[Federal Register Volume 59, Number 49 (Monday, March 14, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-5858]


[[Page Unknown]]

[Federal Register: March 14, 1994]



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Tax on Certain Imported Substances; Filing of Petition; Para-
nitrophenol, Etc.

AGENCY: Internal Revenue Service, Treasury.

ACTION: Notice.

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SUMMARY: This notice announces the acceptance, under notice 89-61, 
1989-1 C.B. 717, of petitions requesting that para-nitrophenol, ortho-
nitrochlorobenzene, and para-nitrochlorobenzene be added to the list of 
taxable substances in section 4672(a)(3) of the Internal Revenue Code. 
Publication of this notice is in compliance with notice 89-61. This is 
not a determination that the list of taxable substances should be 
modified.

DATES: Written comments and requests for a public hearing relating to 
these petitions must be received by May 13, 1994. Any modification of 
the list of taxable substances based upon these petitions would be 
effective July 1, 1990.

ADDRESSES: Send comments and requests for a public hearing to: Internal 
Revenue Service, P.O. Box 7604, Ben Franklin Station, Washington, DC 
20044 (Attn: CC:DOM:CORP:T:R (Petition), room 5228).

FOR FURTHER INFORMATION CONTACT: Tyrone J. Montague, Office of 
Assistant Chief Counsel (Passthroughs and Special Industries), (202) 
622-3130 (not a toll-free number).

SUPPLEMENTARY INFORMATION: The petitions were received on September 29, 
1989. The petitioner is Monsanto Company, a manufacturer and exporter 
of these substances. The following is a summary of the information 
contained in the petitions. The complete petitions are available in the 
Internal Revenue Service Freedom of Information Reading Room.

Para-nitrophenol

HTS number: 2908.90.04.00
CAS number: 100-02-7

    This substance is derived from the taxable chemicals chlorine, 
benzene, sodium hydroxide, nitric acid, and sulfuric acid. Para-
nitrophenol is a solid produced predominantly by the reaction of para-
nitrochlorobenzene with aqueous sodium hydroxide, followed by reaction 
with sulfuric acid to form para-nitrophenol from the resulting para-
nitrophenoxide.
    The stoichiometric material consumption formula for this substance 
is:

Cl2 (chlorine) + C6H6 (benzene) + 2 NaOH (sodium 
hydroxide) + HNO3 (nitric acid) + 0.5 H2SO4 (sulfuric 
acid) ----> C6H5NO3 (p-nitrophenol) + NaCl (sodium 
chloride) + 2 H2O (water) + 0.5 Na2SO4 (sodium sulfate) 
+ HCl (hydrogen chloride)

    According to the petition, taxable chemicals constitute 100 per 
cent by weight of the materials used to produce this substance. The 
rate of tax for this substance would be $4.85 per ton. This is based 
upon a conversion factor for chlorine of 0.54, a conversion factor for 
benzene of 0.60, a conversion factor for sodium hydroxide of 0.75, a 
conversion factor for nitric acid of 0.47, and a conversion factor for 
sulfuric acid of 0.59.

Ortho-nitrochlorobenzene

HTS number: 2903.69.00.00
CAS number: 88-73-3

    This substance is derived from the taxable chemicals chlorine, 
benzene, and nitric acid. Ortho-nitrochlorobenzene is a solid produced 
predominantly by the nitration of monochlorobenzene.
    The stoichiometric material consumption formula for this substance 
is:

Cl2 (chlorine) + C6H6 (benzene) + HNO3 (nitric 
acid) ----> C6H4ClNO2 (o-nitrochlorobenzene) + H2O 
(water) + HCl (hydrogen chloride)

    According to the petition, taxable chemicals constitute 100 per 
cent by weight of the materials used to produce this substance. The 
rate of tax for this substance would be $3.89 per ton. This is based 
upon a conversion factor for chlorine of 0.47, a conversion factor for 
benzene of 0.52, and a conversion factor for nitric acid of 0.41.

Para-nitrochlorobenzene

HTS number: 2903.69.00.00
CAS number: 100-00-5

    This substance is derived from the taxable chemicals chlorine, 
benzene, and nitric acid. Para-nitrochlorobenzene is a solid produced 
predominantly by the nitration of monochlorobenzene.
    The stoichiometric material consumption formula for this substance 
is:

Cl2 (chlorine) + C6H6 (benzene) + HNO3 (nitric 
acid) ----> C6H4ClNO2 (p-nitrochlorobenzene) + H2O 
(water) + HCl (hydrogenchloride)

    According to the petition, taxable chemicals constitute 100 per 
cent by weight of the materials used to produce this substance. The 
rate of tax for this substance would be $3.89 per ton. This is based 
upon a conversion factor for chlorine of 0.47, a conversion factor for 
benzene of 0.52, and a conversion factor for nitric acid of 0.41.
Dale D. Goode,
Federal Register Liaison Officer, Assistant Chief Counsel (Corporate).
[FR Doc. 94-5858 Filed 3-11-94; 8:45 am]
BILLING CODE 4830-01-U