Tax Form 720 is the Quarterly Federal Excise Tax Return, used to calculate and make excise tax payments to the IRS. There are two ways to file Form 720:
1. Manual Filings
2. Electronic Filings
Manual Form 720 Filing
This is one of the traditional methods
of filing your excise tax. You can download Form 720 from the IRS website using
the link below:
https://www.irs.gov/pub/irs-pdf/f720.pdf
The form contains several sections to
be filled out, starting with basic details like Name, Address, and EIN Number.
You are supposed to fill your excise tax against the respective category. All the excise taxes are listed either in Part I or Part II.
PART I:
The following taxes are covered under
Part I:
- Environmental Taxes
- Communication and Air Transportation
Taxes
- Fuel Taxes
- Retail Tax
- Ship Passenger Tax
- Other Excise Tax
- Foreign Insurance Taxes
- Manufacturer Taxes
PART II:
This section deals with taxes like
PCORI, sport fishing equipment, indoor tanning services, and other major excise
taxes etc. Just fill in the consumption details along with the tax details.
Here is the list of all excise taxes along with IRS No.
PART III:
This important section deals with the calculations. Enter the amount
wherever applicable to you and sign the form.
In addition to the above sections, three more sections can be filled if
applicable:
The last segment is the payment voucher named Form 720-V,
which needs to be filled out and send to the IRS. This serves as the
acknowledgment of your payment.
Do you find manual filing quite exhausting? Switch to online filing.
Electronic Form 720 Filing
Manual filings are tedious and
complicated. To simplify this process, the IRS has provided an electronic
filing method, which can be done on the eFile720 website in a few minutes. eFile720
is an IRS-Authorized 720 e-file provider.
Follow these 3 simple steps to complete your filing:
1. Complete the basic details like Name, Email ID, and EIN Number.
2. Complete the tax details by selecting the correct tax year and quarter.
3. Once reviewed, you can make the payment with your preferred option and complete the filing.
Your electronic filing is done within a few minutes. At eFile720, we handle filings for the PCORI fee, tanning tax, environmental taxes, and all other excise taxes as instructed by the IRS.
WRAP:
Though there are two methods for
filing Form 720, it is clear that manual filing is complicated and tedious.
Electronic filing is simpler, easier, and time-saving. In this fast-moving
world, everything is becoming online, and the IRS also recommends the online
filing method.
Choose wisely and simplify your work.