Form 637 - 2022

IRS Form 637 filing guide: Eligibility, registration and instructions

What is Form 637 used for?

Form 637, Application for Registration (For Certain Excise Tax Activities), is how businesses and individuals register with the IRS before taking part in activities tied to federal excise taxes. Registration is required before you undertake certain taxable activities or before you can claim an excise tax benefit.

Those benefits include the right to buy or sell an article tax-free, or to file a claim for a refund or credit. The form covers activities under Internal Revenue Code sections 4101, 4222, 4662 and 4682, which reach fuel, taxable articles and certain chemicals.

Who needs to file Form 637?

Registration applies to specific roles rather than to taxpayers in general. Most filers are businesses that produce, import, sell or handle goods subject to federal excise tax and want approval before making tax-free transactions.You likely need to file Form 637 if you fall into one of these groups:

• Fuel producers and handlers, including refiners, terminal operators, blenders and importers of gasoline, diesel or kerosene
• Biodiesel, renewable diesel, alcohol fuel and sustainable aviation fuel producers seeking fuel credits
• Manufacturers, producers or importers of taxable articles such as tires, sport fishing equipment, bows and gas guzzler vehicles
• Buyers purchasing those taxable articles tax-free for further manufacture, resale or export
• Manufacturers or sellers dealing in taxable chemicals or ozone-depleting chemicals

Each business unit that has, or must have, its own employer identification number files a separate Form 637. A parent company and its subsidiary are treated as different persons and register separately.

What activities require registration?

The form assigns a letter to each registrable activity, and you select the letters that match your operations. A single Form 637 can cover more than one activity if your business fills several roles at once.

Common activity letters include:

• Letter A for manufacturers of taxable articles such as tires, vaccines or gas guzzler automobiles
• Letter B for buyers of those articles for further manufacturing or resale
• Letter D for buyers purchasing taxable articles for export
• Fuel letters under section 4101 for handlers, blenders and clean-fuel producers
• Letter G for inventory exchanges of taxable chemicals or intermediate hydrocarbon streams

The body of the form lists each letter alongside the extra documentation that activity requires. Publication 510, Excise Taxes, explains in more detail which registrations apply to your situation.

How to file Form 637

Filing starts with identifying your activity letters and gathering entity, ownership and financial details. You then complete the form, attach the supporting documents each activity requires and sign it as a person authorized to act for your business.

Submit the completed form one of two ways:

• Fax it to the IRS toll-free line at 855-887-7735
• Mail it to the Excise Operations Unit, Mail Stop 5701G, Cincinnati, OH 45999

After review, the IRS issues a Letter of Registration listing your approved activities, effective date and registration number. A copy of your filed Form 637 is not a Letter of Registration, so you cannot make tax-free transactions until approval arrives. Reviews can take anywhere from several weeks to several months.

How long is a Form 637 registration good for?

A registration does not carry a fixed expiration date. It generally stays in effect until the IRS revokes it or until you are required to reregister, so keeping your details current matters.

You must notify the IRS within 10 days of any change to the information on your application. This includes address changes and changes in your business activities. Fuel registrants may also need to reregister after certain ownership changes.

Failing to register when you are required to carries a penalty of $10,000 for the initial failure plus $1,000 for each day that follows, unless the failure is due to reasonable cause. Registration tests can also include an inspection of your business premises during normal hours without advance notice.

Need to file Form 637?

Form 637 gives you a fillable version you can complete on screen, then fax or mail to the IRS Excise Operations Unit. Fill in your activity letters, entity details and signature without printing a blank copy first. Try it today for free.