IRS Form 720‑TO – Terminal Operator Report

Last reviewed: 2025‑10‑26

Use the Form 720‑TO – Terminal Operator Report Tax Form Calculator Form 720‑TO – Terminal Operator Report as a stand alone tax form calculator to quickly calculate specific amounts for your 2026 720to state tax return. Alternatively, you can use one of our Combined Federal and State Tax Estimators to quickly calculate your salary, tax, and take-home pay.

Form 720‑TO (Terminal Operator Report) is used by terminal operators registered with the IRS to report details of fuel movements into and out of IRS‑designated fuel terminals. This includes gasoline, diesel, kerosene, biodiesel, and other motor fuels that are subject to federal excise tax rules.

What to include on Form 720‑TO:

Individual transactions: Each line details a separate shipment—include date, fuel type, origin, destination, and quantities.
Reportable parties: List the IRS registration numbers of both the supplier and the recipient.
Transport type: Indicate pipeline, barge, rail, or truck for each transaction.
Terminal control number (TCN): Use accurate IRS terminal codes.

Terminal Operator Report
				Net Gallons (attach additional schedule(s) if needed) Enter the transactions for the period on Schedules A and B, then complete lines 1 through 7 for each product code (PC) (see the instructions).
				(a) PC:	(b) PC:	(c) PC:	(d) PC:
1	Beginning inventory.
2	Total receipts. Enter the total net gallons from Schedule(s) A, column (g), by PC.
3	Total gallons available. Add lines 1 and 2.
4	Total disbursements. Enter the total net gallons from Schedule(s) B, column (f). If you have disbursements for more than one position holder for a PC, add the amounts from each position holder’s Schedule B and enter the combined total by PC.
5	Subtract line 4 from line 3.
6	Stock gains and losses. Show losses in (parentheses).
7	Actual physical ending inventory at terminal.
Under penalties of perjury, I declare that I have examined this return, including accompanying schedules and statements, and to the best of my knowledge and belief, it is true, correct, and complete.
Schedule A Terminal Operator Receipts
1	Product Code (PC). Enter the PC (see instructions). A separate schedule is required for each PC ▸					Page of For more than one Schedule A, for each different PC, number each sheet. For example, 1 of 4, 2 of 4, etc.
1a	Position Holder (PH) name. Enter PH name for PCs Bxx, Dxx, and Exx. Enter one name per page.				PH EIN	PH Form 637 registration number
2	Enter in the columns below the information requested for the PC on line 1 above.
(a) Carrier name		(b) Carrier EIN	(c) Mode code	(d) Vessel official number (required when mode code is B, S, IB, IS, EB, or ES)	(e) Document date	(f) Document number	(g) Net gallons
















3	Total. Add amounts in column (g) and enter the total. If there is more than one page for a PC, add the amounts from each page and enter the result on the last page of Schedule A for that PC. Do not enter page subtotals. Enter the amount from column (g) on Form 720-TO, Part III, line 2, in the column for the applicable PC ▸						3
Schedule B Terminal Operator Disbursements by Position Holder
Position Holder name. Enter one name per page.			PH EIN	PH Form 637 registration number	Page of For more than one Schedule B, for each different PC, DS, or MC, number each sheet. For example, 1 of 4, 2 of 4, etc.
Complete lines 1 through 4 for each PC.
1	Product Code (PC). Enter the PC (see instructions). A separate schedule is required for each PC ▸						1
2	Destination State (DS). Enter the DS for each PC (see instructions). A separate schedule is required for each PC by state. PC 167 destined for Virginia (VA) and Maryland (MD) requires two schedules ▸						1
3	Mode Code (MC). Enter the MC (see instructions) for each PC for each DS. PC 167 destined for VA by truck and rail and destined for MD by truck and rail would require four separate schedules: (1) PC 167, VA, rail; (2) PC 167, VA, truck; (3) PC 167, MD, rail; and (4) PC 167, MD, truck ▸						1
Example. ABC Terminal is preparing Schedule B for disbursements made by position holder XYZ. XYZ disburses gasoline (PC 065), diesel fuel #2 low sulphur undyed (PC 167), and jet fuel (PC 130) during the month destined for two states by truck. ABC must prepare six Schedules B to report XYZ’s transactions (3 PCs x 2 DSs). A further breakdown by MC is not needed because only truck was used.
4	Enter in the columns below the information requested for the PC on line 1 above.
(a) Carrier name		(b) Carrier EIN	(c) Vessel official number (required when mode code is B, S, IB, IS, EB, or ES)	(d) Document date	(e) Document number	(f) Net gallons	(g) Gross gallons










5	Totals. Add all amounts in columns (f) and (g) for each PC, DS, or MC. If there are two MCs for a product destined for one state, or if a product is destined for two states, then two Schedules B and totals are required. If there is more than one Schedule B for a PC, DS, or MC, add the amounts from each schedule and enter the result on the last page of Schedule B for each different PC, DS, or MC. Do not enter page subtotals. Enter the amount from column (f) for each PC on Form 720-TO, Part III, line 4, in the column for the applicable PC ▸					5(f)	5(g)

Filers must submit a copy of Form 720‑TO electronically, generally on a monthly basis, by the last day of the month following the report month. Late or incorrect filings may trigger penalties or fuel tax audits.

This form must align with Form 720‑CS (Carrier Summary Report) to ensure consistency between individual shipments and summarized volumes.

Last reviewed: 2025‑10‑26: If you believe this form requires an update, please contact us.

Terminal operators should implement systems that track fuel inventory in real-time, automatically populate Form 720‑TO fields, and reconcile inventory movement with federal reporting standards. This reduces the risk of compliance errors and enables faster resolution in the event of an IRS inquiry.

For full compliance, verify terminal codes, party registration numbers, and maintain original documentation for each shipment reported.

Frequently Asked Questions

Can I estimate the General Business Credit?

Start with Form 3800 and then reflect the credit here.

How much would a 401(k) contribution change my net?

Model it with the 401(k) Calculator then rerun this page with your pre-tax amount.

Considering an IRS Offer in Compromise?

Read through Form 656-B to understand eligibility and steps.

What does FICA include?

FICA includes Social Security and Medicare payroll taxes withheld from employee wages.

Is there a quick pay-frequency comparison?

Yes—switch frequency on this page; for employer filings see 941 vs 944.

Important Notes

All calculations are estimates for guidance only. Always review your return and consider professional advice when submitting official filings.