Quarterly Federal Excise Tax Return

Forms and Documents

Document Name	Status
Form 720 Federal Excise Tax Return & Related Forms Form	Modified
1545-0023 Emergency Justification Memo - Form 720 2022-05-13.pdf Supplementary Document	2022-05-13
Supporting Statement 1545-0023.docx Supporting Statement A	2022-05-10

IC Document Collections

IC ID	Document Title	Status
194180	Federal Excise Tax Return & Related Forms Form	Modified

ICR Details

OMB Control No: 1545-0023	ICR Reference No: 202201-1545-039
Status: Received in OIRA	Previous ICR Reference No: 202008-1545-014
Agency/Subagency: TREAS/IRS	Agency Tracking No:
Title: Quarterly Federal Excise Tax Return
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Emergency	Approval Requested By: 05/19/2022
Date Submitted to OIRA: 05/13/2022

	Requested	Previously Approved
Expiration Date	6 Months From Approved	03/31/2024
Responses	205,400	180,000
Time Burden (Hours)	2,391,400	2,173,641
Cost Burden (Dollars)	0	0

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Abstract: Excise taxes are taxes paid when purchases are made on a specific good, such as gasoline. Excise taxes are often included in the price of the product. There are also excise taxes on activities, such as on wagering or on highway usage by trucks. One of the major components of the excise program is motor fuel. 26 USC 4081 imposes tax for miscellaneous excise taxes, manufacturers excise taxes, automotive and related items, petroleum products and motor and aviation fuel. The information supplied on Form 720 is used by the IRS to determine the correct tax liability. Additionally, the data is reported by the IRS to Treasury so that funds may be transferred from the general revenue funds to the appropriate trust funds.

Emergency Justfication: The Department of the Treasury and the Internal Revenue Service (IRS) are requesting approval of a revision to OMB Control Number 1545-0023 under emergency procedures in connection with provision of Public Law 117-58, Section 80201 (November 15, 2021), The Infrastructure Investment and Jobs Act extends, with modifications, the section 4661 excise tax on chemicals (other than ODCs) and imported chemical substances. The statute requires that the new requirements begin on July 1, 2022. Form 720, Quarterly Federal Excise Tax Return, is used to report your liability by excise tax (IRS No.) and pay the excise taxes listed on the form. Form 6627, Environmental Taxes, is used to figure the environmental tax on petroleum, Ozone-Depleting Chemicals (ODCs), imported products that used ODCs as materials in the manufacture or production of the product, and the floor stocks tax on ODCs pursuant to IRC 4461, 4681 and 4682. The tax liability calculated on Form 6627 is reported on Form 720, Part I or II as applicable. The IRS plans to release Form 720 on May 20th to allow respondents to prepare for the new reporting requirements beginning on July 1, 2022. Therefore, IRS requests OMB approval of the revisions by May 19th. Given the inability to seek public comment during such a short timeframe, IRS respectfully requests a waiver from the requirement to publish notice in the Federal Register seeking public comment during the period of Office of Management and Budget review. However, public comment will be solicited in conjunction with the subsequent extension of the approval to collect this information.

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Authorizing Statute(s): US Code: 26 USC 4661 Name of Law: Imposition of tax
   US Code: 26 USC 4681 Name of Law: Imposition of tax
   US Code: 26 USC 4682 Name of Law: Definitions and special rules
   US Code: 26 USC 4081 Name of Law: Imposition of tax
  

Citations for New Statutory Requirements: PL: Pub.L. 117 - 58 80201 Name of Law: The Infrastructure Investment and Jobs Act

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Federal Excise Tax Return & Related Forms	720, 720-X, 6627	Quarterly Federal Excise Tax ,   Amended Quarterly Federal Excise Tax Return ,   Environmental Taxes

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ICR Summary of Burden

	Total Request	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	205,400	180,000	400	25,000	0	0
Annual Time Burden (Hours)	2,391,400	2,173,641	2,800	214,959	0	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Changing Regulations

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: The changes being incorporated in these forms address The Infrastructure Investment and Jobs Act extension, with modifications, IRC 4661 excise tax on chemicals (other than ODCs) and imported chemical substances. The IRS is consolidating the burden for Form 6627 and Form 720-X under control number 1545-0023 (Form 720). This increases the burden by 25,400 responses (400 new statute and 25,000 agency discretion) and 217,759 hours (2,800 new statute and 214,959 agency discretion).

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Annual Cost to Federal Government: $311,800

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     Yes

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     Yes

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? Yes

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? No

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 05/13/2022

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