Vaccine Excise Tax: $0.75 per Dose
The vaccine excise tax is $0.75 per dose, but that figure applies to each taxable vaccine in the dose, not to each shot. A single-antigen hepatitis B dose owes $0.75. An MMR dose contains three taxable vaccines (measles, mumps, and rubella) and owes $2.25. The tax goes on Form 720 as IRS No. 97.
That difference is where errors creep in. If you price or report by product name instead of by what is inside, a combination vaccine will be undercounted.
How do you figure the tax on a combination vaccine?
The instructions say that if a taxable vaccine is combined with one or more additional taxable vaccines, the tax is imposed on each one included. Publication 510 states it as $0.75 times the number of taxable vaccines. So count first, then multiply.
| What the dose contains | Taxable vaccines | Tax per dose |
|---|---|---|
| Hepatitis B only | 1 | $0.75 |
| Hepatitis A and hepatitis B | 2 | $1.50 |
| Measles, mumps, and rubella (the IRS example) | 3 | $2.25 |
| Diphtheria toxoid, tetanus toxoid, pertussis, and polio virus | 4 | $3.00 |
| The four above plus HIB | 5 | $3.75 |
Only the MMR row comes directly from the IRS. The others apply the same rule to illustrative combinations using Publication 510's list, where each of these is a separate item. They aren't tied to any specific product, so count from your own product's actual components.
Which vaccines are on the taxable list?
Publication 510 lists each taxable vaccine separately:
- Any vaccine containing diphtheria toxoid, tetanus toxoid, or polio virus.
- Any vaccine containing pertussis bacteria, extracted or partial cell bacteria, or specific pertussis antigens.
- Any vaccine against measles, mumps, rubella, hepatitis A, hepatitis B, chicken pox, rotavirus gastroenteritis, or human papillomavirus.
- Any HIB (haemophilus influenza type B) vaccine and any meningococcal vaccine.
- Any conjugate vaccine against streptococcus pneumoniae.
- Any trivalent vaccine against influenza or any other vaccine against influenza.
A component that isn't on this list doesn't add to the count under these sources. The list is the test, not the general category of "vaccine."
Who pays the vaccine excise tax?
The instructions impose the tax on the sale or use of a vaccine manufactured, produced, or entered into the United States. Publication 510 places it in the manufacturers taxes, where "manufacturer" includes a producer or importer. An importer is a person who brings a taxable article into the United States, or who withdraws one from a customs bonded warehouse for sale or use here.
Using a vaccine counts too. A manufacturer that uses a taxable vaccine before selling it, including a governmental entity, is liable as if it had sold the vaccine.
Which usual exemptions don't cover vaccines?
This is the part that differs most from other manufacturers taxes. Publication 510 carves vaccines out of several exemptions that bows, tires, or fishing gear can use.
| Type of sale | Available for vaccines? |
|---|---|
| State or local government, for its exclusive use | No |
| Nonprofit educational organization, for its exclusive use | No |
| Qualified blood collector organization | No |
| Supplies for vessels | No |
| Further manufacture | The exclusions listed are coal and tires, not vaccines |
| Export | Yes, but a vaccine shipped to a U.S. territory isn't considered exported |
Exempt sales carry their own conditions. Publication 510 requires registration of the manufacturer, the first purchaser, and any second purchaser, subject to its stated exceptions. If an article is sold tax free for export and the manufacturer doesn't receive proof of export, the manufacturer is liable.
A sample quarter on IRS No. 97
The company and figures are made up. A vaccine importer sells these doses in one quarter:
| Doses sold | Taxable vaccines per dose | Tax per dose | Tax |
|---|---|---|---|
| 5,000 hepatitis B | 1 | $0.75 | $3,750 |
| 4,000 hepatitis A and B | 2 | $1.50 | $6,000 |
| 10,000 MMR | 3 | $2.25 | $22,500 |
| Total | $32,250 |
The importer enters $32,250 on the line for IRS No. 97. That line is in Part I, so Schedule A is required. And because net Part I liability is over $2,500 for the quarter, semimonthly deposits are required rather than paying it all with the return. Generally, the deposit for the first half of a month is due by the 29th, and the deposit for the second half by the 14th of the following month. A date that lands on a weekend or legal holiday moves to the preceding business day.
What happens with returned or destroyed doses?
Publication 510 allows a credit or refund, without interest, when a vaccine is returned to the person who paid the tax (other than for resale) or is destroyed. Two conditions apply:
- The claim must be filed within 6 months after the vaccine is returned or destroyed.
- The person who paid the tax must have repaid or agreed to repay the tax to the ultimate purchaser, or obtained that purchaser's written consent.
On Form 720, vaccine claims use Schedule C, line 14, with credit reference number (CRN) 397. Include a detailed description, how you figured the amount, and any other support. Schedule C only works if you are reporting a liability in Part I or II on that return.
Filing IRS No. 97 online
Before you start, total your doses by product and count the taxable vaccines in each. EasyFile720 then guides you through filing Form 720 online, including the Part I lines, Schedule A, and Schedule C if you have a claim. Validations catch common mistakes before you submit, and you sign electronically. The per-dose count stays your job, so keep the worksheet with your records.
There is no cost to create an account, and you pay $39.95 when you file. For quarterly filers, the Full Year Plan on the pricing page is $139.99 per business for four filing credits. For more on who else files this return, see who must file Form 720.
FAQ
Does a clinic that gives vaccines owe this tax?▼
The IRS sources put this tax on the sale or use of vaccines manufactured, produced, or entered into the United States, and Publication 510 describes sales by the manufacturer, which includes a producer or importer. A clinic that only buys vaccines and gives them to patients isn't described there as the taxpayer.
Is a flu shot taxed?▼
Yes. The list includes any trivalent vaccine against seasonal influenza and any other vaccine against seasonal influenza. For non-trivalent vaccines, the effective date is the later of August 1, 2013, or the date Health and Human Services lists a seasonal influenza vaccine for compensation through the Vaccine Injury Compensation Trust Fund.
Does a government vaccine maker have to pay?▼
Publication 510 says any manufacturer, including a governmental entity, that uses a taxable vaccine before it is sold is liable as if the vaccine had been sold.
Do I enter doses or dollars on the IRS No. 97 line?▼
The instructions tell you to add the tax for each taxable vaccine and enter the total tax on the line for IRS No. 97.
File Form 720 online
Create a free account with no credit card and build your return. You pay $39.95 only when you file. EasyFile720 is an IRS-authorized e-file provider, and you get an acknowledgment when the IRS accepts your return.
Sources: Instructions for Form 720 (Rev. June 2026); Form 720 (Rev. June 2026); IRS Publication 510 (Rev. December 2025). General information, not tax advice. Confirm how the rules apply to you with a qualified advisor or the IRS.
