Form 6627 PDF Details

The Form 6627, revised in January 2011, plays a crucial role in the administration of environmental taxes, which are pivotal in the regulation and management of substances impacting the environment. Intended for attachment to Form 720, this document is instrumental for entities responsible for the manufacturing, importing, or handling of petroleum and ozone-depleting chemicals (ODCs), along with imported products manufactured using these substances. The form meticulously outlines the taxation process for crude oil received or used in the U.S., imported petroleum products, and the specifications for calculating taxes related to ODCs, including options for tax elections based on the usage time of mixtures containing post-1989 and post-1990 ODCs. Moreover, it explains the taxes on imported products that incorporated ODCs during their production and mandates the floor stocks tax, highlighting the ongoing government efforts to both monitor and mitigate environmental damage through fiscal measures. The detailed instructions, alongside specific sections for various environmental taxes, underscore the complexities and responsibilities of the concerned parties in adhering to the regulatory framework. With its comprehensive coverage, Form 6627 encapsulates the intricacies involved in the financial aspects of environmental conservation efforts, marking a significant part of regulatory compliance for businesses involved in sectors impacting environmental health.

QuestionAnswer
Form NameForm 6627
Form Length4 pages
Fillable?No
Fillable fields0
Avg. time to fill out1 min
Other namesCFC-11, CFC-115, post-1990, CFC-114

Form Preview Example

Form 6627

 

ENVIRONMENTAL

TAXES

 

 

 

 

 

(Rev. January 2011)

 

▶ See instructions on page 3.

 

 

 

 

OMB No. 1545-0245

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Department of the Treasury

 

▶ Attach to Form 720.

 

 

 

 

 

Internal Revenue Service

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Name (as shown on Form 720)

 

 

 

Quarter ending

 

 

Employer identification number

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Tax on Petroleum

 

 

 

(a)

 

(b)

 

 

(c)

Part I

 

 

 

 

 

 

 

Barrels

 

Rate

 

 

Tax

 

 

 

 

 

 

 

 

 

 

 

1

Crude oil received at a U.S. refinery

 

 

 

 

 

 

 

 

 

2

Crude oil taxed before receipt at refinery

 

 

 

 

 

 

 

 

 

3

Taxable crude oil. Subtract line 2 from line 1. Multiply column (a)

 

 

 

 

 

 

 

 

 

by column (b) and enter the amount of tax in column (c) . . .

 

 

 

 

 

 

 

$

 

4

Crude oil used in or exported from the U.S. before the tax was

 

 

 

 

 

 

 

 

 

imposed. Multiply column (a) by column (b) and enter the

 

 

 

 

 

 

 

 

 

amount of tax in column (c)

 

 

 

 

 

 

 

$

 

5

Total domestic petroleum oil spill tax. Add lines 3 and 4,

 

 

 

 

 

 

 

 

 

column (c). Enter the total here and on Form 720 on the line for

 

 

 

 

 

 

$

 

 

IRS No. 18

▶

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

6

Imported petroleum products oil spill tax. Enter the number of

 

 

 

 

 

 

 

 

 

barrels imported in column (a). Multiply column (a) by column (b)

 

 

 

 

 

 

 

 

 

and enter the amount of tax in column (c). Also enter the amount

 

 

 

 

 

 

 

 

 

on Form 720 on the line for IRS No. 21 . . . . . . . ▶

 

 

 

 

 

 

$

 

 

Tax on Ozone-Depleting Chemicals (ODCs), IRS No. 98

 

 

 

 

 

Part II

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Elections. If you elect to report the tax on post-1989 ODCs at the time you sell or use a mixture containing such chemicals instead of when you make the mixture, check this box (the 1990 election) . . . . . . . . . . . . . . . . . . ▶ If you elect to report the tax on post-1990 ODCs at the time you sell or use a mixture containing such chemicals instead of when

you make the mixture, check this box (the 1991 election)

. . . . . . . ▶

 

 

 

 

 

 

 

(a)

(b)

 

(c)

(d)

 

 

Tax per pound

Tax (multiply column (b)

 

ODC

Number of pounds

 

 

(see Part II instructions)

by column (c))

 

 

 

 

 

 

 

 

 

1

 

 

 

 

 

2

 

 

 

 

 

3

 

 

 

 

 

4

Total ozone-depleting chemicals tax. Add all amounts in column (d), include amounts from

 

 

any additional sheets. Enter the total here and on Form 720 on the line for IRS No. 98. . . ▶

$

For Privacy Act and Paperwork Reduction Act Notice, see the Instructions for Form 720.

Cat. No. 43490I

Form 6627 (Rev. 1-2011)

Form 6627 (Rev. 1-2011)

Page 2

 

 

 

 

 

Part III

ODC Tax on Imported Products, IRS No. 19

 

Election. If you elect to report the tax on imported products at the time you import the products instead of when you sell or use

the products, check this box

. . . . . . . . . . . . . . . . ▶

 

 

 

 

 

 

(a)

(b)

(c)

(d)

(e)

(f)

Imported product and the

Number of

ODC weight of

Tax

Tax per pound

Entry value

applicable ODC

products

product

(see Part III instructions)

 

 

1

2

3

4Total ODC tax on imported products. Add all amounts in column (f), include amounts from any

additional sheets. Enter the total here and on Form 720 on the line for IRS No. 19 . . . . ▶

$

 

Tax on Floor Stocks of ODCs, IRS No. 20

 

 

Part IV

 

 

 

 

 

 

 

 

(a)

(b)

(c)

(d)

 

Tax per pound

Tax (multiply column (b)

 

ODC

Number of pounds

 

(see Part IV instructions)

by column (c))

 

 

 

 

 

 

 

 

1

 

 

 

 

2

 

 

 

 

3

4Total floor stocks tax. Add all amounts in column (d), include amounts from any additional

sheets. Enter the total here and on Form 720 on the line for IRS No. 20 . . . . . . . ▶ $

Form 6627 (Rev. 1-2011)

Form 6627 (Rev. 1-2011)

Page 3

 

 

General Instructions

Section references are to the Internal Revenue Code unless otherwise noted.

What’s New

•The tax rates for ozone-depleting chemicals (ODCs) in Parts II and III have increased for 2011. See the listing below.

Purpose of Form

Use this form to figure the environmental tax on petroleum, ODCs, imported products that used ODCs as materials in the manufacture or production of the product, and the floor stocks tax on ODCs. If you need more lines for any part of the form, prepare additional sheets using the same format as the part. Attach the additional sheets with Form 6627 to Form 720. See Pub. 510, Excise Taxes, for more information on environmental taxes. See the Instructions for Form 720 for information on when and where to file Form 6627.

Who Must File

For petroleum:

•The operator of the refinery that receives crude oil.

•The user or exporter of crude oil before tax is imposed.

•The person entering the petroleum products for consumption, use, or warehousing.

For ODCs:

•The manufacturer or importer of ODCs who sells or uses those ODCs.

•The importer of taxable products who sells or uses those products.

•The person other than the manufacturer or importer of ODCs who holds ODCs for sale or use in manufacturing on January 1, 2011.

Specific Instructions

Part I. Tax on Petroleum (IRS Nos. 18 and 21)

Crude oil. Tax is imposed on domestic crude oil when it is received at a U.S. refinery. Crude oil includes crude oil condensates and natural gasoline. The operator of the refinery is liable for the tax. Tax is imposed on imported crude oil received at a U.S. refinery unless the imported petroleum products tax was imposed when the imported crude oil was entered into the United States. The operator of a U.S. refinery that receives imported crude oil must establish that tax was previously imposed on the imported crude oil.

User or exporter of crude oil. Tax is imposed on domestic crude oil used or exported before it is received at a U.S. refinery. The user or exporter is liable for the tax. Crude oil used for extracting oil or natural gas on the premises where the crude oil is produced is not taxable.

Imported petroleum products. Tax is imposed on imported petroleum products when they are entered into the United States for use, consumption, or warehousing. Petroleum products include crude oil, refined and residual oil, and other liquid hydrocarbon

refinery products. The person entering the petroleum product into the country is liable for the tax.

The tax on petroleum is imposed only once on any imported petroleum product. The enterer must provide documentation of the tax imposed on imported crude oil to the refinery operator if requested by the refinery operator.

Fractional barrels. Fractional barrels are taxed at a proportionate rate using the fraction produced by the number of gallons in the barrel over 42 gallons. Multiply the resulting fraction by the $.08 per barrel tax.

Part II. Tax on Ozone-Depleting Chemicals (ODCs), IRS No. 98

The following ODCs are taxable.

 

 

 

 

 

 

 

Tax Per

Post-1989 ODCs:

 

 

 

 

Pound in 2011

CFC-11

. .

.

. . . . .

.

.

.

$12.55

CFC-12

. .

.

. . . . .

.

.

.

12.55

CFC-113 . . . .

. .

.

. . . . .

.

.

.

10.04

CFC-114

. .

.

. . . . .

.

.

.

12.55

CFC-115

. .

.

. . . . .

.

.

.

. 7.53

Halon-1211 . . . .

. .

.

. . . . .

.

.

.

37.65

Halon-1301 . . . . . . . . . . . . . . . 125.50

Halon-2402 . . . .

. .

.

. . . . .

.

.

.

75.30

Post-1990 ODCs:

Carbon tetrachloride . . . . . . . . . . . . 13.80 Methyl chloroform . . . . . . . . . . . . . . 1.25

CFC-13, CFC-111, CFC-112, and CFC-211 through

CFC-217. . . . . . . . . . . . . . . . 12.55

▲The tax per pound rates above are figured using ! the ozone-depletion factor. Do not multiply the

tax per pound by the ozone-depletion factor.

CAUTION

Mixture elections. Generally, the creation of a mixture containing one or more ODCs by the manufacturer or importer of an ODC is treated as the use of the ODC in the mixture. However, the manufacturer or importer may elect to treat the sale or use of the mixture as the first sale or use of the ODC in the mixture.

POST-1989 ODCS (THE 1990 ELECTION). If this election

is made, the tax on the post-1989 ODCs (listed above) contained in the mixture is imposed on the date of sale or use of the mixture. To make the election, check the first box in Part II, under Elections. This election may be revoked only with the consent of the IRS.

POST-1990 ODCS (THE 1991 ELECTION). If this election

is made, the tax on the post-1990 ODCs (listed above) contained in the mixture is imposed on the date of sale or use of the mixture. To make the election, check the second box in Part II, under Elections. This election may be revoked only with the consent of the IRS.

Column (c). Enter the tax per pound using the chart above.

Form 6627 (Rev. 1-2011)

Page 4

 

 

Part III. ODC Tax on Imported Products, IRS No. 19

An imported taxable product is any product entered into the United States for consumption, use, or warehousing if any ODC was used as material in the manufacture or production of the product. The product must also be listed in the imported products table issued by the IRS. See Regulations section 52.4682-3(f)(6). The tax is based on the weight of ODCs used in the manufacture of the product. If the weight cannot be determined under the exact method or table method (see below), the tax is 1% of the entry value of the product (value method).

Importer election. Generally, an imported taxable product is taxed when it is sold or used by the importer. However, an importer may elect to treat the entry of products into the United States as the use of such products. This election applies to all products held by the importer when the election becomes effective. It also applies to all products the importer enters into the United States after the election becomes effective. If an election applies to an imported taxable product, tax is imposed on the product on the date of entry. To make the election, check the box in Part III, under Election. This election may be revoked only with the consent of the IRS.

Figure the ODC weight of the product as follows:

EXACT METHOD. If you determine the weight of each ODC used as a material in the manufacture of the product and you can support this determination, the ODC weight is the weight you determine.

TABLE METHOD. If you do not use the exact method and the ODC weight is listed in the imported products table, use the ODC weight listed to figure the tax. See Pub. 510 for more information.

Figure the tax for Part III:

COLUMN (A). Enter the imported product and the applicable ODC. Use additional lines if there is more than one ODC.

COLUMN (B). Enter the number of taxable products imported.

COLUMN (C). Enter the ODC weight of the product in pounds. If you are using the value method, do not complete this column.

COLUMN (D). Enter the tax per pound from the chart in the instructions for Part II on page 3. If you are using the value method, enter 1% (.01).

COLUMN (E). If you are using the value method to figure the tax, enter the entry value of the total number of imported products.

COLUMN (F). Figure the tax due by multiplying the number of products in column (b) by the ODC weight in column (c) by the tax per pound in column (d). If you are using the value method, multiply the 1% (.01) rate in column (d) by the entry value in column (e).

Part IV. Tax on Floor Stocks of ODCs, IRS No. 20

The floor stocks tax for 2011 is imposed on the following ODCs.

 

Tax Per

ODCs:

Pound in 2011

CFC-11 . . . . . . . . . . . . . . . . . $0.45 CFC-12 . . . . . . . . . . . . . . . . . 0.45 CFC-113 . . . . . . . . . . . . . . . . 0.36 CFC-114 . . . . . . . . . . . . . . . . 0.45 CFC-115 . . . . . . . . . . . . . . . . 0.27 Halon-1211 . . . . . . . . . . . . . . . 1.35 Halon-1301 . . . . . . . . . . . . . . . 4.50 Halon-2402 . . . . . . . . . . . . . . . 2.70 Carbon tetrachloride . . . . . . . . . . . . . 0.495 Methyl chloroform . . . . . . . . . . . . . 0.045

CFC-13, CFC-111, CFC-112, and CFC-211 through

CFC-217 . . . . . . . . . . . . . . . . 0.45

▲The tax per pound rates above are figured using ! the ozone-depletion factor. Do not multiply the

tax per pound by the ozone-depletion factor.

CAUTION

For 2011, you are liable for the floor stocks tax if, on January 1, you hold any of the following:

1.At least 400 pounds of ODCs, other than halons or methyl chloroform, subject to the floor stocks tax,

2.At least 50 pounds of halons, or

3.At least 1,000 pounds of methyl chloroform.

Report the tax on Form 6627 and Form 720 for the second calendar quarter of 2011. Payment of the tax is due by June 30, 2011.

Column (c). Enter the tax per pound using the chart above.

How to Edit Form 6627 Online for Free

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Step 1: First of all, open the editor by pressing the "Get Form Button" at the top of this webpage.

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This document will require particular details to be filled out, therefore make sure you take your time to type in what's requested:

1. Whenever completing the halons, ensure to complete all needed blank fields in the associated part. This will help to hasten the process, which allows your details to be handled efficiently and properly.

Stage no. 1 for completing post-1990

2. Once your current task is complete, take the next step – fill out all of these fields - Elections If you elect to report, ODC, Number of pounds, Tax per pound, Tax multiply column b, see Part II instructions, by column c, Total ozonedepleting chemicals tax, For Privacy Act and Paperwork, Cat No I, and Form Rev with their corresponding information. Make sure to double check that everything has been entered correctly before continuing!

post-1990 writing process described (portion 2)

It's simple to get it wrong while filling in your by column c, for that reason ensure that you look again before you decide to send it in.

3. This next step is going to be straightforward - fill out all the fields in Election If you elect to report, Imported product and the, applicable ODC, Number of products, ODC weight of, product, Tax per pound, Entry value, f Tax, see Part III instructions, Total ODC tax on imported products, Part IV, Tax on Floor Stocks of ODCs IRS No, ODC, and Number of pounds to conclude this part.

post-1990 writing process clarified (stage 3)

4. The following paragraph needs your involvement in the subsequent places: Total floor stocks tax Add all, and Form Rev. Just be sure you enter all required information to move onward.

post-1990 completion process described (part 4)

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