cubic yards or  
LPG (includes propane, pentane, or mixtures of those  
less.  
gases), taxed at $.183 per GGE, has a GGE of 5.75 pounds  
or 1.353 gallons of LPG.  
Refuse packer truck bodies with load capacities of 20  
cubic yards or less.  
LNG, taxed at $.243 per DGE, has a DGE of 6.06 pounds  
or 1.71 gallons of LNG.  
CNG, taxed at $.183 per GGE, has a GGE of 5.66 pounds  
Section 4051(d) tire credit. A tax credit may be claimed  
equal to the amount of tax that has been imposed on each  
tire that is sold on or in connection with the first retail sale of a  
taxable vehicle reported on IRS No. 33. Claim the section  
4051(d) tire credit on Schedule C, line 14a.  
or 123.57 cubic feet of CNG.  
Example. 10,000 gallons of LNG ÷ 1.71 = 5,848 DGE x  
$.243 = $1,421.06 tax.  
Retail Tax  
Ship Passenger Tax  
Truck, Trailer, and Semitrailer Chassis and Bodies,  
and Tractors (IRS No. 33)  
Transportation by water (IRS No. 29). A tax is imposed on  
the operator of commercial ships. The tax is $3 for each  
passenger on a commercial passenger ship that has berth or  
stateroom accommodations for at least 17 passengers if the  
trip is over 1 or more nights. A voyage extends “over 1 or  
more nights” if it lasts longer than 24 hours. The tax also  
applies to passengers on any commercial ship that transports  
passengers engaged in gambling aboard the ship beyond the  
territorial waters of the United States. Enter the number of  
passengers for the quarter on the line for IRS  
The tax is 12% of the sales price on the first retail sale of  
each unit. The tax applies to:  
Truck chassis and bodies, except truck chassis and bodies  
suitable for use with a vehicle with a gross vehicle weight  
(GVW) of 33,000 pounds or less;  
Trailer and semitrailer chassis and bodies, except trailer  
and semitrailer chassis and bodies suitable for use with a  
vehicle with a GVW of 26,000 pounds or less; and  
No. 29.  
Tractors of the kind chiefly used for highway transportation  
Other Excise Tax  
in combination with a trailer or semitrailer, except tractors that  
have a GVW of 19,500 pounds or less and a gross combined  
weight of 33,000 pounds or less.  
Obligations not in registered form (IRS No. 31). For  
obligations issued during the quarter, enter the principal  
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Instructions for Form 720 (Rev. 12-2023)  
           
amount of the obligation multiplied by the number of calendar  
years (or portion thereof) during the period beginning on the  
issue date and ending on the maturity date on the line for IRS  
No. 31.  
Surface mined coal (IRS Nos. 38 and 39). The tax on  
surface mined coal is the lower of $.55 per ton or 4.4% of the  
sales price. Enter on the line for IRS No. 38 the number of  
tons of surface mined coal sold at $12.50 or more per ton.  
Enter on the line for IRS No. 39 the total sales price for all  
sales of surface mined coal sold at a selling price of less than  
$12.50 per ton.  
Taxable tires (IRS Nos. 108, 109, and 113). A tax is  
imposed on taxable tires sold by the manufacturer, producer,  
or importer at the rate of $.0945 ($.04725 in the case of a  
bias ply tire or super single tire) for each 10 pounds of the  
maximum rated load capacity over 3,500 pounds. Figure the  
tax for each tire sold in each category as shown in the  
following chart and enter the total for the quarter on the line  
for IRS No. 108, 109, or 113. Enter the number of tires for  
each IRS No.  
Foreign Insurance Taxes  
Policies issued by foreign insurers (IRS No. 30). Enter  
the amount of premiums paid during the quarter on policies  
issued by foreign insurers. Multiply the premiums paid by the  
rates listed on Form 720 and enter the total for the three  
types of insurance on the line for IRS No. 30.  
Section 4371(3) tax on foreign reinsurance premiums  
no longer applies. The 1% tax doesn’t apply to premiums  
paid on a policy of reinsurance issued by one foreign  
reinsurer to another foreign insurer or reinsurer, under the  
situations described in Rev. Rul. 2008-15, 2008-12 I.R.B.  
633. See Rev. Rul. 2016-03, 2016-3 I.R.B. 282, available at  
Who must file. The person who pays the premium to the  
foreign insurer (or to any nonresident person such as a  
foreign broker) must pay the tax and file the return.  
Otherwise, any person who issued or sold the policy, or who  
is insured under the policy, is required to pay the tax and file  
the return.  
Treaty-based return positions under section 6114.  
Foreign insurers and reinsurers who take the position that a  
treaty of the United States overrules, or otherwise modifies,  
an Internal Revenue law of the United States must disclose  
such position. This disclosure must be made once a year on  
a statement which must report the payments of premiums  
that are exempt from the excise tax on policies issued by  
foreign insurers for the previous calendar year. This  
statement is filed with the first quarter Form 720, which is due  
before May 1 of each year.  
Rate (for each 10  
pounds of the  
maximum rated load  
capacity over 3,500  
pounds)  
IRS No.  
Taxable Tire Category  
Taxable tires other than  
bias ply or super single  
tires  
108  
109  
113  
$.0945  
.04725  
.0945  
Taxable tires, bias ply or  
super single tires (other  
than super single tires  
designed for steering)  
Taxable tires, super  
single tires designed for  
steering  
A taxable tire is any tire of the type used on highway  
vehicles if wholly or partially made of rubber and if marked  
according to federal regulations for highway use. A bias ply  
tire is a pneumatic tire on which the ply cords that extend to  
the beads are laid at alternate angles substantially less than  
90 degrees to the centerline of the tread. A super single tire is  
a tire greater than 13 inches in cross section width designed  
to replace two tires in a dual fitment, but doesn't include any  
tire designed for steering.  
Gas guzzler tax (IRS No. 40). Use Form 6197, Gas  
Guzzler Tax, to figure the liability for this tax. Attach  
Form 6197 to Form 720. The tax rates for the gas guzzler tax  
are shown on Form 6197.  
One-time filing. If you import a gas guzzling automobile,  
you may be eligible to make a one-time filing of Form 720 and  
Form 6197 if you meet all of the following conditions.  
You may be able to use Form 8833, Treaty-Based Return  
Position Disclosure Under Section 6114 or 7701(b), as a  
disclosure statement.  
At the top of Form 720, enter “Section 6114 Treaty.” If you  
have no other transactions reportable on Form 720, complete  
Form 720 as follows.  
1. If this is your final return, check the Final return box.  
2. Enter “None” on lines 1 and 3.  
3. Sign the return.  
You need an EIN to file Form 720. If you don't have an EIN,  
see Employer Identification Number (EIN), earlier.  
Where to file your treaty-based return positions under  
section 6114. All filers should mail Form 720 with the  
attached Form 8833 or disclosure statement to the address  
listed under Where To File, earlier. See the Caution under  
You don't import gas guzzling automobiles in the course of  
your trade or business.  
You aren't required to file Form 720 reporting excise taxes  
Manufacturers Taxes  
for the calendar quarter, except for a one-time filing.  
Follow the steps below to make a one-time filing.  
Don't include the excise tax on coal in the sales price  
when determining which tax rate to use for IRS Nos.  
!
1. File Form 720 for the quarter in which you incur liability  
CAUTION  
36, 37, 38, and 39.  
for the tax. See When To File, earlier.  
2. Pay the tax with Form 720. No deposits are required.  
Underground mined coal (IRS Nos. 36 and 37). The tax  
on underground mined coal is the lower of $1.10 per ton or  
4.4% of the sales price. Enter on the line for IRS No. 36 the  
number of tons of underground mined coal sold at $25 or  
more per ton. Enter on the line for IRS No. 37 the total sales  
price for all sales of underground mined coal sold at a selling  
price of less than $25 per ton.  
3. If you are an individual and don't have an EIN, enter  
your social security number (SSN) or individual taxpayer  
identification number (ITIN) on Form 720 and Form 720-V,  
Payment Voucher, in the space for the EIN.  
4. Check the one-time filing box on the line for the gas  
guzzler tax.  
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Instructions for Form 720 (Rev. 12-2023)  
           
the average number of lives covered under a plan for the plan  
year.  
Vaccine taxes (IRS No. 97). A tax is imposed on the sale or  
use of a vaccine manufactured, produced, or entered into the  
United States at $.75 per dose if it:  
1. Actual count method.  
2. Snapshot method.  
3. Form 5500 method.  
Contains diptheria toxoid, tetanus toxoid, pertussis  
bacteria, extracted or partial cell bacteria, specific pertussis  
antigens, or polio virus;  
Is against measles, mumps, rubella, hepatitis A, hepatitis  
Reporting and paying the fee. File Form 720 annually to  
report and pay the fee on the second quarter Form 720 no  
later than July 31 of the calendar year immediately following  
the last day of the policy year or plan year to which the fee  
applies. Because the rate used to determine the fee varies  
from year to year, you should determine the fee using the  
instructions for the second quarter Form 720. If you file Form  
720 only to report the fee, don't file Form 720 for the first,  
third, or fourth quarter of the year. If you file Form 720 to  
report quarterly excise tax liability for the first, third, or fourth  
quarter of the year (for example, filers reporting the foreign  
insurance tax (IRS No. 30), don't make an entry on the line for  
IRS No. 133 on those filings).  
B, chicken pox, rotavirus gastroenteritis, or human  
papillomavirus;  
Is any HIB (haemophilus influenza type B) vaccine;  
Is any meningococcal vaccine;  
Is any conjugate vaccine against streptococcus  
pneumonia; or  
Any trivalent vaccine against seasonal influenza or any  
other vaccine against seasonal influenza.  
The effective date for the tax on any other vaccine against  
seasonal influenza is the later of August 1, 2013, or the date  
the Secretary of the Department of Health and Human  
Services lists a vaccine against seasonal influenza for  
purposes of compensation for any vaccine-related injury or  
death through the Vaccine Injury Compensation Trust Fund.  
If any taxable vaccine is combined with one or more  
additional taxable vaccines, then the tax is imposed on each  
vaccine included in the combination.  
Deposits aren't required for this fee, so issuers and plan  
sponsors aren't required to pay the fee using EFTPS.  
However, if the fee is paid using EFTPS, the payment should  
be applied to the second quarter. See Electronic deposit  
Example. MMR contains three taxable vaccines:  
measles, mumps, and rubella. The tax per dose on MMR is  
$2.25 (3 x $.75).  
Report the average number of lives covered in column (a).  
Apply the applicable rate ((b) Rate for avg. covered life) and  
enter the fee in column (c).  
Add the tax for each taxable vaccine and enter the total  
Combine the fees for specified health insurance policies  
and applicable self-insured health plans and enter the total in  
the tax column on the line for IRS No. 133.  
More information. For more information, including  
methods for calculating the average number of lives covered,  
see sections 4375, 4376, and 4377.  
tax on the line for IRS No. 97.  
Part II  
Patient-centered outcomes research (PCOR) fee (IRS  
No. 133). The PCOR fee is imposed on issuers of specified  
health insurance policies (section 4375) and plan sponsors of  
applicable self-insured health plans (section 4376) for policy  
and plan years ending on or after October 1, 2012. Generally,  
references to taxes on Form 720 include this fee.  
Sport fishing equipment (other than fishing rods and  
fishing poles) (IRS No. 41). The tax on sport fishing  
equipment is 10% of the sales price. The tax is paid by the  
manufacturer, producer, or importer. Taxable articles include  
reels, fly fishing lines (and other lines not over 130 pounds  
test), fishing spears, spear guns, spear tips, terminal tackle,  
fishing supplies and accessories, and any parts or  
accessories sold on or in connection with these articles. See  
Pub. 510 for a complete list of taxable articles. Add the tax on  
each sale during the quarter and enter the total on the line for  
IRS No. 41.  
Fishing rods and fishing poles (IRS No. 110). The tax on  
fishing rods and fishing poles (and component parts) taxed at  
a rate of 10% will have a maximum tax of $10 per article. The  
tax is paid by the manufacturer, producer, or importer. Add  
the tax on each sale during the quarter and enter the total on  
the line for IRS No. 110.  
Electric outboard motors (IRS No. 42). The tax on an  
electric outboard motor is 3% of the sales price. The tax is  
paid by the manufacturer, producer, or importer. Add the tax  
on each sale during the quarter and enter the total on the line  
for IRS No. 42.  
Fishing tackle boxes (IRS No. 114). The tax on fishing  
tackle boxes is 3% of the sales price. The tax is paid by the  
manufacturer, producer, or importer. Add the tax on each sale  
during the quarter and enter the total on the line for IRS No.  
114.  
Specified health insurance policies. For issuers of  
specified health insurance policies, the fee for a policy year  
ending on or after October 1, 2022, but before October 1,  
2023, is $3.00 (line 133(b)) ($2.79 for a policy year ending on  
or after October 1, 2021, but before October 1, 2022  
(line 133(a)), multiplied by the average number of lives  
covered under the policy for that policy year. Generally,  
issuers of specified health insurance policies must use one of  
the following four alternative methods to determine the  
average number of lives covered under a policy for the policy  
year.  
1. The actual count method.  
2. The snapshot method.  
3. The member months method.  
4. The state form method.  
Applicable self-insured health plans. For plan sponsors  
of applicable self-insured health plans, the fee for a plan year  
ending on or after October 1, 2022, but before October 1,  
2023, is $3.00 (line 133(d)) ($2.79 for a policy year ending on  
or after October 1, 2021, but before October 1, 2022  
(line 133(c)), multiplied by the average number of lives  
covered under the plan for that plan year. Generally, plan  
sponsors of applicable self-insured health plans must use  
one of the following three alternative methods to determine  
Bows, quivers, broadheads, and points (IRS No. 44).  
The tax on bows is 11% of the sales price. The tax is paid by  
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Instructions for Form 720 (Rev. 12-2023)  
               
the manufacturer, producer, or importer. It applies to bows  
having a peak draw weight of 30 pounds or more. The tax is  
also imposed on the sale of any part or accessory suitable for  
inclusion in or attachment to a taxable bow and any quiver,  
broadhead, or point suitable for use with arrows described  
below. Add the tax on each sale during the quarter and enter  
the total on the line for IRS No. 44.  
Arrow shafts (IRS No. 106). The tax on arrow shafts is  
increased to $.59 per arrow shaft. The tax is paid by the  
manufacturer, producer, or importer of any arrow shaft  
(whether sold separately or incorporated as part of a finished  
or unfinished product) of a type used in the manufacture of  
any arrow which after its assembly meets either of the  
following conditions.  
The inland waterways fuel use tax applies at the rate  
listed on Form 720. This is in addition to all other  
taxes imposed on the sale or use of the fuel.  
!
CAUTION  
Leaking underground storage tank (LUST) tax on inland  
waterways fuel use (IRS No. 125). The LUST tax must be  
paid on any liquid fuel used on inland waterways that isn't  
subject to LUST tax under section 4041(d) or 4081. For  
example, gallons of Bunker C residual fuel oil must be  
reported under both IRS Nos. 64 and 125.  
Section 40 fuels (IRS No. 51). An excise tax is imposed  
(recaptured) if you claim the second generation biofuel  
producer credit and you don't use the fuel for the purposes  
described under Qualified Second Generation Biofuel  
Production in the Instructions for Form 6478, Biofuel  
Producer Credit. When recapturing, you must pay a tax on  
each gallon of second generation biofuel at the rate you used  
to figure the credit.  
It measures 18 inches or more in overall length.  
It measures less than 18 inches in overall length but is  
suitable for use with a taxable bow, described earlier.  
Exemption for certain wooden arrows. The tax doesn't  
apply to any shaft made of all natural wood with no  
laminations or artificial means of enhancing the spine of such  
shaft (whether sold separately or incorporated as part of a  
finished or unfinished product) and used in the manufacture  
of any arrow which after its assembly meets both of the  
following conditions.  
The tax rate for second generation biofuel is $1.01 per  
gallon. Fill in the number of gallons and the appropriate rate  
in the Rate column on the line for IRS No. 51.  
Biodiesel sold as, but not used as, fuel (IRS No. 117).  
You must pay a tax (recapture) on each gallon of biodiesel or  
renewable diesel on which a credit was claimed at the rate  
used to figure the credit if you:  
It measures 5/16 of an inch or less in diameter.  
It isn't suitable for use with a taxable bow, described  
Use it (including a mixture) other than as a fuel;  
Buy it at retail and use it to create a mixture;  
Separate it from a mixture; or  
earlier.  
Add the tax on each sale during the quarter and enter the  
total on the line for IRS No. 106.  
Use agri-biodiesel on which the small agri-biodiesel  
producer credit was claimed for a use not described under  
Qualified Agri-Biodiesel Production in the Instructions for  
Form 8864, Biodiesel, Renewable Diesel, or Sustainable  
Aviation Fuels Credit.  
Indoor Tanning Services Tax  
Indoor tanning services (IRS No. 140). The tax on indoor  
tanning service is 10% of the amount paid for that service.  
The tax is paid by the person paying for the indoor tanning  
service and is collected by the person receiving payment for  
the indoor tanning services.  
Who must file. The person receiving the payment for indoor  
tanning services (collector) must collect and remit the tax and  
file the return. If the tax isn't collected for any reason, the  
collector is liable for the tax.  
The tax is $1.00 per gallon of biodiesel, agri-biodiesel, and  
renewable diesel. An additional $.10 is added if the  
agri-biodiesel benefited from the small agri-biodiesel  
producer credit. Fill in the number of gallons and the  
appropriate rate in the Rate column on the line for IRS No.  
117. If more than one rate applies, leave the Rate column  
blank and attach a schedule showing the rates and number  
of gallons taxed at each rate.  
Definition of indoor tanning services. Indoor tanning  
service means a service employing any electronic product  
designed to incorporate one or more ultraviolet lamps and  
intended for the irradiation of an individual by ultraviolet  
radiation, with wavelengths in air between 200 and 400  
nanometers, to induce skin tanning. The term doesn't include  
phototherapy service performed by, and on the premises of, a  
licensed medical professional (such as a dermatologist,  
psychologist, or registered nurse). See Regulations section  
49.5000B-1 for more information and special rules for  
qualified physical fitness facilities, undesignated payment  
cards, and bundled payments.  
Floor Stocks Tax  
Ozone-depleting chemicals floor stocks tax (IRS No.  
20). Use Form 6627 to figure the liability for this tax. Enter  
the amount from Form 6627, Part IV, line 4, column (d), on  
the line for IRS No. 20. Attach Form 6627 to the Form 720  
that is due July 31 of each year.  
Excise Tax on Repurchase of Corporate Stock  
IRS No. 150. No regulations have been issued requiring the  
reporting, nor payment, of this tax. Don’t report a liability on  
the line for IRS No. 150 until further notice. See  
Enter the amount of indoor tanning services tax collected  
(or due for failing to collect the tax) for the quarter on the line  
for IRS No. 140.  
Sales of Designated Drugs During Statutory  
Periods  
Other Part II Taxes  
Inland waterways fuel use tax (IRS No. 64). If you are  
liable for the inland waterways fuel use tax, report the number  
of gallons subject to tax on the line for IRS No. 64. Certain  
fuels must also be reported under IRS No. 125 (discussed  
next).  
IRS No. 142. IRS No. 142. Section 5000D imposes an  
excise tax on the sale by the manufacturer, producer, or  
importer of any designated drug during a day that falls within  
a period described in section 5000D(b). Under proposed  
regulations, REG-11669-23, (also see Notice 2023-52), you’ll  
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Instructions for Form 720 (Rev. 12-2023)  
           
be required to report any section 5000D drug tax liability on  
your Form 720.  
Additional Deposit of Taxes in September 2023  
For the period  
These proposed regulations, once adopted as final  
regulations in a Treasury Decision (TD) published in the  
Federal Register, will apply to calendar quarters beginning on  
or after October 1, 2023. You may rely on these proposed  
regulations for your returns beginning on October 1, 2023  
(4th quarter), and before the date the TD is published.  
Since the TD may not be published timely by the January  
31, 2024, due date of your 4th quarter return, you may be  
required to file Form 720-X, Amended Quarterly Federal  
Excise Tax Return, once the TD is published to report  
revisions to your originally reported section 5000D liability.  
Type of Tax  
Beginning on  
Ending on  
Due Date  
Regular  
method taxes  
Alternative  
Sept. 16  
Sept. 26  
Sept. 29  
method taxes  
(IRS Nos. 22,  
26, 27, and 28)  
(based on  
Sept. 1  
Sept. 11  
Sept. 29  
amounts billed)  
Using the regular method: For the remaining days in  
September (27–30), make your deposits by the 14th  
day of October. Using the alternative method: For the  
Part III  
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CAUTION  
Line 4. Report on Form 720, line 4, the total claims from  
Schedule C, line 15. See Schedule C. Claims, later.  
remaining days in September (12–30), please see Pub. 509  
for deposit dates.  
Line 6. Include on line 6 the amount from line 11 of your  
previous return that you applied to this return and the amount  
from Form 720-X, line 5b.  
How To Make Deposits  
To avoid a penalty, make your deposits timely and don't mail  
your deposits directly to the IRS. Records of your deposits  
will be sent to the IRS for crediting to your accounts.  
Note. Include on line 6 of your next return the amount from  
line 11 you want to have applied to that return.  
Electronic deposit requirement. You must deposit all  
depository taxes (such as excise tax, employment tax, or  
corporate income tax) by electronic funds transfer.  
Depositing on time. For EFTPS deposits to be on time,  
you must initiate the transaction at least 1 day before the date  
the deposit is due (before 8:00 p.m. Eastern time).  
If a deposit is due on a day that isn't a business day or  
legal holiday, see When To Make Deposits, later. The term  
“legal holiday” means any legal holiday in the District of  
Columbia.  
If you owe other federal tax, interest, or penalty, the  
overpayment on line 11 and line 7 will first be applied  
!
CAUTION  
to the unpaid amounts.  
Line 10. If line 3 is more than line 9, enter the difference on  
line 10. You don't have to pay if line 10 is under $1.00.  
You may pay the amount shown on line 10 by EFTPS,  
check or money order, or, if filing electronically, electronic  
funds withdrawal (direct debit). If you pay by EFTPS or direct  
debit, don't file Form 720-V.  
If you don't deposit as required and, instead, pay the  
Same-day wire payment option. If you fail to submit a  
deposit transaction on EFTPS by 8:00 p.m. Eastern time the  
day before the date a deposit is due, you can still make your  
deposit on time by using the Federal Tax Collection Service  
(FTCS). To use the same-day wire payment method, you will  
need to make arrangements with your financial institution  
ahead of time. Please check with your financial institution  
regarding availability, deadlines, and costs. Your financial  
institution may charge you a fee for payments made this way.  
To learn more about the information you will need to provide  
your financial institution to make a same-day wire payment,  
taxes with Form 720, you may be subject to a penalty.  
!
CAUTION  
Payment of Taxes  
Generally, semimonthly deposits of excise taxes are required.  
A semimonthly period is the first 15 days of a month (the  
first semimonthly period) or the 16th through the last day of a  
month (the second semimonthly period).  
However, no deposit is required for the situations listed  
below. The taxes are payable with the return.  
The net liability for taxes listed on Form 720, Part I, doesn't  
You will automatically be enrolled in EFTPS when you  
exceed $2,500 for the quarter.  
The gas guzzler tax is being paid on a one-time filing. See  
apply for an EIN. You will receive a separate mailing  
containing instructions for activating your EFTPS  
TIP  
Gas guzzler tax (IRS No. 40), earlier.  
enrollment after you receive your EIN.  
The PCOR fee is being paid with a second quarter Form  
(IRS No. 133), earlier.  
When To Make Deposits  
There are two methods for determining deposits: the regular  
method and the alternative method.  
The liability is for taxes listed on Form 720, Part II, except  
the floor stocks tax, which generally requires a single deposit.  
Special rule for deposits of taxes in September 2023. If  
you are required to make deposits, see the chart below. The  
special rule doesn't apply to taxes not required to be  
deposited (see Payment of Taxes, earlier). See Regulations  
sections 40.6302(c)-2 and 40.6302(c)-3 for rules to figure the  
net tax liability for the deposits due in September.  
The regular method applies to all taxes on Form 720, Part  
I, except for communications and air transportation taxes if  
deposits are based on amounts billed or tickets sold, rather  
than on amounts actually collected. See Alternative method  
If you are depositing more than one tax under a method,  
combine all the taxes under the method and make one  
deposit for the semimonthly period.  
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Instructions for Form 720 (Rev. 12-2023)  
         
Safe Harbor Rule  
Regular method. The deposit of tax for a semimonthly  
period is due by the 14th day following that period. Generally,  
this is the 29th day of a month for the first semimonthly period  
and the 14th day of the following month for the second  
semimonthly period. If the 14th or the 29th day falls on a  
Saturday, Sunday, or legal holiday, you must make the  
deposit by the immediately preceding day that isn't a  
Saturday, Sunday, or legal holiday.  
Alternative method (IRS Nos. 22, 26, 27, and 28).  
Deposits of communications and air transportation taxes may  
be based on taxes included in amounts billed or tickets sold  
during a semimonthly period instead of on taxes actually  
collected during the period. Under the alternative method, the  
tax included in amounts billed or tickets sold during a  
semimonthly period is considered collected during the first 7  
days of the second following semimonthly period. The  
deposit of tax is due by the third business day after the  
seventh day of that period.  
The safe harbor rule applies separately to deposits under the  
regular method and the alternative method. Persons who  
filed Form 720 for the lookback quarter (the second calendar  
quarter preceding the current quarter) are considered to  
meet the semimonthly deposit requirement if the deposit for  
each semimonthly period in the current quarter is at least 1/6  
(16.67%) of the net tax liability reported for the lookback  
quarter.  
For the semimonthly period for which the additional  
deposit is required (September 1–11 and 16–26), the  
additional deposit must be at least 11/90 (12.23%) of the net  
tax liability reported for the lookback quarter. Also, the total  
deposit for that semimonthly period must be at least 1/6  
(16.67%) of the net tax liability reported for the lookback  
quarter.  
Exceptions. The safe harbor rule doesn't apply to the  
following quarters.  
Example. The tax included in amounts billed or tickets  
sold for the period June 16–30, 2023, is considered collected  
from July 16–22, 2023, and must be deposited by July 26,  
2023.  
The first and second quarters beginning on or after the  
effective date of an increase in the rate of tax unless the  
deposit of taxes for each semimonthly period in the calendar  
quarter is at least 1/6 (16.67%) of the tax liability you would  
have had for the lookback quarter if the increased rate of tax  
had been in effect for that lookback quarter.  
To use the alternative method, you must keep separate  
accounts of the tax included in amounts billed or tickets sold  
during the month and report on Form 720 the tax included in  
amounts billed or tickets sold and not the amount of tax that  
is actually collected. For example, amounts billed in  
Any quarter if liability includes any tax not in effect  
throughout the lookback quarter.  
December, January, and February are considered collected  
during January, February, and March and are reported on  
Form 720 as the tax for the first quarter of the calendar year.  
For deposits under the alternative method, any quarter if  
liability includes any tax not in effect throughout the lookback  
quarter and the month preceding the lookback quarter.  
The separate account for each month must reflect:  
Requirements to be met. For the safe harbor rule to apply,  
you must pay any underpayment for the current quarter by  
the due date of the return and check the box on line 5 of Form  
720.  
1. All items of tax included in amounts billed or tickets  
sold during the month, and  
2. Other items of adjustment relating to tax for prior  
months (within the statute of limitations on credits or refunds).  
The IRS may withdraw the right to make deposits of  
tax using the safe harbor rule from any person not  
!
The separate account for any month can't include an  
adjustment resulting from a refusal to pay or inability to  
collect unless the refusal has been reported to the IRS. See  
Tax Report, earlier.  
CAUTION  
complying with these rules.  
Online Payment Agreement  
If you can't pay the full amount of tax owed, you can apply for  
an installment agreement online. You can apply for an  
installment agreement online if the total amount you owe in  
combined tax, penalties, and interest is $25,000 ($50,000 for  
individuals) or less, and you've filed all required returns. To  
apply using the Online Payment Agreement Application, go to  
The net tax liability that is considered collected during the  
semimonthly period must be either:  
The net amount of tax reflected in the separate account for  
the corresponding semimonthly period of the preceding  
month, or  
One-half of the net amount of tax reflected in the separate  
account for the preceding month.  
Schedule A. Excise Tax Liability  
How to complete. Complete Schedule A to record net tax  
liabilities for Form 720, Part I, taxes for each semimonthly  
period in a quarter even if your net liability is under $2,500.  
Amount To Deposit  
Deposits of taxes for a semimonthly period must be at least  
95% of the amount of net tax liability for that period, unless  
the safe harbor rule applies. See Safe Harbor Rule, later.  
The following table will help you determine which boxes to  
The net tax liability for a semimonthly period is the total  
liability for the period minus any claims allowed on  
complete on Schedule A.  
Schedule C for the period. Net tax liability for a semimonthly  
period may be figured by dividing the net tax liability for the  
month by 2, provided this method of computation is used for  
all semimonthly periods in the calendar quarter.  
IF you are reporting  
under the...  
THEN you report  
on line...  
AND enter the net  
tax liability in  
boxes...  
regular method  
alternative method  
1
2
A–G.  
M–S.  
The net tax liability for a semimonthly period isn't  
reduced by any amounts from Form 720-X.  
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CAUTION  
If you are reporting more than one type of tax on  
lines 1 and 2:  
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Instructions for Form 720 (Rev. 12-2023)  
       
1. Add the net tax liability for each tax for each  
semimonthly period, and  
Schedule C. Claims  
2. Enter the total in the applicable box.  
Complete all information requested for each line, including  
Month your income tax year ends and Period of claim. Enter  
the month as “MM.Enter the period of claim as “MM/DD/  
YYYY – MM/DD/YYYY.” Your claim will be disallowed if you  
don't follow the required procedures or don't provide all the  
required information. Also, you are certifying to the applicable  
statement(s) on Schedule C when you make a claim. See  
Pub. 510 for more information.  
Additional rules. Report communications and air  
transportation taxes based on:  
Actual collections on line 1, or  
Amounts billed or tickets sold on line 2. The amount of tax  
to report for a semimonthly period is the net amount that is  
considered collected during that period.  
Example. Under the alternative method, the amounts  
billed for communications services from June 1–15, 2023,  
are considered collected during the period July 1–7, 2023,  
and are reported for the third quarter of 2023 on Schedule A  
in box M, not the first quarter of 2023.  
You must include in gross income (income tax return)  
the amount from line 4 of Form 720 if you took a  
!
CAUTION  
deduction on the income tax return that included the  
amount of the taxes and that deduction reduced the income  
tax liability. See Pub. 510 for more information.  
Reporting tax liability under the special September rule.  
An additional reporting is required under the special  
September rule as follows.  
Don't use Schedule C:  
If you aren't reporting a liability on Form 720, Part I or Part  
II;  
Regular method taxes  
Enter the liability for the period beginning  
September 26/27 and ending September 30  
in box F.  
For amounts you will claim or have claimed on Form 4136,  
Credit for Federal Tax Paid on Fuels, or as a refund on Form  
8849, Claim for Refund of Excise Taxes, and its separate  
schedules;  
Alternative method taxes  
Enter the tax included in the amounts billed  
or tickets sold for the period beginning  
September 11/12 and ending September 15  
in box M of the fourth quarter return. Enter  
the tax included in amounts billed or tickets  
sold during the period beginning September  
16 and ending September 30 in box N of the  
fourth quarter return.  
To make adjustments to liability reported on Forms 720  
filed for prior quarters (instead, use Form 720-X);  
If you are seeking a refund of the surtax on any liquid used  
in a fractional ownership program aircraft as fuel (IRS No. 13)  
(instead, use Form 720-X); or  
To request an abatement or refund of interest under  
section 6404(e) (due to IRS errors or delays) or an  
abatement or refund of a penalty or addition to tax under  
section 6404(f) (due to erroneous IRS written advice).  
Instead, use Form 843, Claim for Refund and Request for  
Abatement. Also, use Form 843 to request a refund of the  
penalty under section 6715 for misuse of dyed fuel.  
Schedule T. Two-Party Exchange  
Information Reporting  
In a two-party exchange, the receiving person, not the  
delivering person, is liable for the tax imposed on the removal  
of taxable fuel from the terminal at the terminal rack. A  
two-party exchange means a transaction (other than a sale)  
where the delivering person and receiving person are both  
taxable fuel registrants and all of the following occur.  
Type of Use Table  
The following table lists the nontaxable uses of fuels. You  
must enter the number from the table in the Type of use  
column as required.  
The transaction includes a transfer from the delivering  
person, who holds the inventory position for the taxable fuel  
in the terminal as reflected in the records of the terminal  
operator.  
The exchange transaction occurs before or at the same  
time as completion of removal across the rack by the  
receiving person.  
The terminal operator in its records treats the receiving  
person as the person that removes the product across the  
terminal rack for purposes of reporting the transaction on  
Form 720-TO, Terminal Operator Report.  
The transaction is the subject of a written contract.  
Information reporting. Schedule T is used to report gallons  
of taxable fuel:  
Received in a two-party exchange within a terminal—these  
gallons must also be included on the appropriate line on  
Form 720, page 1; or  
Delivered in a two-party exchange with a removal across  
the rack.  
Enter all gallons of fuel received or delivered in a two-party  
exchange within a terminal for the applicable fuel.  
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Instructions for Form 720 (Rev. 12-2023)  
   
A certificate of lading signed by a customs officer of the  
No.  
Type of use  
On a farm for farming purposes  
foreign country to which the fuel is exported, or  
1
2
A statement of the foreign consignee showing receipt of  
the fuel.  
Off-highway business use (for business use other than in a  
highway vehicle registered or required to be registered for  
highway use) (other than use in mobile machinery)  
Line 1. Nontaxable Use of Gasoline  
3
4
5
6
7
Export  
Allowable uses. The gasoline must have been used during  
In a boat engaged in commercial fishing  
In certain intercity and local buses  
In a qualified local bus  
the period of claim for type of use 2, 4, 5, 7, or 12. For  
exported gasoline, see Exported taxable fuel, earlier. Type of  
use 2 doesn't include any personal use or use in a motorboat.  
In a bus transporting students and employees of schools  
(school buses)  
Line 2. Nontaxable Use of Aviation Gasoline  
Allowable uses. For line 2b, the aviation gasoline must have  
been used during the period of claim for type of use 9, 10, or  
16. For exported aviation gasoline, see Exported taxable fuel,  
earlier.  
8
For diesel and kerosene (other than kerosene used in  
aviation) used other than as a fuel in the propulsion engine  
of a train or diesel-powered highway vehicle (but not  
off-highway business use)  
For line 2d, the aviation gasoline must have been used  
during the period of claim for type of use 9. This claim is  
made in addition to the claim made on line 2b for type of  
use 9.  
9
In foreign trade  
10  
11  
12  
Certain helicopter and fixed-wing aircraft uses  
Exclusive use by a qualified blood collector organization  
In a highway vehicle owned by the United States that isn't  
used on a highway  
Line 3. Nontaxable Use of Undyed Diesel  
13  
14  
Exclusive use by a nonprofit educational organization  
Ultimate purchasers use line 3d to make claims for  
diesel used on a farm for farming purposes.  
Exclusive use by a state, political subdivision of a state, or  
the District of Columbia  
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CAUTION  
15  
16  
In an aircraft or vehicle owned by an aircraft museum  
In military aircraft  
Allowable uses. For line 3a, the diesel must have been  
used during the period of claim for type of use 2, 6, 7, 8, or  
12. For exported undyed diesel, see Exported taxable fuel,  
earlier. Type of use 2 doesn't include any personal use or use  
in a motorboat. Type of use 8 includes use as heating oil and  
use in a motorboat.  
Claim requirements for lines 1–6 and lines 14b–14d.  
The following requirements must be met.  
Line 4. Nontaxable Use of Undyed Kerosene  
(Other Than Kerosene Used in Aviation)  
Allowable uses. For line 4a, the kerosene must have been  
used during the period of claim for type of use 2, 6, 7, 8, or  
12. For exported undyed kerosene, see Exported taxable  
fuel, earlier. Type of use 2 doesn't include any personal use  
or use in a motorboat. Type of use 8 includes use as heating  
oil and use in a motorboat.  
1. The amount of the claim must be at least $750  
(combining amounts on lines 1, 2, 3, 4, 5, 6, 14b, 14c, and  
14d). This amount may be met by:  
a. Making a claim for fuel used during any quarter of a  
claimant's income tax year, or  
b. Aggregating amounts from any quarters of the  
claimant's income tax year for which no other claim has been  
made.  
2. Claims must be filed during the first quarter following  
the last quarter of the claimant's income tax year included in  
the claim. For example, a calendar year income taxpayer's  
claim for the first quarter is due June 30 if filed on Form 8849.  
However, Form 720 must be filed by April 30.  
For lines 4e and 4f, the kerosene must have been used  
during the period of claim for type of use 2.  
Line 5. Kerosene Used in Aviation  
Claimant. For lines 5a and 5b, the ultimate purchaser of  
kerosene used in commercial aviation (other than foreign  
trade) is eligible to make this claim. For lines 5c, 5d, and 5e,  
the ultimate purchaser of kerosene used in noncommercial  
aviation (except for nonexempt, noncommercial aviation and  
exclusive use by a state, political subdivision of a state, or the  
District of Columbia) is eligible to make this claim. Claimant  
certifies that the right to make the claim hasn't been waived.  
Allowable uses. For lines 5a and 5b, the kerosene must  
have been used during the period of claim in commercial  
aviation. If the claimant buys kerosene partly for use in  
commercial aviation and partly for use in noncommercial  
aviation, see the rules in Notice 2005-80, section 3(e)(3).  
3. Only one claim may be filed for any quarter.  
4. The fuel must have been used for a nontaxable use  
during the period of claim.  
5. The ultimate purchaser is the only person eligible to  
make the claim.  
If requirements 1–3 above aren't met, see Annual Claims,  
later.  
Exported taxable fuel. The claim rates for exported  
taxable fuel are listed on lines 1b, 2c, 3e, and 4d, and in the  
instructions for lines 14b and 14c. Taxpayers making a claim  
for exported taxable fuel must include with their records proof  
of exportation. Proof of exportation includes:  
For lines 5c and 5d, the kerosene must have been used  
during the period of claim for type of use 1, 9, 10, 11, 13, 15,  
or 16.  
A copy of the export bill of lading issued by the delivering  
carrier,  
A certificate by the agent or representative of the export  
For line 5e, the kerosene must have been used during the  
carrier showing actual exportation of the fuel,  
period of claim for type of use 9. This claim is made in  
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Instructions for Form 720 (Rev. 12-2023)  
   
addition to the claim made on lines 5c and 5d for type of use  
9.  
2. The amount of the claim must be at least $200. To  
meet this minimum requirement, amounts from lines 7, 8, and  
9 may be combined.  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for the first quarter is due June 30 if  
filed on Form 8849. However, Form 720 must be filed by April  
30.  
Line 6. Nontaxable Use of Alternative Fuel  
Claimant. The ultimate purchaser of the taxed alternative  
fuel is the only person eligible to make this claim.  
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,  
13, 14, or 15.  
Type of use 5. Enter “Bus” in the space to the left of the  
Type of use column. Enter the correct claim rate in the Rate  
column. The claim rates for type of use 5 are listed below.  
If requirements 1–3 above aren't met, see Annual Claims,  
later.  
Registration number. Enter your UV registration number in  
the space provided.  
Line number  
Claim rate: Type of use 5  
Information to be submitted. For claims on line 7a, attach  
a separate sheet with the name and TIN of each  
governmental unit to whom the diesel was sold and the  
number of gallons sold to each.  
6a  
6b  
6c  
6d  
6e  
6f  
$.109*  
.110  
.109**  
.110  
Line 7b. Sales by Registered Ultimate Vendors  
of Undyed Diesel for Use in Certain Intercity and  
Local Buses  
.17  
.17  
6g  
6h  
.169***  
.110  
Claimant. For line 7b, the registered ultimate vendor of the  
diesel is eligible to make a claim only if the buyer waives their  
right to make the claim by providing the registered ultimate  
vendor with an unexpired waiver. See Model Waiver N in Pub.  
510. Only one claim may be filed for any gallon of diesel.  
* This is the claim rate per GGE (5.75 pounds or 1.353 gallons of LPG).  
** This is the claim rate per GGE (5.66 pounds or 123.57 cubic feet of CNG).  
*** This is the claim rate per DGE (6.06 pounds or 1.71 gallons of LNG).  
Claim requirements. The following requirements must be  
met.  
Type of use 5 example. 10,000 gallons of LPG ÷ 1.353 =  
1. The claim must be for diesel sold during a period that  
is at least 1 week. This requirement will generally be met for  
quarterly claims filed on Form 720.  
2. The amount of the claim must be at least $200. To  
meet this minimum requirement, amounts from lines 7, 8, and  
9 may be combined.  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for the first quarter is due June 30 if  
filed on Form 8849. However, Form 720 must be filed by April  
30.  
7,391 GGE x $.109 = $805.62 claim amount.  
Information for Claims on Lines 7–11  
Registration number. To make an ultimate vendor claim on  
lines 7–11, you must be registered. Enter your registration  
number, including the prefix (for prefixes, see the instructions  
for Form 637, Application for Registration), on the applicable  
line for your claim. If you aren't registered, use Form 637 to  
apply for a registration number.  
Required certificates or waivers. The required certificates  
or waivers for lines 7–11 are listed in the line instructions and  
are available in Pub. 510.  
If requirements 1–3 above aren't met, see Annual Claims,  
later.  
Line 7a. Sales by Registered Ultimate Vendors  
of Undyed Diesel  
Claimant. For line 7a, the registered ultimate vendor of the  
diesel is the only person eligible to make this claim and has  
obtained the required certificate from the buyer and has no  
reason to believe any information in the certificate is false.  
See Model Certificate P in Pub. 510. Only one claim may be  
filed for any gallon of diesel.  
Allowable sales. The fuel must have been sold during the  
period of claim for the exclusive use by a state or local  
government (including essential government use by an Indian  
tribal government).  
Registration number. Enter your UB registration number in  
the space provided.  
Lines 8a and 8b. Sales by Registered Ultimate  
Vendors of Undyed Kerosene (Other Than  
Kerosene Sold for Use in Aviation)  
Claimant. For line 8a, the registered ultimate vendor of the  
kerosene is the only person eligible to make this claim and  
has obtained the required certificate from the buyer and has  
no reason to believe any information in the certificate is false.  
See Model Certificate P in Pub. 510. For line 8b, claimant has  
a statement, if required, that contains the date of sale, the  
name and address of the buyer, and the number of gallons of  
kerosene sold to the buyer. For lines 8a and 8b, only one  
claim may be filed for any gallon of kerosene.  
Claim requirements. The following requirements must be  
met.  
1. The claim must be for diesel sold during a period that  
is at least 1 week. This requirement will generally be met for  
quarterly claims filed on Form 720.  
Allowable sales. The fuel must have been sold during the  
period of claim:  
-15-  
Instructions for Form 720 (Rev. 12-2023)  
For line 8a, use by a state or local government (including  
claim only if the buyer waives their right by providing the  
registered ultimate vendor with an unexpired waiver. See  
Model Waiver L in Pub. 510. Only one claim may be filed for  
any gallon of kerosene sold for use in commercial aviation.  
Allowable sales. The kerosene sold for use in commercial  
aviation must have been sold during the period of claim for  
use in commercial aviation (other than foreign trade).  
essential government use by an Indian tribal government); or  
For line 8b, from a blocked pump.  
Claim requirements. The following requirements must be  
met.  
1. The claim must be for kerosene sold during a period  
that is at least 1 week. This requirement will generally be met  
for quarterly claims filed on Form 720.  
2. The amount of the claim must be at least $100. To  
meet this minimum, amounts from lines 8 and 9 may be  
combined.  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for the first quarter is due June 30 if  
filed on Form 8849. However, Form 720 must be filed by April  
30.  
Claim requirements. The following requirements must be  
met.  
1. The claim must be for kerosene sold for use in  
commercial aviation during a period that is at least 1 week.  
This requirement will generally be met for quarterly claims  
filed on Form 720.  
2. The amount of the claim must be at least $100. To  
meet this minimum, amounts from lines 8 and 9 may be  
combined.  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for the first quarter is due June 30 if  
filed on Form 8849. However, Form 720 must be filed by April  
30.  
If requirements 1–3 above aren't met, see Annual Claims,  
later.  
Registration number. Enter your UV or UP registration  
number in the space provided.  
Information to be submitted. For claims on line 8a, attach  
a separate sheet with the name and TIN of each  
governmental unit to whom the kerosene was sold and the  
number of gallons sold to each.  
If requirements 1–3 above aren't met, see Annual Claims,  
later.  
Registration number. Enter your UA registration number in  
the space provided.  
Line 8c. Sales by Registered Ultimate Vendors  
of Undyed Kerosene for Use in Certain Intercity  
and Local Buses  
Claimant. For line 8c, the registered ultimate vendor of the  
kerosene is eligible to make a claim only if the buyer waives  
their right to make the claim by providing the registered  
ultimate vendor with an unexpired waiver. See Model Waiver  
N in Pub. 510. Only one claim may be filed for any gallon of  
kerosene.  
Lines 9c, 9d, 9e, and 9f. Sales by Registered  
Ultimate Vendors of Kerosene Sold for Use in  
Noncommercial Aviation  
Claimant. For line 9c, the registered ultimate vendor of the  
kerosene sold for use in nonexempt, noncommercial aviation  
is the only person eligible to make this claim, and the  
registered ultimate vendor has obtained the required  
certificate from the ultimate purchaser. See Model Certificate  
Q in Pub. 510. For lines 9d, 9e, and 9f, the registered ultimate  
vendor of the kerosene sold for nontaxable use in  
Claim requirements. The following requirements must be  
met.  
noncommercial aviation (foreign trade for line 9f) is eligible to  
make this claim only if the buyer waives their right to make  
the claim by providing the registered ultimate vendor with an  
unexpired waiver. See Model Waiver L in Pub. 510. For type  
of use 14, see Model Certificate P in Pub. 510. Only one  
claim may be filed for any gallon of kerosene sold for use in  
noncommercial aviation.  
1. The claim must be for kerosene sold during a period  
that is at least 1 week. This requirement will generally be met  
for quarterly claims filed on Form 720.  
2. The amount of the claim must be at least $100. To  
meet this minimum, amounts from lines 8 and 9 may be  
combined.  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for the first quarter is due June 30 if  
filed on Form 8849. However, Form 720 must be filed by April  
30.  
Allowable sales. For line 9c, the kerosene must have been  
sold for a nonexempt use in noncommercial aviation. For  
lines 9d and 9e, the kerosene sold for use in noncommercial  
aviation must have been sold during the period of claim for  
type of use 1, 9, 10, 11, 13, 14, 15, or 16.  
For line 9f, the kerosene sold for use in noncommercial  
aviation must have been sold during the period of claim for  
type of use 9. This claim is made in addition to the claim  
made on lines 9d and 9e for type of use 9.  
If requirements 1–3 above aren't met, see Annual Claims,  
later.  
Registration number. Enter your UB registration number in  
Claim requirements. The following requirements must be  
the space provided.  
met.  
Lines 9a and 9b. Sales by Registered Ultimate  
Vendors of Kerosene for Use in Commercial  
Aviation (Other Than Foreign Trade)  
1. The claim must be for kerosene sold for use in  
noncommercial aviation during a period that is at least 1  
week. This requirement will generally be met for quarterly  
claims filed on Form 720.  
Claimant. The registered ultimate vendor of the kerosene  
sold for use in commercial aviation is eligible to make this  
-16-  
Instructions for Form 720 (Rev. 12-2023)  
2. The amount of the claim must be at least $100. To  
meet this minimum, amounts from lines 8 and 9 may be  
combined.  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for the first quarter is due June 30 if  
filed on Form 8849. However, Form 720 must be filed by April  
30.  
make this claim. The credit is based on the gallons of  
biodiesel or renewable diesel in the mixture.  
How to claim the credit. Any biodiesel or renewable diesel  
mixture credit must first be claimed on Form 720,  
Schedule C, to reduce your taxable fuel liability reported on  
Form 720. Any excess credit may be claimed on Form 720,  
Schedule C; Schedule 3 (Form 8849); Form 4136; or Form  
8864. See Notice 2005-4 and item 4 below for more  
information. Only one credit may be taken for each amount of  
biodiesel or renewable diesel. If you claimed (or will claim) an  
amount of biodiesel or renewable diesel on Form 8864, Form  
8849, or Form 4136 for a credit or payment, then you can't  
make a claim on Form 720 for that same amount of biodiesel  
or renewable diesel.  
If requirements 1–3 above aren't met, see Annual Claims,  
later.  
Registration number. Enter your UA (UV if type of use 14)  
registration number in the space provided.  
The biodiesel mixture credit may not be claimed for  
biodiesel produced outside the United States for use as a  
fuel outside the United States. The United States includes  
any territory of the United States. Requirements 1 and 2 must  
be met only if the credit exceeds the amount of taxable fuel  
liability reported. If requirements 1 and 2 below are not met,  
see Annual Claims, later. Requirements 3 and 4 below must  
be met for all claims.  
1. The claim must be for a biodiesel or renewable diesel  
mixture sold or used during a period that is at least 1 week.  
This requirement will generally be met for quarterly claims  
filed on Form 720.  
Information to be submitted. For claims on lines 9d and  
9e (type of use 14), attach a separate sheet with the name  
and TIN of each governmental unit to whom the kerosene  
was sold and the number of gallons sold to each.  
Lines 10 and 11. Sales by Registered Ultimate  
Vendors of Gasoline and Aviation Gasoline  
Claimant. The registered ultimate vendor of the gasoline or  
aviation gasoline is eligible to make a claim on lines 10 and  
11 if the buyer waives their right to make the claim by  
providing the registered ultimate vendor with an unexpired  
certificate. See Model Certificate M in Pub. 510. Only one  
claim may be filed for any gallon of gasoline or aviation  
gasoline.  
2. The amount of the claim must be at least $200. To  
meet this minimum, amounts from lines 12 and 13 may be  
combined.  
Allowable sales. The gasoline or aviation gasoline must  
3. The biodiesel used to produce the biodiesel mixture  
must meet ASTM D6751 and meet the EPA’s registration  
requirements for fuels and fuel additives under section 211 of  
the Clean Air Act. The renewable diesel used to produce the  
renewable diesel mixture must be derived from biomass,  
meet ASTM D975, D396, or other equivalent standard  
approved by the IRS, and meet the EPA’s registration  
requirements for fuels and fuel additives under section 211 of  
the Clean Air Act.  
4. The Certificate for Biodiesel and, if applicable,  
Statement of Biodiesel Reseller must be attached to the first  
claim filed that is supported by the certificate or statement.  
For the renewable diesel mixture credit, you must edit the  
certificate and, if applicable, statement to indicate that the  
fuel to which the certificate and statement relate is renewable  
diesel and state that the renewable diesel meets the  
requirements discussed above under requirement 3. See  
Model Certificate O and Model Statement S in Pub. 510. If  
the certificate and statement aren’t attached to Form 720  
because they’re attached to a previously filed claim on  
Schedule 3 (Form 8849), attach a separate statement with  
the following information.  
have been sold during the period of claim for:  
Use by a nonprofit educational organization, or  
Use by a state or local government (including essential  
government use by an Indian tribal government).  
Claim requirements. The following requirements must be  
met.  
1. The claim must be for gasoline or aviation gasoline  
sold or used during a period that is at least 1 week. This  
requirement will generally be met for quarterly claims filed on  
Form 720.  
2. The amount of the claim must be at least $200. To  
meet this minimum, amounts from lines 10 and 11 may be  
combined.  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for January and February is due  
June 30 if filed on Form 8849. However, Form 720 must be  
filed by April 30.  
Registration number. Enter your UV registration number in  
the space provided.  
a. Certificate identification number.  
b. Total gallons of biodiesel or renewable diesel on  
Information to be submitted. For claims on lines 10 and  
11, attach a separate sheet with the name and TIN of each  
nonprofit educational organization or governmental unit to  
whom the gasoline or aviation gasoline was sold and the  
number of gallons sold to each.  
certificate.  
c. Total gallons claimed on Schedule 3 (Form 8849).  
d. Total gallons claimed on Form 720, Schedule C,  
line 12.  
e. Total gallons claimed on Form 8864.  
Line 12 a–c. Biodiesel or Renewable Diesel  
Mixtures  
Registration number. If you are a registered blender or a  
taxable fuel registrant, enter your registration number on  
line 12.  
Claimant. The person that produced and sold or used the  
mixture in their trade or business is the only person eligible to  
-17-  
Instructions for Form 720 (Rev. 12-2023)  
a. Certificate identification number.  
Line 12d. Sustainable Aviation Fuel (SAF) Credit  
b. Total gallons of SAF synthetic blending component, on  
Claimant. The person that produced and sold or used a  
qualified mixture (a mixture of SAF and kerosene) is the only  
person eligible to make this claim. The credit is based on the  
gallons of SAF in the qualified mixture. Any SAF mixture  
credit must first be claimed on Form 720, Schedule C, to  
reduce your taxable fuel liability reported on Form 720. Any  
excess credit must be claimed on Form 720, Schedule C;  
Schedule 3 (Form 8849); Form 4136; or Form 8864. See item  
4 below for more information.  
How to claim the credit. Only one credit may be taken for  
each amount of SAF. If a person claimed (or will claim) an  
amount of SAF on Form 8864, Form 8849, or Form 4136 for a  
credit or payment, then a claim can't be made on Form 720  
for that same amount of SAF. The qualified mixture must be  
used (or sold, in the ordinary course of a trade or business,  
for use) in an aircraft.  
The SAF credit can't be claimed for qualified mixtures  
produced outside the United States or if the transfer of such  
mixture to the fuel tank of an aircraft occurs outside the  
United States. Requirements 1 and 2 below must be met only  
if the credit exceeds the amount of taxable fuel liability  
reported. If requirements 1 and 2 below are not met, see  
Annual Claims, later. Requirements 3 and 4 below must be  
met for all claims.  
1. The claim must be for a qualified mixture sold or used  
during a period that is at least 1 week. This requirement will  
generally be met for quarterly claims filed on Form 720.  
2. The amount of the claim must be at least $200. To  
meet this minimum, amounts from lines 12 and 13 may be  
combined.  
3. The SAF used to produce the qualified mixture is the  
portion of liquid fuel that is not kerosene that (i) either (A)  
meets the specifications of one of the ASTM D7566 Annexes,  
or (B) meets the specifications of ASTM D1655 Annex A1; (ii)  
is not derived from coprocessing an applicable material (or  
materials derived from an applicable material) with a  
feedstock that is not biomass; (iii) is not derived from palm  
fatty acid distillates or petroleum; and (iv) has been certified  
in accordance with section 40B(e) as having a lifecycle  
greenhouse gas emissions reduction percentage of at least  
50%. Applicable material means monoglycerides,  
the certificate.  
c. Total gallons claimed on Schedule 3 (Form 8849).  
d. Total gallons claimed on Form 4136.  
e. Total gallons claimed on Form 8864.  
5. Enter the number of gallons and the appropriate rate in  
the Rate column on the line 12d. If more than one rate  
applies, leave the Rate column blank and attach a schedule  
showing the rates and number of gallons claimed at each  
rate. Enter the claim amount on line 12d.  
Registration number. If you're a registered blender or a  
taxable fuel registrant, enter your registration number on  
line 12.  
Line 13. Alternative Fuel Credit and Alternative  
Fuel Mixture Credit  
Claimant. For the alternative fuel credit, the registered  
alternative fueler who (1) sold an alternative fuel at retail and  
delivered it into the fuel supply tank of a motor vehicle or  
motorboat; (2) sold an alternative fuel, delivered it in bulk for  
taxable use in a motor vehicle or motorboat, and received the  
required statement from the buyer; (3) used an alternative  
fuel (not sold at retail or in bulk as previously described) in a  
motor vehicle or motorboat; or (4) sold an alternative fuel for  
use as a fuel in aviation, or used the alternative fuel in  
aviation, is the only person eligible to make this claim.  
For the alternative fuel mixture credit, the registered  
alternative fueler that produced and sold or used the mixture  
as a fuel in their trade or business is the only person eligible  
to make this claim. The credit is based on the gallons of  
alternative fuel in the mixture.  
Carbon capture requirement. A credit for Fischer-Tropsch  
process liquid fuel from coal (including peat) can be claimed  
only if the fuel is from coal produced at a gasification facility  
that separates and sequesters at least 75% of the facility's  
total carbon dioxide emissions.  
How to claim the credit. Any alternative fuel credit must  
first be claimed on Form 720, Schedule C, to reduce your  
section 4041 taxable fuel liability for alternative fuel and CNG  
reported on Form 720. Any excess credit may be claimed on  
Form 720, Schedule C; Schedule 3 (Form 8849); or Form  
4136.  
diglycerides, and triglycerides; free fatty acids; and fatty acid  
esters. Lifecycle greenhouse gas emissions reduction  
percentage means the percentage reduction in lifecycle  
greenhouse gas emissions achieved by such fuel as  
compared with petroleum-based jet fuel, as defined in  
accordance with the most recent Carbon Offsetting and  
Reduction Scheme for International Aviation which has been  
adopted by the International Civil Aviation Organization with  
the agreement of the United States, or any similar  
The alternative fuel mixture credit can be claimed only on  
Form 720, Schedule C, not on Form 4136, or Schedule 3  
(Form 8849), and only to the extent of your section 4081  
taxable fuel liability for gasoline, diesel, and kerosene.  
Calculate the limitation for alternative fuel mixtures separately  
and enter on line 13 only the gallons of mixtures that don’t  
exceed your section 4081 taxable fuel liability for gasoline,  
diesel, and kerosene.  
methodology which satisfies the criteria under section 211(o)  
(1)(H) of the Clean Air Act.  
4. For qualified mixtures produced with an SAF synthetic  
blending component (SAF that meets the qualifications of an  
ASTM D7566 Annex), the Certificate for SAF Synthetic  
Blending Component, Statement of SAF Synthetic Blending  
Component Reseller (if applicable), and Declaration for SAF  
Qualified Mixture must be attached to the first claim filed that  
is supported by the certificate or statement. If the certificate,  
statement, and declaration aren't attached to Form 720  
because they're attached to a previously filed claim on a  
Form 4136, a Form 8864, or a Schedule 3 (Form 8849),  
attach a separate statement with the following information.  
Claim requirements. The alternative fuel credit and  
alternative fuel mixture credit may not be claimed for  
alternative fuel produced outside the United States for use as  
a fuel outside the United States. The United States includes  
any territory of the United States. To claim either credit, you  
must be registered by the IRS.  
Registration number. You must enter your registration  
number in the space provided.  
Form 720-X. If you are not registered, you cannot make a  
claim at this time. Use Form 637 to apply for registration.  
-18-  
Instructions for Form 720 (Rev. 12-2023)  
After you are registered by the IRS, file Form 720-X to claim  
the credit for this period.  
use by an Indian tribal government) or for the exclusive use of  
a nonprofit educational organization; or  
For diesel, kerosene, or kerosene for use in aviation, for  
Line 14. Other Claims  
the exclusive use by a state or local government (including  
essential government use by an Indian tribal government).  
For claims under section 6416(b)(2) relating to certain uses  
and resales of certain articles subject to manufacturer or  
retailer excise taxes, claimant certifies that it sold the article  
at a tax-excluded price, repaid the amount of tax to the  
ultimate vendor, or has obtained the written consent of the  
ultimate vendor to make the claim; and has the required  
supporting information.  
Claimant. The registered credit card issuer is the only  
person eligible to make this claim if the credit card issuer:  
1. Is registered by the IRS;  
2. Hasn't collected the amount of tax from the ultimate  
purchaser or has obtained the written consent of the ultimate  
purchaser to make the claim;  
3. Certifies that it has repaid or agreed to repay the  
amount of tax to the ultimate vendor, has obtained the written  
consent of the ultimate vendor to make the claim, or has  
otherwise made arrangements which directly or indirectly  
provide the ultimate vendor with reimbursement of the tax;  
and  
4. Has in its possession an unexpired certificate from the  
ultimate purchaser and has no reason to believe any of the  
information in the certificate is false. See Model Certificate R  
in Pub. 510.  
Lines 14b and 14c. Exported Dyed Diesel,  
Exported Dyed Kerosene, and Exported Gasoline  
Blendstocks Taxed at $.001  
Claimant is required to have the name and address  
of the person(s) who sold the fuel to the claimant, the  
!
CAUTION  
dates of purchase, and, if exported, the required  
proof of export.  
A claim may be made for dyed diesel or dyed kerosene  
exported in a trade or business during the period of claim.  
Claims for exported gasoline blendstocks taxed at $.001 per  
gallon are made on line 14b. See Exported taxable fuel,  
earlier. The claim rate for each fuel is $.001 per gallon.  
If any one of these conditions isn't met, the credit card  
issuer must collect the tax from the ultimate purchaser and  
only the ultimate purchaser can make the claim.  
Claim requirements. The following requirements must be  
Claims for exported gasoline blendstocks taxed at  
met.  
$.184 per gallon are made on line 1b.  
!
1. The claim must be for gasoline, aviation gasoline,  
diesel, kerosene, or kerosene for use in aviation sold during a  
period that is at least 1 week. This requirement will generally  
be met for quarterly claims filed on Form 720.  
CAUTION  
Line 14d. Diesel-Water Emulsion  
2. The amount of the claim must be at least $200 ($100  
Generally, the claim rate for the nontaxable use of a  
diesel-water emulsion taxed at $.198 (credit reference  
number (CRN) 309) is $.197. The fuel must have been used  
during the period of claim for type of use 1, 2, 3, 5, 6, 7, 8, or  
12. For type of use 5, the claim rate is $.124 (CRN 309). For  
type of use 3 (exported), the claim rate is $.198 (CRN 306)  
and is reported on line 14d.  
for kerosene or kerosene for use in aviation).  
3. Claims must be filed by the last day of the first quarter  
following the earliest quarter of the claimant's income tax  
year included in the claim. For example, a calendar year  
income taxpayer's claim for the first quarter is due June 30 if  
filed on Form 8849. However, Form 720 must be filed by April  
30.  
The claim rate for undyed diesel taxed at $.244 (CRN 310)  
and used to produce a diesel-water emulsion is $.046 per  
gallon of diesel so used (blender claims). The claimant must  
attach a statement certifying that (a) the claimant produced a  
diesel-water emulsion containing at least 14% water; (b) the  
emulsion additive is registered by a U.S. manufacturer with  
the EPA under the Clean Air Act, section 211 (as in effect on  
March 31, 2003); (c) the claimant used undyed diesel taxed  
at $.244 to produce the diesel-water emulsion; and (d) the  
claimant sold or used the diesel-water emulsion in the  
blender's trade or business. The blender claimant must be  
registered by the IRS and must enter their registration  
number on line 14d and enter the applicable CRN.  
4. The claimant must enter its registration number on  
line 14e, the amount of the claim, and the applicable CRN  
(see Allowable sales, earlier). If the claim is for more than one  
fuel, use the blank lines 14i–14k, or attach a separate sheet  
listing the fuels, amounts, and CRNs.  
If requirements 1–3 above aren't met, see Annual Claims,  
later. However, annual claims can't be made for gasoline and  
aviation gasoline.  
Claim rates. The claim rates are shown below.  
CRN  
Claim Rate  
324  
346  
360  
362  
369  
$.193  
.243  
.243  
.183  
.218  
Claim requirements. See Claim requirements for lines 1–6  
and lines 14b–14d, earlier.  
Line 14e. Registered Credit Card Issuers  
Allowable sales. The gasoline (CRN 362), aviation gasoline  
(CRN 324), diesel (CRN 360), kerosene (CRN 346), or  
kerosene for use in aviation (CRN 369) must have been  
purchased with a credit card issued to the ultimate purchaser  
during the period of claim:  
For gasoline or aviation gasoline, for the exclusive use by a  
state or local government (including essential government  
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Instructions for Form 720 (Rev. 12-2023)  
 
Annual Claims  
Tax  
CRN  
Ozone-depleting chemicals (ODCs)  
Chemicals (other than ODCs)  
Imported chemical substances  
Oil spill liability  
398  
454  
317  
349  
383  
If a claim on lines 1–9 or 14b–14e wasn’t made for any  
gallons, an annual claim may be made (exception: alternative  
fuel mixtures produced after December 31, 2011). Generally,  
an annual claim is made on Form 4136 for the income tax  
year during which the fuel was used by the ultimate  
purchaser, sold by the registered ultimate vendor, used to  
produce a mixture, or used in mobile machinery. See Form  
4136 for more information.  
Truck, trailer, and semitrailer chassis and bodies, and  
tractors  
Passenger vehicles (luxury tax)  
Gas guzzler automobiles  
Vaccines  
392  
340  
397  
341  
308  
387  
342  
344  
389  
Lines 14f–14h. Tire Credits  
Sport fishing equipment  
Fishing rods and fishing poles  
Fishing tackle boxes  
A credit or refund (without interest) is allowable on tax-paid  
tires if the tires have been:  
Exported;  
Sold to a state or local government for its exclusive use;  
Sold to a nonprofit educational organization for its  
Electric outboard motors  
Bows, quivers, broadheads, and points  
Arrow shafts  
exclusive use;  
Sold to a qualified blood collector organization for its  
exclusive use in connection with a vehicle the organization  
certifies will be primarily used in the collection, storage, or  
transportation of blood;  
Used or sold for use as supplies for vessels; or  
The Taxpayer Advocate Service (TAS)  
Is Here To Help You  
What is TAS? TAS is an independent organization within  
the IRS that helps taxpayers and protects taxpayer rights.  
Their job is to ensure that every taxpayer is treated fairly and  
that you know and understand your rights under the Taxpayer  
How can you learn about your taxpayer rights? The  
Taxpayer Bill of Rights describes 10 basic rights that all  
taxpayers have when dealing with the IRS. Go to  
TaxpayerAdvocate.IRS.gov to help you understand what  
these rights mean to you and how they apply. These are your  
rights. Know them. Use them.  
What can TAS do for you? TAS can help you resolve  
problems that you can't resolve with the IRS. And their  
service is free. If you qualify for their assistance, you will be  
assigned to one advocate who will work with you throughout  
the process and will do everything possible to resolve your  
issue. TAS can help you if:  
Sold in connection with qualified intercity, local, or school  
buses.  
Also, a credit or refund (without interest) is allowable on  
tax-paid tires sold by any person on, or in connection with,  
any other article that is sold or used in an activity listed  
above.  
The person who paid the tax is eligible to make the claim  
and must include:  
A detailed description of the claim,  
Any additional information required by the regulations,  
How the claim amount was figured,  
Any other information to support the claim, and  
The number of tires claimed for each CRN.  
Claim requirement. Generally, the claim must be filed  
within 3 years from the time the return was filed or 2 years  
from the time the tax was paid, whichever is later.  
Lines 14i–14k. Other Claims  
Your problem is causing financial difficulty for you, your  
Don't use lines 14i–14k to make communications tax  
family, or your business;  
You face (or your business is facing) an immediate threat  
claims for nontaxable service. See Communications  
!
CAUTION  
Taxes, earlier.  
of adverse action; or  
You've tried repeatedly to contact the IRS but no one has  
Use lines 14i–14k for claims relating to taxes listed in the  
table under Claim requirement below. See Pub. 510 for  
information on allowable claims relating to these taxes. If you  
need additional space, attach another sheet(s). You must  
include the following information for each claim.  
responded, or the IRS hasn't responded by the date  
promised.  
How can you reach TAS? TAS has offices in every state,  
advocate's number is in your local directory and at  
them at 877-777-4778.  
How else does TAS help taxpayers? TAS works to resolve  
large-scale problems that affect many taxpayers. If you know  
of one of these broad issues, please report it to them at  
A detailed description of the claim.  
Any additional information required by the regulations.  
The amount of the claim.  
How you figured the claim amount.  
Any other information to support the claim.  
Claim requirement. Generally, the claim must be filed  
within 3 years from the time the return was filed or 2 years  
from the time the tax was paid, whichever is later.  
Privacy Act and Paperwork Reduction Act Notice. We  
ask for the information on these forms in order to carry out  
the Internal Revenue laws of the United States. We need it to  
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Instructions for Form 720 (Rev. 12-2023)  
     
figure and collect the right amount of tax. Miscellaneous  
excise taxes are imposed under Subtitle D of the Internal  
Revenue Code. These forms are used to determine the  
amount of tax that you owe. Section 6011 requires you to  
provide the requested information. Section 6109 requires you  
to provide your identifying number. Routine uses of this  
information include giving it to the Department of Justice for  
civil and criminal litigation, and to cities, states, the District of  
Columbia, and U.S. commonwealths and territories for use in  
administering their tax laws. We may also disclose this  
information to other countries under a tax treaty, to federal  
and state agencies to enforce federal nontax criminal laws, or  
to federal law enforcement and intelligence agencies to  
combat terrorism. Failure to provide this information in a  
timely manner or providing false or fraudulent information  
may subject you to penalties.  
Comments and suggestions. We welcome your comments  
about this publication and your suggestions for future  
editions. You can send us comments through IRS.gov/  
FormComments. Or you can write to:  
Internal Revenue Service  
Tax Forms and Publications  
1111 Constitution Ave. NW  
IR-6526  
Washington, DC 20224  
Although we can’t respond individually to each comment  
received, we do appreciate your feedback and will consider  
your comments and suggestions as we revise our tax forms,  
instructions, and publications. Do not send tax questions, tax  
returns, or payments to the above address.  
You aren't required to provide the information requested  
on a form that is subject to the Paperwork Reduction Act  
unless the form displays a valid OMB control number. Books  
or records relating to a form or its instructions must be  
retained as long as their contents may become material in the  
administration of any Internal Revenue law. Generally, tax  
returns and return information are confidential, as required by  
section 6103.  
Ordering forms and publications. Go to IRS.gov/Forms  
to download forms and publications. Otherwise, you can go  
to IRS.gov/OrderForms to order forms. Call 800-829-3676 to  
order prior-year forms and instructions. The IRS will process  
your order for forms and publications as soon as possible. Do  
not resubmit requests you’ve already sent us. You can get  
forms and publications faster online.  
The time needed to complete and file these forms and  
related schedules will vary depending on individual  
circumstances. The estimated average times are:  
Preparing,  
copying,  
Learning about assembling, and  
the law or  
the form  
sending the  
Form  
720  
Recordkeeping  
8 hr., 59 min.  
6 hr., 13 min.  
form to the IRS  
1 hr., 5 min.  
2 hr., 3 min.  
720-X  
0 hr., 18 min.  
0 hr., 24 min.  
-21-  
Instructions for Form 720 (Rev. 12-2023)  
Index  
Form 6627 4  
Form 720-V 11  
Fuel taxes 5  
Payment voucher 11  
A
Penalties and interest 2  
Address, Name and 3  
Air transportation:  
R
G
Uncollected tax report 5  
Air transportation taxes 4  
Alternative fuel 7  
Recordkeeping 2  
Retail tax 7  
Gas guzzler automobiles:  
One-time filing 8  
S
Amount to deposit 12  
Arrow shafts 10  
Gasoline 6  
Schedule A (Excise Tax  
Liability) 12  
H
B
Schedule C (Claims) 13-20  
Schedule T (Two-Party Exchange  
Information Reporting) 13  
Section 40 fuels 10  
Help, additional 2  
How to file:  
Biodiesel sold as but not used as  
fuel 10  
Zero tax 2  
Bows, quivers, broadheads, and  
points 9  
Ship passenger tax 7  
Sport fishing equipment 9  
I
Indoor tanning services 10  
Inland waterways fuel use tax 10  
Interest, Penalties and 2  
C
T
Claims (Schedule C) 13  
Coal 8  
Tanning services, Indoor 10  
Taxable tires 8  
Communications:  
Uncollected tax report 5  
Communications taxes 4  
K
Taxes, Payment of 11  
Third Party Designee 3  
Tire credit, Section 4051(d) 7  
Tires, taxable 8  
Kerosene 6  
Kerosene for use in aviation 6  
D
M
Transportation by water 7  
Trucks, trailers, tractors 7  
Two-Party Exchange Information  
Reporting 13  
Deposits, How to make 11  
Diesel 5  
Manufacturers taxes 8  
Diesel-water emulsion 5  
N
Name and address 3  
E
U
Electric outboard motors 9  
Employer identification number 3  
Environmental taxes 4  
O
Uncollected tax report 5  
Obligations not in registered  
form 7  
V
Exported taxable fuel 14  
ODCs 10  
Vaccines 9  
One-time filing 8  
Other fuels, tax rates 6  
F
W
Final return 2  
When to deposit 11  
When to file 2  
Fishing rods and fishing poles 9  
Fishing tackle boxes 9  
Floor stocks 10  
P
Patient-centered outcomes  
research fee 9  
Where to file 2  
Foreign insurance policies 8  
Form 6197 8  
Payment of taxes 11  
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