Notice2022-28407
Superfund Chemical Substance Tax; Request To Modify List of Taxable Substances; Filing of Petition for Polyphenylene Sulfide
Primary source
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Published
December 30, 2022
Issuing agencies
Treasury DepartmentInternal Revenue Service
Abstract
This notice of filing announces that a petition has been filed pursuant to Revenue Procedure 2022-26, 2022-29 I.R.B. 90, requesting that polyphenylene sulfide be added to the list of taxable substances under section 4672(a) of the Internal Revenue Code. This notice of filing also requests comments on the petition. This notice of filing is not a determination that the list of taxable substances is modified.
Full Text
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<title>Federal Register, Volume 87 Issue 250 (Friday, December 30, 2022)</title>
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[Federal Register Volume 87, Number 250 (Friday, December 30, 2022)]
[Notices]
[Pages 80579-80580]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-28407]
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DEPARTMENT OF THE TREASURY
Internal Revenue Service
Superfund Chemical Substance Tax; Request To Modify List of
Taxable Substances; Filing of Petition for Polyphenylene Sulfide
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Notice of filing and request for comments.
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SUMMARY: This notice of filing announces that a petition has been filed
pursuant to Revenue Procedure 2022-26, 2022-29 I.R.B. 90, requesting
that polyphenylene sulfide be added to the list of taxable substances
under section 4672(a) of the Internal Revenue Code. This notice of
filing also requests comments on the petition. This notice of filing is
not a determination that the list of taxable substances is modified.
DATES: Written comments and requests for a public hearing must be
received on or before February 28, 2023.
ADDRESSES: Commenters are encouraged to submit public comments or
requests for a public hearing relating to this petition electronically
via the Federal eRulemaking Portal at <a href="http://www.regulations.gov">http://www.regulations.gov</a>
(indicate public docket number IRS-2022-0037 or polyphenylene sulfide)
by following the online instructions for submitting comments. Comments
cannot be edited or withdrawn once submitted to the Federal eRulemaking
Portal. Alternatively, comments and requests for a public hearing may
be mailed to: Internal Revenue Service, Attn: CC:PA:LPD:PR (Notice of
Filing for Polyphenylene Sulfide), Room 5203, P.O. Box 7604, Ben
Franklin Station, Washington, DC 20044. All comments received are part
of the public record and subject to public disclosure. All comments
received will be posted without change to <a href="http://www.regulations.gov">www.regulations.gov</a>,
including any personal information provided. You should submit only
information that you wish to make publicly available. If a public
hearing is scheduled, notice of the time and place for the hearing will
be published in the Federal Register.
FOR FURTHER INFORMATION CONTACT: Please contact Amanda F. Dunlap, (202)
317-6855 (not a toll-free number).
SUPPLEMENTARY INFORMATION:
(a) Overview. The petition requesting the addition of polyphenylene
sulfide to the list of taxable substances under section 4672(a) of the
Internal Revenue Code contains the information detailed in paragraph
(b) of this document. The information is provided for public notice and
comment pursuant to section 9 of Rev. Proc. 2022-26. The publication of
petition content in this notice of filing does not constitute
Department of the Treasury or Internal Revenue Service confirmation of
the accuracy of the information published.
(b) Petition Content.
(1) Substance name: Polyphenylene sulfide.
According to the petition, these are the commonly used substance
names for polyphenylene sulfide:
[[Page 80580]]
Polyphenylene sulfide
PPS
Poly(p-phenylenesulfide)
Benzene, 1,4-dichloro-, polymer with sodium sulfide
(2) Petitioner: Celanese Ltd., an exporter of polyphenylene
sulfide.
(3) Proposed Classification Numbers:
HTSUS number: 3911.90.2500
Schedule B number: 3911.90.6100
CAS numbers: 25212-74-2, 26125-40-6
(4) Petition Filing Date: December 20, 2022.
Petition filing date for purposes of section 11.02 of Rev. Proc.
2022-26: July 1, 2022.
(5) Brief Description of the Petition: According to the petition,
polyphenylene sulfide is a high-performance thermoplastic, has high
heat and chemical resistance, and is used in applications such as
filters, appliance, machine and automobile parts, replacing steel in
some cases.
In the final step, polyphenylene sulfide is manufactured by the
polymerization of 1,4-dichlorobenzene (p-DCB), a taxable substance,
with sodium hydrosulfide and sodium hydroxide. Sodium hydrosulfide is
made from sodium hydroxide and hydrogen sulfide. Taxable chemicals
constitute 90.0 percent by weight of the materials used to produce this
substance.
(6) Process Identified in Petition as Predominant Method of
Production of Substance:
Three separate reactions:
(A) 1,4 dichlorobenzene is made from the reaction of benzene with 2
equivalents of chlorine.
(B) Sodium hydrogen sulfide is made from the reaction of hydrogen
sulfide with sodium hydroxide.
(C) 1,4-dichlorobenzene (p-dichlorobenzene, p-DCB), sodium
hydrosulfide (NaSH), and sodium hydroxide (NaOH) are reacted at high
temperature and high pressure to form polyphenylene sulfide and
byproduct sodium chloride.
(7) Stoichiometric Material Consumption Equation, Based on Process
Identified as Predominant Method of Production:
n [2 NaOH + C<INF>6</INF>H<INF>6</INF> + 2 Cl<INF>2</INF> +
H<INF>2</INF>S ] ><h-dar/uar><u-arrow><h-dar/uar><h-dar/uar><
[phenylene sulfide]<INF>n</INF> + 2n H<INF>2</INF>O + 2n NaCl
(8) Rate of Tax Calculated by Petitioner Based on Petitioner's
Conversion Factors for Taxable Chemicals Used in Production of
Substance: Rate of Tax: $14.50 per ton.
Conversion Factors:
0.74 for sodium hydroxide
0.72 for benzene
1.31 for chlorine
(9) Public Docket Number: IRS-2022-0037.
Stephanie Bland,
Branch Chief (Passthroughs and Special Industries), IRS Office of Chief
Counsel.
[FR Doc. 2022-28407 Filed 12-29-22; 8:45 am]
BILLING CODE 4830-01-P
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