Federal Excise Tax Form 720 is reported and paid (if any) by end of each quarter, it is time for 2nd Quarter Form 720 reporting. If you have any difference you may also pay the tax online using IRS approved commercial software provider for all Federal Excise Tax Forms, http://TaxExcise.com. The only website to support excise tax filing for all the forms (2290, 8849 and 720).
Whether you are a manufacturer, retailer, airline or any other business that deals in goods for which excise taxes are due, you have a responsibility to file a Quarterly Federal Excise Tax Return on Form 720 up to four times per year, depending on the circumstances.
What is new in Form 720?
The section 4375 and 4376 in patient-centered outcomes research fee is increased from $2.26 to $2.39, read below for the update. The fee for policy and plan years ending on or after October 1, 2017, but before October 1, 2018, is the applicable rate of $2.39, multiplied by the average number of lives covered under the policy or plan. The applicable rate for policy and plan years ending on or after October 1, 2018, will be included in future revisions. The fee for policy and plan years ending on or after October 1, 2018, but before October 1, 2017, remains at the applicable rate of $2.26.
Simple Steps and Easy Reporting!
At TaxExcise.com, you can electronically prepare your Federal Excise Tax Returns and report it online with the IRS, you just enjoy filing your taxes on your own. Simplified the excise tax preparation process and you no need to look out for a paid tax preparer to do these simple taxes.
The patient-centered outcomes research 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.
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.
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 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 Treasury. To get more information about EFTPS or to enroll in EFTPS, visit www.eftps.gov or call 1-800-555-4477.