Posted 02/22/2019
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On February 8, 2019, TTB published a new version of the Federal Firearms and Ammunition Quarterly Excise Tax Return (TTB F 5300.26). The updated FAET Return clarifies certain data fields and form instructions to help taxpayers file accurate returns and to allow TTB to better verify a taxpayer’s liability without the need to request additional information. Updates include:
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FAET taxpayers should use the new FAET Return for the first quarterly tax period of 2019 (January 1 through March 31,with returns due April 30, 2019).
The updated FAET Return is available for electronic filing in Pay.gov, as well as in fillable pdf format.
Changes to Part II
We reorganized and revised the data fields in Part II to give taxpayers the opportunity to report with greater specificity any adjustments to the sales and/or uses forming the basis of their tax liability. Changes include:
- Consolidated the reporting of articles sold and those put to business uses
- Broke down the reporting of eligible adjustments into three categories:
- Included excise tax,
- Non-taxable articles,
- Other
In the past, TTB has noted that taxpayers frequently make errors regarding adjustments for tax included in the sale price of the firearm and for non-taxable articles, which are the most common adjustments made by FAET taxpayers. We believe that separating the reporting categories will provide the taxpayer and TTB the most accurate picture of liability. Other adjustments, such as those for local advertising or discounts, can be reported in the catch-all “other” category.
All of the Part II changes are reflected in the chart below.
| Previous FAET Return |
New FAET Return |
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Line Number |
Line Description |
Line Number |
Line Description |
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8. |
The sales price of all articles sold |
8. |
The sales price of all articles sold and/or put to a business use |
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9. |
The sales price of all articles sold tax-exempt |
9. |
The sales price of all articles sold tax-exempt |
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10. |
The sales price of all articles sold tax-free |
10. |
The sales price of all articles sold tax-free |
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11. |
Taxable sales (Item 8 minus Item 9 and Item 10) |
11. |
Taxable sales and uses (Item 8 minus Item 9 and Item 10) |
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12. |
Eligible adjustments |
12. |
Eligible adjustments – included excise tax |
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13. |
Adjusted taxable sales (Item 11 plus or minus Item 12) |
13. |
Eligible adjustments – non-taxable articles |
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14. |
The sales price of all articles used |
14. |
Eligible adjustments – other |
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15. |
Total taxable sales and uses (Item 13 plus Item 14) |
15. |
Adjusted taxable sales and uses (Item 11 minus Items 12, 13, and 14) |
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Tax Rates |
Tax Rates |
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16. |
Total tax (Multiply Item 15 by the Tax Rate above) |
16. |
Total tax (Multiply Item 15 by the Tax Rate above) |
Changes to Part III:
- We added reminder text to lines 18 and 20, concerning increasing adjustments and decreasing adjustments, respectively.
The added text reminds taxpayers that these adjustments are used to account for prior quarter activity.
- Increasing adjustments are made to account for underpayments from a prior quarter
- Decreasing adjustments are made to account for overpayments from a prior quarter.
If you have any questions about the new FAET Return, you may contact the National Revenue Center online or call 877-882-3277 (Toll Free).
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