Any official documents in the financial sector are subject to local laws and regulations in the United States. The Tax Service requires compliance with the general rules, timely submission, and correct completion of documents. This form is no exception to the rule. It is intended to resolve the excise payments if you fall into the circle of responsible persons. By specifying the obligations in the first and second parts of the form, you have the right to receive a loan (column C).
Who should submit this form? You are required to do this in two cases:
In other situations, you do not need to submit this application. When submitting the document, specify reliable data. If you do not have to pay the excise tax, write “no” in the appropriate line of the third part of the form. When specifying adjustments to the obligations of previous quarters, do not enter them in this application. When attaching additional documents, write your first and last name and the organization’s identification number on each form.
When submitting documents, use the deadline rules. So, you are required to file a tax return for each calendar year, taking into account the months. If you file a declaration from January to March, the filing date is April 30. If the quarter of the year is from April to June, the deadline is July 31. Accordingly, this rule also works for the last two quarterly periods (from July to September is October 31, and from October to December is January 31).
If the date is a public holiday or a weekend, submit it on the next business day. To apply, you may use the postal or courier service.
Within the framework of business activities, many goods and services fall under tax excise taxes. The most common products in this list are tobacco, alcoholic beverages, motorcycles and kerosene, electronic systems, and petroleum raw materials. The manufacturer and the seller are responsible for transferring taxes to the federal services and submitting this application as it is a mandatory requirement.
Fill out the form carefully because a mathematical miscalculation leads to incorrect data and possible penalties. This document consists of lines intended for each type of excise tax. Usually, the amount of tax depends on the volume of sales or the weight of the goods.
By the way, for non-payment of excise duties, you risk getting a fine from the Tax Service. If you have not paid the excise tax, make the payment via the online system. Otherwise, you will not be able to submit this form. Make sure that the payment was made one day before the final date. Usually, about once every half month, the responsible persons pay the excise tax on goods.
According to the regulations on business activities, each organization must maintain tax and accounting records. Therefore do not throw out previous tax returns and keep copies of them to avoid problems. Keep records of documents from four years and more:
So, any non-payment of taxes without a valid reason entails the introduction of fines. As soon as you receive the fine after submitting your application, send the explanation form. A penalty is applied for collecting the funds of the trust fund. Usually, such a fine is commensurate with the full amount of unpaid excise tax. If you intentionally and knowingly hide from taxes, you fall into the category of persons for punitive penalties. The US Internal Revenue Service imposes a fine on responsible persons: an official, partners or director of a company, an employee of an individual entrepreneur, a trustee, or an accountant.
Before sending the application, check the correctness of the entered data several times. Enter exact mathematical sums so that you don’t make mistakes.
1. Basic Information
Any official tax document contains information about you. Enter your first and last name, address, and end date of the quarter of the year. If for, some reason, the address has changed, check the corresponding field in the form. We also recommend that you specify the mailbox if suddenly the postal service will not be able to deliver the documents.
Next, enter your organization’s identification number (EIN). This code is assigned to all companies in the United States to simplify filling out blanks and maintaining tax records. If you do not have this number yet, apply online for it. If you are authorized to conduct business on behalf of the company and pay tax excise taxes, sign the form. It is a mandatory condition when submitting documents. Otherwise, the authorities won’t accept them.
You also have the right to grant access to a third party to provide information or fill out a form. In this case, in the “Authorized Third Party” field, specify their name, the phone number, and any five digits for that person’s PIN. Check the box ” Yes ” if you agree with this. What does it mean? This person may share information with official state authorities, answer any questions. If in the future you want to remove these obligations from the designated person, send an application.
By the way, there is another rule regarding the preparation of the application. If you fill out the documents with the help of a paid preparer, specify it. This authorized person signs the application in this case and provides you with a copy. They must also provide the taxpayer identification number, their full name, and address.
2. Types Of Taxes
The first part describes the types of excise taxes. The first lines relate to environmental taxes. Since some products are dangerous to the environment, taxes are levied on them in the United States. For instance, it provides for liability for oil spills and taxes on ozone-depleting chemicals and toxins. You are also required to pay communication taxes. It is usually three percent of the total amount paid for the local connection. Besides, you may request a loan or even a refund if you have previously paid taxes.
This form also includes taxes on air transportation (transportation of people and their property). Enter a specific amount by using the column. For not paying taxes, you run the risk of receiving punitive penalties and non-tax collectors.
The most extensive section on excise taxes is the fuel items. So, there are several rules for paying taxes on these products. If this is your first time filing a gallon fuel tax return, you may need to complete your first taxpayer report. What actions do you need to perform to do this?
Calculate all the tax payments and fill in the lines. These are mainly taxes on kerosene, gasoline, explosive materials, and natural gas. By the way, kerosene is quite common in this form. As a rule, the tax on it when used in aviation is $ 0,244 per gallon, and if in non-commercial aviation, then $ 0,219. In general, pay attention to these taxes because the different scope of application determines different amounts. There is a column about taxes on other types of fuel. Remember, you are responsible for the payouts, so use each column to fill in and count the gallons. There is an income tax applied to any other taxes levied on the import or export of fuel. However, not everything is so simple. If this type of tax is imposed, the following taxes do not apply:
The next tax excise tax is retail. This item includes goods such as chassis, tractors, truck parts, and trailers. In total, the tax is equal to 12 percent of the sale price at the first retail sale. As for the taxation on passenger ships and other excise taxes, you also fill in the amounts in the columns. The first type of tax is levied on the owners of commercial vessels. The amount is three dollars per passenger. There are two mandatory conditions for this: the duration of the trip is more than a day, and the number of passengers is more than seventeen. Also, fill in the items about foreign taxes on insurance and manufacturers.
3. Research Results
What do I need to know about this part of the form? The fact is that there is a fee for research results (PCOR). This amount is usually charged to health insurance policy issuers as well as sponsors. In this form, just the same, there are points for filling in these fees. Use one of the options for calculating the average number of lives on the policy year:
Adding up the numbers for the specified health insurance policies and self-insurance plans, write down the amount received in column 133. This section applies taxes on fishing rods, electric motors, fishing accessories, blades, and tools. At the end of the second part, write down the final amount of all the above taxes.
4. Final Amounts
The third part of the form is mainly concerned with mathematical calculations. Follow the above rules for filling in because these are the total amounts. Do not forget to sign the document after checking and filling in the application.
5. Significant Information
As noted earlier, this form is not simple. Next, you should fill in additional information about taxes related to your business activity. You must complete Section A if you have specified excise taxes in the first part above. Do not fill out this section if you have written taxes in the second part and a one-time filing of a fuel tax return. Fill in the first and second tables according to the permanent and alternative methods, respectively. In any case, add taxes for each quarter and enter the total amount in the corresponding line.
The two-way exchange of information (Section T) covers a wide range of excise taxes on various goods. A two-way exchange of information under this form means a mutually beneficial transaction between two persons. The person who carries fuel, and the person receiving it, shall pay taxes. In this regard, the following steps should be taken:
Don’t forget to calculate the gallons and amounts correctly. If necessary, use our form-building software to save time and effort.
The final section is about claims. In this field, fill in all the necessary information, including dates. Unfortunately, if you make mathematical errors or provide false data, your application will be rejected. You do not need to use this section in the following cases:
All the columns and tables are identical for taxes on different types of goods. Some products are not subject to excise taxes:
Regarding claims, only one claim can be submitted for each quarter until April 30. Usually, the amount is at least $ 750.
6. Other Issues
By the way, carefully read the positions on biodiesel fuel. This mixture is often used for sales in the United States and outside the state, so it is taxed. Calculate the amounts for claim payments. It applies to items on credit requests, attaching the necessary documentation. After filling out the form, do not forget to check the data several times and sign it. If necessary, use our form-building software to simplify the application process.