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Ultimate Vendors of Undyed Diesel
Fuel
Claim with Simple720!

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What is Sales by Registered Ultimate Vendors of Undyed Diesel Fuel(7) under Schedule C Claim of Form 720?

The Registered Ultimate Vendor of undyed diesel fuel(7) may file a claim for the excise tax previously paid on fuel sold to eligible buyers. The fuel must have been sold for exclusive use by a state or local government, including essential government use by an Indian tribal government. Only one claim can be filed for any gallon of diesel fuel.

Line 7a Claimant Eligibility

The registered ultimate vendor of the diesel is eligible to make the claim, provided they have obtained the required certificate from the buyer and have no reason to believe any information in the certificate is false. Refer to Model Certificate P in Pub. 510.

Line 7b Claimant Eligibility

The registered ultimate vendor may file a claim under Line 7b only if the buyer waives their right to make the claim by providing an unexpired waiver to the vendor. Refer to Model Waiver N in Pub. 510.

Visit Publication 510

Form 720 Claim Rate
  • Line 7a: Eligible for a claim at $0.243 per gallon for fuel used by a state or local government (including essential government use by an Indian tribal government).
  • Line 7b: Eligible for a claim at $0.17 per gallon for fuel used in certain intercity and local buses.
Eligibility to Claim Sales by Registered Ultimate Vendors of Undyed Diesel Fuel(7)
  • Claim Period: The claim must be based on diesel fuel sold during a period of at least one week. This requirement will generally be met for quarterly claims filed on Form 720.
  • Minimum Claim Amount: The total claim must be at least $200. To meet this minimum, amounts from Lines 7, 8, and 9 can be combined.
  • Filing Deadline: Claims must be filed by the last day of the first quarter following the earliest quarter of the claimant's income tax year included in the claim. For a calendar year taxpayer, the claim for the first quarter is due by April 30 when using Form 720.
  • Exclusive for Line 7b: The registered ultimate vendor must obtain an unexpired waiver from the buyer, waiving their right to make the claim. This is required for Line 7b claims and is outlined in Model Waiver N in Pub. 510.

Why File Electronically for Sales by Registered Ultimate Vendors of Undyed Diesel Fuel(7) with Simple720?

Secure & IRS-Authorized Filing Platform
File confidently using a secure, IRS-authorized portal designed to meet AICPA SOC standards. Your data is safeguarded with advanced security measures while ensuring compliance with IRS requirements.
Easy and Simple Navigation
Enjoy a smooth, intuitive filing experience with Simple720’s user-friendly interface. Navigate through the process effortlessly, saving time and ensuring accuracy with every step.
Immediate Acknowledgment
Receive instant acknowledgment of your claim submission. Simple720 provides quick confirmation upon submission, ensuring your claim is successfully filed and processed without delay.

How to Claim Your Sales by Registered
Ultimate Vendors of Undyed Diesel Fuel(7)

STEP 1
Provide Business and Tax Information
Begin by entering your business name, address, Employer Identification Number (EIN), and contact details. Choose the appropriate category for your filing and fill in relevant information such as the quantity of undyed diesel used, tax date, and any other applicable details.
Filing Steps Image 1
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STEP 2
Select Your Eligible Claims
Choose the Sales by Registered Ultimate Vendors of Undyed Diesel Fuel(7) that applies to your claim. If you have any supporting documents, you can upload them at this stage to ensure your claim is accurate and complete.
STEP 3
Review Tax Adjustment and Payment
The system will automatically calculate the tax amount based on the claim details provided. Any necessary adjustments will be applied, and you can proceed with the payment to finalize your claim submission.
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