Form 720 quarterly federal excise tax return

Form 720 is a quarterly federal excise tax return. It is used to report and pay excise taxes on certain goods and services. Excise taxes are taxes imposed on the manufacture, sale, or consumption of certain goods and services. Examples of excise taxes include taxes on gasoline, alcohol, and tobacco products.

excise tax is computed by multiplying the applicable tax rate by the number of units sold. For example, if the excise tax rate on gasoline is $0.18 per gallon, and you sell 100 gallons of gasoline, you would owe $18 in excise taxes.

Quarterly excise taxes must be paid by the last day of the month following the end of the quarter. For example, if you are filing a return for the first quarter of 2020 (January 1 – March 31), your return and payment must be received by April 30, 2020.

If you do not file a return or pay your quarterly excise taxes on time, you may be subject to late filing and/or failure to pay penalties. Additionally, you are required to keep records of all transactions that are subject to excise tax. These records must be kept for at least three years from the date the return was due or filed, whichever is later.

Instructions for Form 720

Form 720 is the quarterly federal excise tax return. Businesses that are required to file Form 720 must do so by the last day of the month following the end of each quarter.

The instructions for Form 720 quarterly federal excise tax return vary depending on the type of business. For instance, different instructions apply to:

• Sole proprietorships
• Partnerships
• Corporations
• S corporations
• trusts
• estates

When filing Form 720, businesses will need to report information such as:

• The total amount of excise taxes due for the quarter
• The type of excise taxes paid during the quarter (e.g., fuel tax, environmental tax, etc.)
• The method used to pay the excise taxes (e.g., check, money order, electronic funds transfer, etc.)

Depending on the type of business, additional information may be required. For example, sole proprietorships will need to provide their social security number or employer identification number, while partnerships will need to provide their partnership identification number. Trusts and estates will need to provide their tax identification number.

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