E-file Your Ship Passenger Excise Tax in Just a Few Minutes with Simple720

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Ship Passenger Excise Tax

What Is the Ship Passenger Excise Tax (IRS No. 29)?

Ship Passenger Excise Tax

Under Section 4471 of the Internal Revenue Service (IRC), the Ship Passenger Excise Tax applies to certain “covered voyages” provided by commercial passenger vessels.

Key Points

Form 720 Tax Rate: Ship Passenger Excise Tax (IRS No. 29) is imposed at $3 per person regardless of fare price or ticket cost and must be reported on IRS Form 720 for the applicable quarter.

  • The tax is imposed on commercial vessels that carry passengers on covered voyages, typically voyages that begin and end in U.S. ports and meet criteria under the regulation.
  • Vessel operators (not individual passengers) are responsible for reporting and paying the tax.
Who Is Responsible for Paying This Tax?

The operator of the commercial passenger vessel providing the voyage must collect the tax (typically as part of the ticket purchase) and remit it via Form 720 on a quarterly basis.

Why Opt for Electronic Filing for Your
Ship Passenger Tax(IRS No. 29)?

Easy and Simple Navigation
By filing electronically, you get a streamlined guided workflow, with no more navigating complicated paper forms or worrying about manually entering data.
Cost Saving Convenience
Online filing reduces administrative overhead and eliminates postage or handling costs tied to mailing paper forms, saving both time and money for vessel operators.
Fast Processing and Confirmation
Submit your tax obligation in minutes and get immediate confirmation, giving you peace of mind that your quarterly compliance is done correctly and on time.

Steps to Complete Your Ship Passenger
Tax(IRS No. 29) Filing with Simple720

STEP 1
Enter Business Details
Provide your business name, address, EIN, and contact information.
Filing Steps Image 1
Filing Steps Image 2
STEP 2
Tax Information
Navigate to Ship Passenger Tax and select Transportation by water (IRS Number 29).
Enter
  • Tax date
  • Total number of persons
STEP 3
Payment Information
Review the tax amount and select your preferred payment method to finalize the filing.
Filing Steps Image 3

Why Choose Simple720 for Filing Your
Ship Passenger Tax(IRS No. 29)?

Accurate Vessel & Passenger
Data Handling
Our platform ensures accurate capture of passenger counts and voyage details reducing the chance of reporting errors and avoiding costly IRS penalties.
Compliance with IRS Requirements
Simple720 stays updated with the latest IRS regulations (including Section 4471) so your filings meet all statutory requirements without you needing to track changes manually.
Secure, IRS-Approved E-file Transmission
Simple720 is authorized to submit Form 720 electronically; your tax filings are transmitted securely and directly to the IRS, ensuring reliability and compliance.

Simple720 Vs Others

IRS Authorized e-Filer Brand X Brand Y Brand Z
Cloud-Based No No No
Software Download Yes-PC Only Yes Yes
License Required Required Required
Annual Contract Required Required Required
All Excise Taxes Fuel Taxes Only No No
Cost $1,000+/yr. $1,500+/yr. $5,000+/yr.
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Frequently Asked Questions

Yes, the tax applies per passenger on each covered voyage, at a flat rate of US$ 3 per passenger.

The vessel operator providing the voyage, not the passengers, is responsible for collecting and remitting the tax via Form 720.

Yes, when you file your quarterly Form 720, you can report all voyages and total passenger counts for that quarter in a single submission.

A covered voyage generally means a commercial passenger voyage that meets the criteria under Section 4471. Operators should refer to IRC and the associated regulations to determine eligibility.

Missing the deadline could lead to penalties or interest charges from the IRS. Using Simple720's e-file option, ideally before the quarterly due date, helps ensure timely submissions.

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