You'd be well served to use Aircraft Stripper on your tank. You can get it a good auto parts store. Paint it on, chemically strips tank in minutes. Rinse with water after wards. Then, wipe down the metal with a light coat of WD-40. Prevents rusting while you work on it.
OR, have it sandblasted to bare metal and then powder coated in flat black. Use that as a primer coat for final paint (lightly sand or do body work on it). You can rough it up a bit, bondo, then paint to massage your indents to a smooth look.
Depending on size of holes, Caswell liner will probably seal them and line the tank completely.
FWIW, I did the chemicals trip, blast, PC, Caswell then paint on my tank. Had several pin holes from rust around emblems. Came out great. Liner fully cured and holding strong!