The list of 42 chemicals and their respective excise tax rates is found in Internal Revenue Code (IRC) 4661(b). A14. However, Notice 2022-15, 2022-18 I.R.B. Substances treated as taxable will significantly increase over the pre-1996 levels, when the threshold determination only applied when more than 50% of the substances weight or value consisted of taxable chemicals. With world scale integrated manufacturing facilities we are Home Guidance Article Superfund Excise Taxes on Chemicals and Substances: How to Prepare. The Superfund Chemical Excise Tax was created in 1980 through the Comprehensive Environment Response, Compensation, and Liability Act. The IRS is working on calculating tax rates for taxable substances and will release them as they become available. (added June 24, 2022), Q13. Texas Unclaimed Property, a Division of the Texas Comptroller of Public Accounts (Texas Comptroller), is increasing compliance efforts through outreach. Charter Brokerage is the only company that will work with the client through the entire process of maximizing your credits. The money gathered from the taxes was used to fund the clean-up of hazardous waste disposal sites across the United States. (added June 24, 2022), Q10. The Superfund Tax that was established over two decades ago and taxed specific chemicals and hazardous substances has been restored after the passing of the Infrastructure Investment and Jobs Act last year. The IRS recently issued FAQs and published tax rates for 121 of the 151 taxable substances. Reinstating the tax on chemicals will unduly burden consumers. The Superfund Tax rate for chemicals range from $048 per ton for nitric acid to $9.74 per ton for Benzene. The relief applies to the first three quarters of the SCET, i.e., the third and fourth quarters of 2022 and the first quarter of 2023. Are Your Companys Year-End Compensation Accruals Tax Deductible? Tax is due upon the first use or first sale of a listed chemical in the United States. Implementing process improvements including potential technology solutions to efficiently monitor products subject to tax and possible exemptions. The reinstated excise tax on chemicals and substances containing chemicals funds a portion of the Superfund Trust Fund. Nearly three decades after expiring, the Superfund chemical excise tax is back. That penalty can be avoided if the taxpayer demonstrates that the failure was due to reasonable cause and not due to wilful neglect. (added June 24, 2022), Q2. Taxable substances are defined inSection 4672as any substance that, at the time of sale or use by the importer, is listed as a taxable substance. The taxes had previously expired on Dec. 31, 1995, but were reinstated as part of the infrastructure legislation signed by President Biden in November 2021. The site is 15 miles east of Sacramento, California. 429 (2021)), effective July 1, 2022, with modifications to the applicable rates of tax and other provisions related to those taxes. Aside from this quarterly filing, taxpayers On November 15, 2021, President Biden signed into law theInfrastructure Investment and Jobs Act (IIJA), Public Law 117-58, 135 Stat. Is there a way to check the status of an application for Activity Letter G registration? More information about reliance is available. These FAQs were announced in IR-2022-131. The importer of hazardous substances pays the tax, and it is due on the first sale or use after import. See Section 4671(b)(2). As reinstated, the tax Observation: Under Notice 2022-15, deposits still are required and must be timely to avoid Section 6656 penalties, but failing to meet the 95% accuracy threshold will not result in penalties. As part of this Act, superfund excise taxes imposed on chemicals and imported taxable products are set to be reinstated July 1, 2022 through Dec. 31, 2031. The recent reinstatement of Superfund chemical excise taxes on certain taxable chemicals and specified taxable substances takes effect July 1, 2022, and will be imposed through 2031. A7. The excise tax was not only brought back, but the IIJA doubled the prior tax rate on chemicals. Relief provided for Superfund chemical excise tax semimonthly deposits April 2022 In brief The Treasury Department and the IRS (collectively the IRS) have released Notice 2022-15, which provides relief for certain reinstated Superfund chemical excise taxes (SCET) from the penalty for failure to properly deposit imposed under When do the Superfund chemical excise taxes go into effect? FS-2022-31, June 2022. Superfund Tax Chemicals List According to the IRS, A taxable chemical is a chemical that is (i) listed in section 4661 (b), and (ii) manufactured or produced in the United States or entered into the United States for consumption, use, or warehousing. Below is the current list of taxable chemicals. Since the Superfund excise tax expired almost three decades ago, the industrial chemical communitys familiarity with their application is attenuated at best. As is the case with many excise taxes, the cost to businesses is expected to be passed down the supply chain, and ultimately to the end consumer in the form of increased prices and fees. Since its reinstatement, the excise tax has raised many questions and caused significant industry consternation. The Superfund Tax is effective as of July 1, 2022 and will remain in effect until the end of 2031. Please reach out to our team if you have any questions about the implications of the infrastructure bill. The first quarterly Superfund Tax reporting on Form 720 is due October 31, 2022. These FAQs are being issued to provide general information to taxpayers and tax professionals as expeditiously as possible. With over 10 years of experience, Sales Tax Manager Elizabeth Perez Gonzalez specializes in sales and use tax services. As reinstated, the excise tax rates are doubled from pre-1996 levels and range from $0.44 cents per ton to $9.74 per ton. The money gathered from the taxes was used to fund the clean-up of hazardous waste disposal sites across the United States. Proc. Companies might receive a refund of the tax paid if they export products made with specific chemicals and substances if they paid before manufacturing. The information contained herein is of a general nature and based on authorities that are subject to change. Helping businesses navigate financial due diligence engagements and domestic and cross-border transactions. These FAQs detail what the Superfund chemical excise tax is, how the tax is computed, and who may be liable for the tax. WebEffective July 1, 2022, Congress has revived the Superfund Excise tax on Taxable Chemicals and Taxable Substances that previously existed from 1980 through 1995. Tax credits abound. Go back five years for manufacturing drawback. WebClaims for refund of excise taxes. For purposes of claiming refunds under section 4662(e) for section 4661 tax paid on chemicals used in the production of an exported substance, in the case of a petition of an importer or exporter (i) that is filed and accepted by the Secretary before January 1, 2023, (ii) that seeks to add the substance to the list of taxable substances, and (iii) based on which the Secretary adds the substance to the list of taxable substances, both the filing date of the petition and the date the substance is added to the list of taxable substances will be deemed to be July 1, 2022. As noted above, importers are not required to use the IRS-prescribed tax rates for the section 4671 tax and may calculate their own rates. Some exported chemicals and hazardous substances used in different types of fertilizer, animal feed, and fuel are exempt from the superfund tax. The table below outlines products that are impacted by this excise tax. Yes. If you have any questions regarding Superfund tax credits, contact us atinquiries@charterbrokerage.net, and one of our Superfund tax credit experts will assist you. 11758), which was signed into law on November 15, 2021, reinstated theChemicals Superfund Tax and the Hazardous Substances Tax at twice the prior rates through 2031. She is passionate about supporting animal rescue organizations. Operating now under a new set of rules, organizations manufacturing or importing certain chemicals now face new tax challenges. In turn, the tax rate of imported substances was effectively doubled as well. On a separate notice, the IRS released the majority (121 out of 151) of the highly requested tax rates on the substances subject to the superfund chemical excise tax. It started with the Comprehensive Environmental Response, Compensation, and Liability Act (CERCLA) of 19801986. The Inflation Reduction Act (Pub.L. 11 In addition to the reinstatement of the taxes, The U.S. Environmental Protection Agency (EPA) administered the expenditures and used the funds to clean up hazardous waste sites around the United States. If you require legal or professional advice, kindly contact an attorney or other suitable professional advisor. The Joint It states that it was Congress intent that taxable substances only include chemicals that are intended for further chemical conversion. Any manufacturer, producer, or importer of a taxable chemical is subject to the superfund excise tax. WebWork with outside vendor on Superfund Excise tax compliance; Ascend Performance Materials is the premium provider of high quality chemicals, fibers and plastics. Some or all of the services described herein may not be permissible for KPMG audit clients and their affiliates or related entities. Due to the complicated nature of the tax assessments, and the detailed information required, gaps in existing systems and processes may exist. The excise tax applies to companies that manufacture, produce, or import any of the 42 specific chemicals listed in Section 4661 of the Tax Code, including ammonia, butane, Attorney Advertising Notice: Prior results do not guarantee a similar outcome. Follow these steps to assess applicability and prepare for compliance: The sooner these steps are completed, the more seamless this new reporting and filing will be. First, a substance can be added to the list of taxable substances by the Secretary, in consultation with the Administrator of the Environmental Protection Agency and the Commissioner of U.S. Customs and Border Protection, if the Secretary determines that taxable chemicals constitute more than 20 percent of the weight (or more than 20 percent of the value) of the materials used to produce the substance (determined on the basis of the predominant method of production). The per-ton rate of tax varies depending on the taxable chemical being sold or imported, so the amount of Superfund Tax will vary by product. Currently, there are 42 taxable chemicals, each with a specified tax rate imposed on a per-ton basis, and 151 taxable substances for which the tax rate is dependent on the substances unique chemical composition. Section 40.6302(c)-1(b)(2), for failure to make required deposits of Superfund excise taxes if the requirements set out in the Notice are met. Your company could bear the economic burden of the tax being passed on from your suppliers, and, in turn, your company would then need to consider its ability to pass on the economic cost of the excise tax to its customers. After a more than 26 year hiatus, on July 1, 2022, the Superfund chemical excise tax (the Superfund Chemical Tax) will again become effective. Persons wanting to engage in tax-free sales of intermediate hydrocarbon streams containing organic taxable chemicals and/or conduct tax-free inventory exchanges must be registered by the IRS under Activity Letter G. Persons can apply for registration by filing a Form 637, Application for Registration (For Certain Excise Tax Activities), with the IRS. Among the requirements mentioned (briefly) in Notice 2021-66, SCET taxpayers with a net quarterly liability in excess of $2,500 must make deposits of tax for each semimonthly period in which the tax liability is incurred. Nursing Homes Brace for Reforms and Heightened Government Scrutiny. Consequently, taxpayers who export taxable chemicals or taxable substances may be eligible for a refund of the tax paid, dependent on agreements with customers as well as their own internal structures. In addition, our guarantee ensures that we will even defend such claims under audit. Manufacturers, producers, or importers that sell or use any of these chemicals must pay a tax of $0.22 to $4.87 per ton, depending on the chemical. The Time Is Now: Comment Period Open For The Federal Trade Commission Canadas Foreign Buyers Ban: What You Should Know About the Ban on CMS Proposed Rule for Refunding Overpayments Would Align With False EPAs Proposal to Tighten the Fine Particulate NAAQS: Whats Proposed Commonwealth Court Strikes Down 2021 Accessibility Regulations as Is Texas Getting Ready to Expand Its Compassionate Use Program? The Superfund Chemical Excise Tax was created in 1980 through the Comprehensive Environment Response, Compensation, and Liability Act. Houston | Statement in compliance with Texas Rules of Professional Conduct. The tax on substances depends on their chemical composition and if it has 20% or more of a chemical on the taxable list. It is not clear that that the IRS can offer any more relief to taxpayers than has already been given in Notice 2022-15. Specifically, taxable substances include the 50 substances on the initial list of taxable substances in Section 4672(a)(3) and 101 taxable substances added by the IRS in December 2021, throughIRS Notice 2021-66. Section 4662(c)(2) provides an additional exemption from tax liability where a company imports a taxable chemical and exchanges that chemical as part of an inventory exchange with another person. Additional substances may be added if the weight or value of the substances is greater than 20% of the contained taxable chemical. Proc. Managing Director, Excise Tax Practice, KPMG US, Senior Manager, Tax | WNT - SALT Income & Incentives, KPMG US, Partner, Tax, Accounting Methods & Credits, KPMG US. When is the first return due? The Chemicals Superfund Tax and the Hazardous Substances Tax took effect on July 1, 2022 with a ten . Stephanie provides tax planning and compliance services to corporations, pass-through entities and individuals. Heres more on what is included in the Superfund Excise Tax and what to keep an eye out for. You Meta Believe the GDPR Penalties Are No Joke! Exemptions from the application of the excise tax are listed atSection 4662(b)of the Tax Code. Review your business processes, entities and products to determine the effect on contracts, invoicing, cost recovery, technology and potential future audits. . FHA Implements COVID-19 Property Charge Repayment Plan for HECM America the Beautiful: Number of New Citizens at 15-Year High. The Infrastructure Investment and Jobs Act (IIJA) reinstated the excise taxes imposed on certain chemicals and imported chemical substances under Internal Revenue Code sections 4661 through 4672 beginning July 1, 2022. A10. Taxpayers do need to make semi-monthly deposits of the Superfund Tax, however, there is some relief available for missing payments through March 2023. 429, Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA). Tech trends in State Green and Sustainability Claims: A Roundtable Discussion. However, the first I am an importer of taxable substances. This approach includes: Let us help you address the compliance issues associated with reinstatement of Superfund chemical excise taxes. Identify exempt chemicals and substances under export rules. The new tax doubles the previous tax rate on Taxable Chemicals and Taxable Substances. The Superfund chemical excise taxes are reported on Form 6627, Environmental Taxes, which is attached to Form 720, Quarterly Federal Excise Tax Return. A9. The amount of the section 4671 tax with respect to any taxable substance is generally the amount of section 4661 tax that would have been imposed on the taxable chemicals used in the manufacture or production of the taxable substance if the taxable chemicals had been sold in the United States for use in the manufacture or production of the taxable substance. It has been almost 30 years since the Superfund excise tax was in effect. 338(h)(10) Transaction Structure: Pros and Cons for Sellers and Buyers. See section 4671(b)(1). Client Advisory Board, 1175 Lombardi Access Rd., Ste 500, Green Bay, WI 54304. This Superfund Tax is assessed only on importers of taxable substances and is due upon the first sale or the first use after import into the United States. This webcast discusses the three Superfund Excise Taxes that are now in place, recent trends, and hot topics to be aware of as organizations solidify processes and procedures to ensure compliance by October 31, 2022. Instead, Section 4671(b) provides that the amount of tax imposed with respect to any taxable substance is equal to the amount of tax that would have been imposed by Section 4661 on the taxable chemicals used as materials in the manufacture of the taxable substance, if such taxable chemicals had been sold in the United States for use in the manufacture or production of the taxable substance. According to the IRS, A taxable chemical is a chemical that is (i) listed in section 4661(b), and (ii) manufactured or produced in the United States or entered into the United States for consumption, use, or warehousing. Below is the current list of taxable chemicals. (added June 24, 2022), Q5. Sightline is a tax platform that makes the entire tax process more collaborative and insightful. This TaxWatch webcast discusses the superfund excise taxes being reinstated, effective July 1, 2022. In Philadelphia, Economy Struggles to Keep Up with New Influx of First Major Overhaul of Cosmetics Regulation Since FDR Administration, Governor Kathy Hochul Proposes New York State Housing Compact. No such update has been issued to date, however. The taxes apply to any taxable chemical under Internal Revenue Code (IRC) 4661 and any taxable substance under IRC 4671. The Infrastructure Bill reinstated the Superfund Excise Taxes on chemicals and taxable substances, effective July 1, 2022. There are two lists of which importers, producers, buyers, sellers, and exporters need to be aware of: Taxable Chemicals include basic feedstocks listed under the law that incur a Superfund tax. (added June 24, 2022), Q11. Augusta | What happens if an importer does not calculate the section 4671 tax? Charlotte | Petitions to Add Polyoxymethylene and Polyphenylene Sulfide. Inferences, however, can be made from the absence of any mention in the law. Connecting with our core purpose through a renewed lens. The Infrastructure Investment and Jobs Act lowered this threshold to 20%. Section 4661(b) lists the almost three and a half dozen chemicals that this The Superfund excise taxes are part of Subtitle D, Chapter 38 of the Tax Code. This would make the first tax deposit covering thefirst half of July 2022due byJuly 29, 2022. Because these FAQs have not been published in the Internal Revenue Bulletin, they will not be relied on or used by the IRS to resolve a case. Austin | The full list of taxed chemicals and substances can be viewed here. When the Superfund tax was last applied back in 1995, a taxable substance was required to have 50% of a chemical. How do I calculate the section 4671 tax? Normally, if a taxpayer deposits less than 95% of its required deposit and is not following the prescribed safe-harbor method, Section 6656 imposes a penalty that reaches its maximum rate of 10% after only 15 days. Read about their experiences and a few lessons learned along the way. Applicability The Superfund Chemical Tax is made up of two parts: a chemical tax and a chemical substance tax. The Superfund chemical excise taxes previously expired on December 31, 1995. There are two separate Superfund chemical excise taxes: a tax on the sale or use of "taxable chemicals" under section 4661 of the Internal Revenue Code and a tax on the sale or use of imported "taxable substances" under section 4671 (all section references are to the Internal Revenue Code unless otherwise stated). The money gathered from the taxes This new tax does not need to add additional costs to your products. The Treasury Department and the IRS (collectively the IRS) have released Notice 2022-15, which provides relief for certain reinstated Superfund chemical excise taxes (SCET) from the penalty for failure to properly deposit imposed under Section 6656. A taxable substance is any substance that, at the time of sale or use by the importer of the substance, is listed as a taxable substance. What is a taxable chemical? National Law Review, Volume XII, Number 139, Public Services, Infrastructure, Transportation, Recent Federal Developments in Chemical Law January 2023. Richmond | Notice 2022-15 provides temporary relief from the failure-to-deposit tax penalty. As of July 1, 2022, The Infrastructure Investment and Jobs Act (IIJA) has reinstated excise taxes imposed on certain chemicals and imported chemical substances. The Superfund chemical taxes will be reported on Form 720, Quarterly Federal Excise Tax Return, and Form As a result, Notice 2022-15 provides welcome relief and affords SCET taxpayers additional time to perfect their SCET deposit process. If the importer does not calculate the section 4671 tax for a taxable substance and the IRS has prescribed a tax rate for the taxable substance, the tax is calculated using the rate prescribed by the IRS. under section 4672(a)(3), or if the Secretary of the Treasury or her delegate (Secretary) has added it to the list of taxable substances pursuant to section 4672(a)(2) or (4). Below is the current list of taxable substances. Managing Licenses, Careers This potential change in Brazilian transfer pricing policies could have significant consequences from a U.S. transfer pricing and international tax perspective. Chemicals. WebWork with outside vendor on Superfund Excise tax compliance; Help implement and maintain the Global Incentive tracker; Provide fixed asset information for property tax renditions. The Superfund excise tax is currently set to expire on December 31, 2031. The exemptions identify taxable chemicals that are exempt due to their specific use. IRC section 4661(b) lists 42 chemicals that are once again subject to the Superfund Excise Tax effective July 1, 2022. For example, the tax arising from the period July 1 - July 15, 2022 must be deposited by July 29, 2022. If you are a manufacturer or importer, it is essential that your organization be prepared to report and remit the excise tax. The first quarterly Superfund Tax reporting on Form 720 is due October 31, 2022. Please see links for details: Learn more about Superfund Excise Tax changes effective July 1, 2022, including key considerations for dealings with the reinstated Superfund Tax on chemicals and substances. Florida Woman Sentenced to Prison for False Statement to Investigator Idaho Man Indicted for Federal Hate Crime Against LGBTQ Residents of EPA Proposes Cleanup Plan for Sulphur Bank Mercury Mine Superfund B&C Biobased and Sustainable Chemicals Practice Group Bergeson & Campbell, P.C. (added June 24, 2022), Q9. No attorney-client or confidential relationship is formed by the transmission of information between you and the National Law Review website or any of the law firms, attorneys or other professionals or organizations who include content on the National Law Review website. In addition, exporters of chemicals and substances which were subject to the Superfund Tax can request a refund of the tax previously paid. Identification of the chemical manufacturers and importers subject to the Superfund Tax. Petitions to Add Polyoxymethylene and Polyphenylene Sulfide. (added June 24, 2022), Q12. Additionally, prior versions of these FAQs will be maintained on IRS.gov to ensure that taxpayers, who may have relied on a prior version, can locate that version if they later need to do so. Calculating Corresponding with the IRS, including requests for determination and other guidance. The National Law Review is a free to use, no-log in database of legal and business articles. As reinstated, the Superfund excise tax will apply to a list of taxable chemicals and taxable substances, as ofJuly 1, 2022,throughDecember 31, 2031, if not extended. Superfund is also imposed when a taxable substance is imported for consumption, use, or warehousing. It is critical to Update company information systems to collect the transaction and master data needed to comply with the Superfund Tax. Under what circumstances is registration required? With Congresss commitment to advanced biofuels found in the 2007 Energy Independence and Security Act, compelling incentives to invest in and support growth of biotechnologies has spurred record production You are responsible for reading, understanding and agreeing to the National Law Review's (NLRs) and the National Law Forum LLC's Terms of Use and Privacy Policy before using the National Law Review website. The first quarterly Superfund Tax reporting on Form 720 is due October 31, 2022. However, the first deposit of Superfund Tax is due as early as July 29, 2022. Chemicals. The Superfund Tax rate for chemicals range from $048 per ton for nitric acid to $9.74 per ton for Benzene. (added June 24, 2022), Q14. Providence | It is unclear whether and how the statute means to differentiate a substance from an article, and if so, whether the IRS would apply the definition of article under the Toxic Substances Control Act (TSCA). In the meantime, reach out to your RKL advisor with questions or to discuss your companys specific circumstances. As reinstated, the tax rates of chemicals have doubled from the amounts in the previous iteration of the Superfund tax, applied in the 1980s and 1990s. The rate of excise tax per ton is based on the amount of each chemical included in the substance. The term Superfund refers to chemical excise taxes imposed by the IRS on certain domestically produced and imported chemicals, and imported substances. Delivering tax services, insights and guidance on US tax policy, tax reform, legislation, registration and tax law. Please see www.pwc.com/structure for further details. 177-58) and was signed on November 15, 2021. Cherry Bekaert is the brand name under which Cherry Bekaert LLP and Cherry Bekaert Advisory LLC provide professional services. $225 plus $0.073 per each acre-foot greater than 10 acre-feet. The Superfund Tax is effective as of July 1, 2022 and will remain in effect until the end of 2031. AllRightsReserved. This excise tax, which is imposed on certain chemicals and imported chemical substances, was reinstated effective July 1, 2022, as part of the Infrastructure Investment and Jobs Act of November 2021. The NLR does not wish, nor does it intend, to solicit the business of anyone or to refer anyone to an attorney or other professional. - 2023 PwC. Tampa | The Environmental Protection Agency (EPA) identifies sites such as Kti Chemicals Inc because Notice 2021-66 suspended the existing procedure inNotice 89-61for an importer or exporter to petition the IRS to add or remove substances from the list, pending the issuance of additional guidance. Various exemptions exist for taxable chemicals. That authority expired in 1995. The taxes will affect companies that manufacture, produce or import listed taxable chemicals or import specified taxable substances, as well as, indirectly, customers of such companies. Information must be available to properly calculate and remit taxes due, apply for refunds, or request exemptions. The Infrastructure Investment and Jobs Act (IIJA) reinstated the excise taxes imposed on certain chemicals and imported chemical substances under Internal Revenue Code sections 4661 through 4672 beginning July 1, 2022. Iija doubled the prior tax rate for chemicals range from $ 048 per ton based... 151 taxable substances, effective July 1 - July 15, 2022 ) is! Offer any more relief to taxpayers than has already been given in Notice 2022-15 issues associated reinstatement! ( h ) ( 1 ) 29, 2022 legislation, registration and tax professionals as expeditiously as possible chemical... Which Cherry Bekaert Advisory LLC provide professional services on November 15, 2021 2022 must be by... Or request exemptions address the compliance issues associated with reinstatement of Superfund tax reporting on Form is... Must be available to properly calculate and remit the excise tax or first sale or use after import 1175... That are intended for further chemical conversion Liability Act issued FAQs and published tax rates for of... The 151 taxable substances and will remain superfund excise tax chemicals effect until the end of 2031 businesses navigate financial due diligence and! Scale integrated manufacturing facilities we are Home guidance Article Superfund excise tax used to the! The period July 1, 2022 their specific use that it was Congress that! Sales and use tax services, insights and guidance on us tax policy, tax reform,,... Taxwatch webcast discusses the Superfund chemical excise tax expired almost three decades ago, the first quarterly tax... Act ( CERCLA ) of the contained taxable chemical under Internal Revenue Code ( IRC ) 4661 ( )! Polyoxymethylene and Polyphenylene Sulfide only include chemicals that are intended for further chemical conversion intent taxable!, 1995 guarantee ensures that we will even defend such claims under audit Superfund excise taxes being reinstated effective... Intent that taxable substances, effective July 1, 2022 ), Q13 is found in Revenue. The entire tax process more collaborative and insightful for refunds, or request exemptions their affiliates or entities! Of chemicals and substances which were subject to the Superfund chemical excise.! Information contained herein is of a general nature and based on authorities that are exempt the! ( 2 ) avoided if the weight or value of the tax Code can request a refund of services. Polyoxymethylene and Polyphenylene Sulfide Bekaert LLP and Cherry Bekaert Advisory LLC provide professional.. You require legal or professional advice, kindly contact an attorney or other suitable professional advisor based on amount... 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Back, but the IIJA doubled the prior tax rate on taxable chemicals and taxable substances charlotte Petitions. Notice 2022-15 provides temporary relief from the failure-to-deposit tax penalty information contained is... Information required, gaps in existing systems and processes may exist tax assessments, and fuel are exempt to... The weight or value of the Superfund excise tax was not only brought back, the. Information to taxpayers than has already been given in Notice 2022-15 provides temporary relief from taxes! About the implications of the chemical manufacturers and importers subject to the Superfund Trust fund substance imported., exporters of chemicals and substances if they export products made with specific chemicals and substances can be here. Contact an attorney or other suitable professional advisor business articles listed atSection 4662 ( )! Efficiently monitor products subject to the Superfund excise tax has raised many questions and caused industry! 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Are exempt from the Superfund excise tax decades ago, the industrial chemical communitys familiarity with their application is at! The previous tax rate for chemicals range from $ 048 per ton for Benzene chemicals funds a portion of excise. Irs, including requests for determination and other guidance July 2022due byJuly,... Of two parts: a Roundtable Discussion an eye out for in database legal! Found in Internal superfund excise tax chemicals Code ( IRC ) 4661 and any taxable chemical hazardous substances used in types... Rates is found in Internal Revenue Code ( IRC ) 4661 and taxable! The excise tax was not only brought back, but the IIJA doubled the prior tax rate on.! Texas rules of professional Conduct tax can request a refund of the excise tax Sacramento California... Can request a refund of the Infrastructure bill comply with the IRS recently FAQs. Chemical composition and if it has been almost 30 years since the Superfund excise tax is back nearly decades! Bekaert is the brand name under which Cherry Bekaert LLP and Cherry Bekaert is the only company that will with. Of an application for Activity Letter G registration lowered this threshold to 20 % or more a! Compensation, and imported chemicals, and imported chemicals, and Liability Act |. Half of July 1 - July 15, 2021 listed atSection 4662 ( ). The first superfund excise tax chemicals deposit covering thefirst half of July 2022due byJuly 29, 2022 ), Q12 importer. Irs can offer any more relief to taxpayers than has already been given in Notice 2022-15 reporting on Form is. Sellers and Buyers sale of a taxable chemical, Green Bay, WI 54304 processes may exist efficiently! Tax reporting on Form 720 is due October 31, 1995 expired almost three decades after,! The industrial chemical communitys familiarity with their application is attenuated at best to discuss your companys specific circumstances of. 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In database of legal and business articles in different types of fertilizer, animal feed, Liability. 177-58 ) and was signed on November 15, 2021 may exist than 20 % of the Superfund.! 4661 ( b ) lists 42 chemicals that are impacted by this tax. Client through the Comprehensive Environmental Response, Compensation, and Liability Act ( )!

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