Instructions for Form 720
(Revised January 2000)
Quarterly Federal Excise Tax Return
Section references are to the Internal Revenue Code unless otherwise noted.
Department of the Treasury
Internal Revenue Service
General Instructions
Changes To Note
1. Luxury tax. The tax on sales of luxury passenger
vehicles during 2000 is reduced to 5% of the sales price
in excess of $38,000. See page 4.
2. Air transportation taxes. The following taxes have
increased:
a. For transportation beginning after 1999, the
domestic segment tax portion of the tax on amounts paid
for transportation of persons by air and
b. For amounts paid after 1999, the tax on amounts
paid for the use of international air travel facilities.
See page 3.
3. Vaccine taxes. After December 17, 1999,
conjugate vaccine against streptococcus pneumoniae is
added to the list of taxable vaccines. See page 5.
Purpose of Form
Use Form 720 and attachments to report and pay the
excise taxes listed on the form.
When To File
Except as otherwise provided in the instructions, you must
file a return for each quarter of the calendar year as
follows:
All excise taxes
other than ODCs,
comm., and air
trans. due by
ODCs, comm.,
and air trans.
due by
Quarter
covered
Jan., Feb., Mar.
Apr. 30
May 31
Apr., May, June
July 31
Aug. 31
July, Aug., Sept.
Oct. 31
Nov. 30
Oct., Nov., Dec.
Jan. 31
Feb. 28
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 on page 2.
If you are reporting two or more excise taxes and they
are due on different dates, use the later filing date. File
only one return each quarter.
Floor stocks tax. Report the floor stocks tax on
ozone-depleting chemicals (ODCs), IRS No. 20, on the
return for the 2nd quarter of each year. The tax payment
is due by June 30. See page 6.
Where To File
Send Form 720 to the Internal Revenue Service Center,
Cincinnati, OH 45999-0009.
How To File
If you are not reporting a tax that you normally report,
enter a zero on the appropriate line in Part I or II (Form
720). Also, if you have no tax to report, write “None” on
lines 3 and 5, page 2, Part III, and sign the return.
If you have adjustments to Part I or II (Form 720) taxes,
do not enter adjustments in the “tax” column. See the
Schedule C instructions on page 8.
One-Time Filings
If you import for personal use a gas guzzling automobile
or a passenger vehicle subject to the luxury tax, you may
be eligible to make a one-time filing of Form 720 and Form
6197.
You may make a one-time filing to report the gas
guzzler tax or the luxury tax if you meet all of the following
conditions:
l You do not use the vehicle in the course of any trade
or business;
l You do not import gas guzzling automobiles or luxury
passenger vehicles in the course of your trade or
business; and
l You are not required to file Form 720 reporting excise
taxes for the calendar quarter, except for one-time filings.
To make a one-time filing:
1. File the return for the quarter in which you incur
liability for the tax. See When To File on this page.
2. Pay the tax with the return. No deposits are
required.
3. If you are an individual and do not have an
employer identification number (EIN), enter your social
security number (SSN) on Form 720 on the line for the
EIN.
4. Check the one-time filing box above Part I on page
1 of Form 720.
Final Return
File a final return if you have been filing Form 720 and
you:
1. Go out of business or
2. Will not owe excise taxes that are reportable on
Form 720 in future quarters.
TIP
If you are only filing to report zero tax and you will
no longer owe excise tax in future quarters, check
the final return box above Part I on page 1 of Form
720. The IRS will then stop sending Package 720 to you
each quarter.
Cat. No. 64240C
