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DFARS Clause ACTIVE

252.229-7014

Full Exemption from Two-Percent Excise Tax on Certain Foreign Procurements.
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Effective Date
OCT 2022
Active Deviations
3
Versions
2 (since 2016-12-22)
DEV
This clause is modified by 3 active class deviations
  • 2026-O0028 — DFARS RFO Implementation (Part 12)
    Add clause 252.229-7014
  • 2026-O0022 — DFARS RFO Implementation (Part 32)
    Add clause 252.229-7014
  • 2026-O0007 — DFARS RFO Implementation (Part 29)
    Add clause 252.229-7014
View per-deviation details →
252.229-7014 Full Exemption from Two-Percent Excise Tax on Certain Foreign Procurements.

As prescribed in 229.402-70(k), use the following clause:

Full Exemption From Two-Percent Excise Tax on Certain Foreign Procurements (OCT 2022)

(a) As the Contractor represented in its offer, any item, including any item delivered under subcontract; any service; or any combination thereof delivered under this contract is fully exempt from the 2-percent excise tax withholding imposed by 26 U.S.C. 5000C and implemented by Federal Acquisition Regulation (FAR) 52.229-12, Tax on Certain Foreign Procurements.

(b) If the full exemption no longer applies due to a change in circumstances during the performance of the contract, causing the Contractor to become subject to the withholding for the 2-percent excise tax as imposed by 26 U.S.C. 5000C, then the Contractor shall immediately comply with the notification and billing requirements of FAR clause 52.229-12.

(End of clause)

[87 FR 65517, Oct. 28, 2022]
RFO
Prescription superseded under the RFO

The prescription shown below is from the codified eCFR. The Revolutionary FAR Overhaul relocates this clause's prescription as follows:

  • 212.301212.205-70 (prescriptive text also revised)

See the deviation memorandum for the current prescription authority.

View deviation: 2026-O0028 → · View deviation: 2026-O0022 → · View deviation: 2026-O0007 →

R-DFARS Prescription Source

This clause is prescribed in the R-DFARS by the following deviations:

  • 2026-O0028 — DFARS RFO Implementation (Part 12) (DFARS Part 212)
    Add clause 252.229-7014
  • 2026-O0022 — DFARS RFO Implementation (Part 32) (DFARS Part 232)
    Add clause 252.229-7014
  • 2026-O0007 — DFARS RFO Implementation (Part 29) (DFARS Part 229)
    Add clause 252.229-7014
229.402-70(k)
(k) Use the clause at 252.229-7014, Full Exemption from Two-Percent Excise Tax on Certain Foreign Procurements, in contracts that include the clause at FAR 52.229-12, Tax on Certain Foreign Procurements, when the contractor has--
(1) Represented that it is a foreign person in response to the provision at FAR 52.229-11, Tax on Certain Foreign Procurements--Notice and Representation; and
(2) Indicated that it is fully exempt from the tax for reasons cited on their IRS Form W-14, Certificate of Foreign Contracting Party Receiving Federal Procurement Payments.
Prescription data sourced from eCFR as of 2026-06-10 03:16 UTC. Cross-references within the prescription are not resolved automatically.

Regulatory Stack

The layers of regulation that govern this clause, from the FAR prescription through agency-specific supplements and any active deviations.

R-DFARS R-DFARS Prescription Per Deviation 2026-O0028 (DFARS Part 212/232/229)
2026-O0028: DFARS RFO Implementation (Part 12) — DFARS Part 212
2026-O0022: DFARS RFO Implementation (Part 32) — DFARS Part 232
2026-O0007: DFARS RFO Implementation (Part 29) — DFARS Part 229

View Deviation 2026-O0028 → · View Deviation 2026-O0022 → · View Deviation 2026-O0007 →

DFARS DFARS Supplement (eCFR) ⚠ May be superseded by RFO 229.402-70(k)
(k) Use the clause at 252.229-7014, Full Exemption from Two-Percent Excise Tax on Certain Foreign Procurements, in contracts that include the clause at FAR 52.229-12, Tax on Certain Foreign Procurements, when the contractor has--
(1) Represented that it is a foreign person in response to the provision at FAR 52.229-11, Tax on Certain Foreign Procurements--Notice and Representation; and
(2) Indicated that it is fully exempt from the tax for reasons cited on their IRS Form W-14, Certificate of Foreign Contracting Party Receiving Federal Procurement Payments.

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Version History

Version history is sourced from the codified eCFR. Changes published only as class deviations or by the Revolutionary FAR Overhaul do not appear here until they are incorporated into the eCFR. For RFO-driven changes see the RFO Version tab and any active deviations cited above.

No version history available from eCFR.

Active Class Deviations

DFARS RFO Implementation (Part 12) Add clause 252.229-7014
MODIFIED
DFARS RFO Implementation (Part 32) Add clause 252.229-7014
MODIFIED
DFARS RFO Implementation (Part 29) Add clause 252.229-7014
MODIFIED
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