Notice2025-08317
Superfund Tax on Chemical Substances; Request To Modify List of Taxable Substances; Notice of Filing for Linear Nonyl Phthalate
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
May 13, 2025
Issuing agencies
Treasury DepartmentInternal Revenue Service
Abstract
This notice of filing announces that a petition has been filed requesting that linear nonyl phthalate be added to the list of taxable substances. 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 90 Issue 91 (Tuesday, May 13, 2025)</title>
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[Federal Register Volume 90, Number 91 (Tuesday, May 13, 2025)]
[Notices]
[Pages 20348-20349]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-08317]
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DEPARTMENT OF THE TREASURY
Internal Revenue Service
Superfund Tax on Chemical Substances; Request To Modify List of
Taxable Substances; Notice of Filing for Linear Nonyl Phthalate
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
requesting that linear nonyl phthalate be added to the list of taxable
substances. 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 July 14, 2025.
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="https://www.regulations.gov">https://www.regulations.gov</a>
(indicate public docket number IRS-2025-0039 or linear nonyl phthalate)
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cannot be edited or withdrawn once submitted to the Federal eRulemaking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:01:PR (Notice of
Filing for Linear Nonyl Phthalate), 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="https://www.regulations.gov">https://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: Jacob W. Peeples at (202) 317-6855
(not a toll-free number).
SUPPLEMENTARY INFORMATION:
Request To Add Substance to the List
(a) Overview. A petition was filed pursuant to Rev. Proc. 2022-26
(2022-29 I.R.B. 90), as modified by Rev. Proc. 2023-20 (2023-15 I.R.B.
636), requesting that linear nonyl phthalate be added to the list of
taxable substances under section 4672(a) of the Internal Revenue Code
(List). The petition requesting the addition of linear nonyl phthalate
to the List is based on weight and 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 information in this notice of filing is not a
determination and does not constitute Treasury Department or IRS
confirmation of the accuracy of the information published.
(b) Petition Content.
(1) Substance name: Linear nonyl phthalate.
(2) Petitioner: Exxon Mobil Corporation, an exporter of linear
nonyl phthalate.
(3) Proposed classification numbers:
(i) HTSUS number: 2917.33.00.50.
(ii) Schedule B number: 2917.33.0050.
(iii) CAS number: 68515-45-7.
(4) Petition filing dates:
(i) Petition filing date for purposes of making a determination:
April 8, 2025.
(ii) Petition filing date for purposes of section 11.02 of Rev.
Proc. 2022-26, as modified by section 3 of Rev. Proc. 2023-20: July 1,
2022.
(5) Description from petition: Linear nonyl phthalate is a
plasticizer used when greater low-temperature flexibility or a specific
end use application requires unique processing. It is suitable for
flexible PVC products, and it exhibits strong, low-temperature
performance and improved resistance to UV light.
Linear nonyl phthalate is made from ethylene, orthoxylene (an
isomer of xylene), carbon monoxide, hydrogen, and oxygen. Taxable
chemicals constitute 67.4 percent by weight of the materials used to
produce this substance.
(6) Process identified in petition as predominant method of
production of substance: The predominant method of producing linear
nonyl phthalate is via Esterification.
The linear nonyl phthalate di-ester is made by reacting a mix of
primary C9 alcohol with phthalic anhydride. The ester is produced by
esterification of 2 moles of a linear C9 alcohol with one
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mole of phthalic anhydride in the presence of an acidic catalyst.
By using excess alcohol (up to 25% molar excess of C9 alcohol) and
removing the water, the equilibrium is shifted towards the formation of
the di-ester. The reactants are charged into a reactor and heated up.
The reaction rate is accelerated by using, for example, tetra-n-butyl
titanate introduced at high temperature (140 [deg]C-250 [deg]C), while
removing the water formed.
The final ester is purified by neutralizing with a base such as an
aqueous solution of sodium carbonate. Then excess alcohol is distilled
off using steam/nitrogen stripping after neutralization. The remaining
excess water is distilled off and the ester is then filtered using
filter agents.
The degree of purity of the ester is up to >99.5 wt%. The overall
formula is C<INF>26</INF>H<INF>42</INF>O<INF>4</INF> and the molecular
weight is 418 g/mole, based on an average carbon number of the alkyl
groups, with 9 carbons being the predominant number.
The linear C9 alcohol is obtained through hydroformylation of
octene. Octene is obtained through ethylene oligomerization.
Hydroformylation is the reaction of octene, at high pressure and
temperature in the presence of a catalyst, with syngas (a mixture of
carbon monoxide and hydrogen). An alcohol with one carbon atom higher
versus the starting olefin is obtained, hence octene gives nonanol. The
hydroformylation induces 0.3 branches per molecule predominantly on the
2-postion carbon of the alcohol. phthalic anhydride is obtained through
air oxidation of o.xylene.
(7) Stoichiometric material consumption equation, based on process
identified as predominant method of production:
8 C<INF>2</INF>H<INF>4</INF> [ethylene] + 2 CO [carbon monoxide] + 4
H<INF>2</INF> [hydrogen] + C<INF>8</INF>H<INF>10</INF> [orthoxylene] +
3 O<INF>2</INF> [oxygen] [rarr]
C<INF>26</INF>H<INF>42</INF>O<INF>4</INF> [linear nonyl phthalate] + 4
H<INF>2</INF>O [water]
(8) Tax rate calculated by Petitioner, based on Petitioner's
conversion factors for taxable chemicals used in production of
substance:
(i) Tax rate: $7.69 per ton.
(ii) Conversion factors: 0.54 for ethylene and 0.25 for xylene.
(9) Public docket number: IRS-2025-0039.
Michael Beker,
Senior Counsel (Energy, Credits, and Excise Tax), IRS Office of Chief
Counsel.
[FR Doc. 2025-08317 Filed 5-12-25; 8:45 am]
BILLING CODE 4830-01-P
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