IRS and Treasury issue interim guidance on the annual fee imposed on branded prescription pharmaceutical manufacturers and importers

The health care acts passed in 2010 impose an annual fee on any "covered entity" engaged in the business of manufacturing or importing branded prescription drugs beginning in calendar year 2011. On November 29, 2010, the IRS and Treasury issued Notice 2010-71 to provide guidance and to explain the background and purpose of new Form 8947 Report of Covered Pharmaceutical Manufacturers and Importers which was released by the IRS on November 24, 2010.

Form 8947 must be filed by January 20, 2011, with respect to the annual fee imposed for calendar year 2011.