Starting Your Business/Keeping Tax Records
What are Business Expenses
Excise Taxes
This section explains the excise taxes you may have to pay and the
forms you have to file if you:
- Manufacture or sell certain products,
- Operate certain kinds of businesses, or
- Use various kinds of equipment, facilities, or products.
For more information on excise taxes, see Publication
510.
Form
720 The federal excise taxes reported on Form 720, Quarterly
Federal Excise Tax Return, consist of several broad categories
including:
- Environmental taxes,
- Communications taxes,
- Fuel taxes,
- Tax on the first retail sale of heavy trucks and trailers,
- Luxury tax on passenger cars, and
- Manufacturers' taxes on the sale or use of a variety of different
products.
Form
2290. There is a federal excise tax on trucks, truck tractors,
and buses used on public highways. The tax applies to vehicles having
a taxable gross weight of 55,000 pounds or more. Report the tax
on Form 2290, Heavy Vehicle Use Tax Return. For more information,
see the Instructions
for Form 2290.
Form
730. If you are in the business of accepting bets or running
a betting pool or lottery, you may be liable for federal excise
taxes on wagering. Use Form 730, Tax on Wagering, to figure the
tax on the bets you receive.
Form
11 C. Use Form 11 C, Occupational Tax and Registration Return
for Wagering, to register any wagering activity and to pay the occupational
tax on wagering.
ATF forms. If you produce, sell, or import guns, tobacco, or alcohol
products, or if you manufacture equipment for their production, you may be liable for one
or more excise taxes. Report these taxes on forms filed with the Bureau of Alcohol,
Tobacco, and Firearms (ATF).
Important References:
Publication
510
Excise Taxes
Publication
583
Starting a Business and Keeping Records
Form
1040 Schedule C Profit or Loss
from Business
Form
720
Quarterly Federal Excise Tax Return
Form
2290
Heavy Vehicle Use Tax Return
Form
730
Tax on Wagering
Form
11-C
Occupational Tax and Registration Return for Wagering