Form 720: a guide to Quarterly Federal Excise Tax Return 2025

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  1. Click 'Get Form' to open it in the editor.
  2. Begin by entering your name and address in the designated fields. Ensure that your Employer Identification Number (EIN) is accurately filled out.
  3. In Part I, report any applicable environmental taxes, such as domestic petroleum superfund tax or ozone-depleting chemicals. Refer to the instructions for specific rates.
  4. Proceed to Part II to calculate the Patient-Centered Outcomes Research Fee based on your health insurance policies. Fill in the average number of lives covered and corresponding fees.
  5. Complete Part III by adding up all taxes from Parts I and II. If you have claims or overpayments, fill those out accordingly.
  6. Finally, review your entries for accuracy, then print, download, or share the completed form directly from our platform.

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Federal excise law is a legislated duty on specific goods or services at purchase such as tobacco, cement, automobiles and liquified natural gas, excise duties are intranational duties imposed within a government infrastructure rather than international duties imposed across country borders.
Excise taxes are primarily business taxes. They are separate from other taxes that corporations must pay, such as income taxes. Businesses charging and receiving excise taxes are required to file Form 720 Federal Excise Tax Return on a quarterly basis and include quarterly payments.
Businesses that are subject to excise tax generally must file a Form 720, Quarterly Federal Excise Tax Return to report the tax to the IRS. Many excise taxes go into trust funds for projects related to the taxed product or service, such as highway and airport improvements.

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Tax Year 2022 Filing Thresholds by Filing Status Filing StatusTaxpayer age at the end of 2022A taxpayer must file a return if their gross income was at least: single under 65 $12,950 single 65 or older $14,700 head of household under 65 $19,400 head of household 65 or older $21,1506 more rows
Simple720 is an IRS-Approved 720 online portal designed to make your federal excise tax filings effortless and stress-free.
Any entity, whether a sole proprietorship, partnership, corporation, or a limited liability company, dealing in goods or services subject to federal excise taxes must file Form 720. This includes businesses involved in the sale of luxury goods, certain types of equipment, or specific services.
Washingtons excise taxes apply to all business activities conducted in the state.
Filing Form 720 isnt difficult, but some common mistakes can make it a headache. One of the biggest issues is filling out the entire form when only a few sections apply this can lead to confusion and errors. Many businesses also miss the quarterly deadlines, which can trigger penalties.

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