IRS seeks comment on adding acrylonitrile-butadiene rubber to taxable substances list
The petition filed by Zeon Chemicals L.P. asks the IRS to list NBR as a taxable chemical, with a proposed $9.54-per-ton rate; comments due Nov. 9, 2026.
The Internal Revenue Service issued a notice of filing announcing a petition to add acrylonitrile-butadiene rubber (NBR) to the list of taxable substances under section 4672(a) of the Internal Revenue Code. The petition is docketed as IRS-2026-1029, and written comments must be received on or before November 9, 2026.
The petitioner, Zeon Chemicals L.P., identified the substance as ((C4H6)x-(C3H3N)y-(C25H44OS2)a; x=3,344.33, y=1,335.09, a=2.98) and provided classification numbers: HTSUS 4002.59.0000, Schedule B 4002.59.0000, and CAS 9003-18-3, 8. The petition filing dates are listed as November 21, 2025, for the determination purpose and April 1, 2023, for Rev. Proc. 2022-26 purposes.
The petition describes NBR as an oil-resistant synthetic rubber produced by emulsion polymerization of butadiene and acrylonitrile, with primary applications in fuel hoses, gaskets, and rollers. Taxable chemicals constitute 79.51 percent by weight of the material used. The petitioner calculated a tax rate of $9.54 per ton, applying conversion factors of 0.71 for butadiene, 0.22 for propylene, 0.09 for ammonia, 0.0009 for benzene, 0.0003 for methane, and 0.0009 for sodium hydroxide.
Comments may be submitted electronically via regulations.gov referencing docket IRS-2026-1029 or mailed to the IRS address listed in the notice. Jacob W. Peeples is the contact for further information (202) 317-6855.
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