TTB - Brewery Compliance

U.S Alcohol and Tobacco Tax and Trade Bureau(TTB)

https://www.ttb.gov/business-central/requirements-breweries.shtml

 

 

TTB Tax Rate

Regular Rate

       $18 per barrel

Reduced Rate

       $7 on first 60,000 barrels for brewer who produces

              less than 2 million barrels.

       2018-2019 $3.50 per Barrel

       $18 per barrel after the first 60,000 barrels.

 

TTB Malt Beverage Excise Tax Payments

 

If you file your Quarterly Brewers Report of Operations by paper, complete these 2 forms each quarter
https://www.ttb.gov/forms/f513026.pdf - Quarterly Report
https://www.ttb.gov/forms/f513026i.pdf - Quarterly Report Instructions
https://www.ttb.gov/forms/f500024.pdf - Tax Remittance Form

 

If you want to file and pay via Pay.gov Website. Use
https://www.ttb.gov/epayment/epayment.shtml
 

2018 Schedule of Quarterly Tax Return Due Dates:  Revenue Producing Tax Return Period

  • Quarterly Taxes Due

Public Law 109-59 amended 26 USC 5061 to allow proprietors of distilled spirits plants, bonded wineries, bonded wine cellars and breweries who were liable for not more than $50,000 distilled spirits, wine or beer excise tax in the previous calendar year, and who reasonably expect to be liable for not more than $50,000 in such taxes in the current year to file tax returns on a quarterly basis.

 

Pay TTB Taxes

 

 

COLAS- TTB Label Approval

  • if selling across state lines or if your state requires a COLA

 

TTB Record-keeping

Records You Are Required to Maintain:

Records will be prepared and kept at the brewery premises and available for inspection by a TTB officer during business hours. Required records are to be preserved for a period of not less than three years from either the date of the transaction or the date of the last entry required to be made, whichever is later

§25.292   Daily records of operations.

(a) Daily records. A brewer shall maintain daily records of operations which show by quantity the following:

(1) Each kind of material received and used in the production of beer and cereal beverage (including the balling and the quantity of each type of material used in the production of wort or concentrated wort).

(2) Beer and cereal beverage produced (including water added after production is determined).

(3) Beer and cereal beverage transferred for and returned from bottling.

(4) Beer and cereal beverage transferred for and returned from racking.

(5) Beer and cereal beverage bottled.

(6) Beer and cereal beverage racked.

(7) Cereal beverage removed from the brewery.

(8) Beer removed for consumption or sale. For each removal, the record will show the date of removal, the person to whom the beer was shipped or delivered (not required for sales in quantities of one-half barrel or less for delivery at the brewery), and the quantities of beer removed in kegs and in bottles.

(9) Beer removed without payment of tax. For each removal, the record will show the date of removal, the person to whom the beer was shipped or delivered, and the quantities of beer removed in kegs, bottles, tanks, tank cars, tank trucks, tank ships, barges or deep tanks of vessels.

(10) Packaged beer used for laboratory samples at the brewery.

(11) Beer consumed at the brewery.

(12) Beer returned to the brewery from which removed.

(13) Beer returned to the brewery after removal from another brewery owned by the brewer.

(14) Beer reconditioned, used as material, or destroyed.

(15) Beer received from other breweries or received from pilot brewing plants.

(16) Beer and cereal beverage lost due to breakage, theft, casualty, or other unusual cause.

(17) Brewing materials sold or transferred to pilot brewing plants (including the name and address of the person to whom shipped or delivered) and brewing materials used in the manufacture of wort, wort concentrate, malt syrup, and malt extract for sale or removal.

(18) Record of tests of measuring devices.

(19) Beer purchased from other brewers in the purchasing brewer's barrels and kegs and such beer sold to other brewers.

(b) Daily summary records. A brewer shall maintain daily summaries of the following transactions:

(1) Beer and cereal beverage bottled;

(2) Beer and cereal beverage racked;

(3) Beer removed for consumption or sale;

(4) Beer returned to the brewery from which removed;

(5) Beer returned to the brewery after removal from another brewery owned by the brewer; and

(6) Brewing materials, beer and cereal beverage in process, and finished beer and cereal beverage on hand.

(Sec. 201, Pub. L. 85-859, 72 Stat. 1390, as amended, 1395, as amended (26 U.S.C. 5415, 5555))

[T.D. ATF-224, 51 FR 7673, Mar. 5, 1986; 51 FR 9190, Mar. 18, 1986; T.D. TTB-91, 76 FR 5478, Feb. 1, 2011]

§25.293   Record of ballings and alcohol content.

The brewer shall maintain a record of the ballings of the wort produced, and of the ballings and the alcohol content of beer and cereal beverage transferred for bottling and racking, between breweries in bulk conveyances, and to pilot brewing plants. Records showing ballings and alcohol content need not be consolidated and averaged daily unless the brewer so desires.

(Sec. 201, Pub. L. 85-859, 72 Stat. 1390, as amended (26 U.S.C. 5415))

 

 

§25.294   Inventories.

(a) The brewer shall take a physical inventory of beer and cereal beverage at least once each calendar month. The brewer may take this inventory within 7 days of the close of the calendar month for which made.

(b) The brewer shall make a record of inventories of beer or cereal beverage which will show the following:

(1) Date taken;

(2) Quantity of beer and cereal beverage on hand;

(3) Losses, gains, and shortages; and

(4) Signature, under penalties of perjury of the brewer or person taking this inventory.

(c) The brewer shall retain inventory records and make them available for inspection by an appropriate TTB officer.

(Sec. 201, Pub. L. 85-859, 72 Stat. 1390, as amended (26 U.S.C. 5415))

[T.D. ATF-224, 51 FR 7673, Mar. 5, 1986, as amended by T.D. TTB-91, 76 FR 5478, Feb. 1, 2011]

§25.295   Record of unsalable beer.

A brewer having unsalable beer in packages or tanks in the brewery may destroy, recondition, or use the beer as material. The brewer shall report the quantity of the beer destroyed, reconditioned, or used as materials, in daily records and on Form 5130.9. If the unsalable beer consists of rejects from the packaging operations, the beer may be destroyed without being included in the packaging production records, and, when so destroyed, will be so reported in the brewer's daily records and on Form 5130.9. When reject bottled beer is to be consumed at the brewery or sold to brewery employees, or is cased or otherwise accumulated pending other disposition, the quantity will be included in the packaging production and be so reported in the brewer's daily records and on Form 5130.9.

(Sec. 201, Pub. L. 85-859, 72 Stat. 1389 as amended, 1390, as amended, 1395 as amended (26 U.S.C. 5411, 5415, 5555))

§25.296   Record of beer concentrate.

(a) Daily records. A brewer who produces concentrate or reconstitutes beer shall maintain daily records which accurately reflect the balling, quantity, and alcohol content of—

(1) Beer entered into the concentration process;

(2) Concentrate produced;

(3) Concentrate transferred to other breweries;

(4) Concentrate exported;

(5) Concentrate received;

(6) Concentrate used in reconstituting beer; and

(7) Beer reconstituted.

(b) Summary report of operations. A brewer who produces concentrate or reconstitutes beer shall report by specific entries on Form 5130.9, the quantity of beer entered into the concentration process, and the quantity of beer reconstituted from concentrate. In addition, the brewer shall prepare on Form 5130.9, a summary accounting of all concentrate operations at the brewery for the reporting period. This summary accounting will show, in barrels of 31 gallons with fractions rounded to 2 decimal places:

(1) Concentrate on hand beginning of the reporting period;

(2) Concentrate on hand end of the reporting period;

(3) Concentrate produced;

(4) Concentrate received; and

(5) Specific disposition of concentrate such as “used in reconstitution,” “removed for export,” “removed to foreign-trade zone,” or “transferred to other breweries.”

(26 U.S.C. 5415)

[T.D. ATF-224, 51 FR 7673, Mar. 5, 1986, as amended by T.D. ATF-345, 58 FR 40358, July 28, 1993]

 

Reporting Requirements

Requirements for filing operational reports begin upon approval of your brewer's notice.

  • Mandatory Quarterly Filing of Operations Report.
    You must report quarterly using either the Quarterly Brewer's Report of Operations (formerly the Brewpub Report of Operations), TTB Form 5130.26 or the Brewer's Report of Operations (TTB F 5130.9). Download TTB F 5130.26 [PDF] if needed. See instructions to the form at http://www.ttb.gov/forms/f513026i.pdf. File this form if you:

    • were liable for $50,000 or less in beer excise taxes in the preceding calendar year; and

    • reasonably expect to be liable for not more than $50,000 during the current calendar year

Brewers who are required to file reports quarterly must also file excise tax returns quarterly.

  • Mandatory Monthly Filing of Brewer's Report of Operations
    You must report monthly (using only the Brewer's Report of Operations, TTB Form 5130.9). Download TTB F 5130.9 [PDF]. File this report if you:

    • were liable for more than $50,000 in beer excise taxes in the preceding calendar year; and/or

    • reasonably expect to be liable for more than $50,000 during the current calendar year

Brewers who are required to file reports monthly must file excise tax returns semi-monthly (twice per month).

For additional information on mandatory report filing frequencies see T.D. TTB-123, Small Brewers Bond Reduction and Requirement to File Tax Returns, Remit Tax Payments and Submit Reports Quarterly and TTB regulations (27 CFR 25.164 and 27 CFR 25.297(b)).

  • Where to File:
    Alcohol and Tobacco Tax and Trade Bureau
    National Revenue Center
    8002 Federal Office Building
    550 Main Street
    Cincinnati, OH 45202

 

 

TTB Changes in Operations

You may want to make changes to or amend your originally approved permit or Brewer's Notice. If you filed your original application on paper, and haven't requested that your data be migrated to our Permits Online system, you should file these amendments on the TTB forms described in the applicable regulations. If you filed your original application through Permits Online, you should also electronically file your amendments in Permits Online. See the regulations at 27 CFR 25.71-85 for more information about changes.

  • Change in Brewery Location (Premises)
    Select this amendment if you will be moving your business operations to another location within the same state. If moving to another state you will need to file an original application. You will need to submit a new diagram, lease agreement, and either a superseding bond or consent of surety.

  • Change in Mailing Address *
    Select this amendment if there has been a change to where you will receive mail.

  • Change in Premises Address – USPS *
    Select this amendment if your address was changed by the United States Postal Service but no physical move has taken place.

  • Add/Remove Signing Authority *
    Select this amendment if you will be making any changes to the existing signing authority on file. You will be required to attach the appropriate documentation showing where the authorization is granted.

  • Add/Remove Power of Attorney *
    Select this amendment if you are adding or removing individuals from outside your company with the power to sign and/or act on behalf of the company. When adding a Power of Attorney you are required to mail TTB F 5000.8.

  • Change in Business Name *
    Select this amendment if there has been a change to your legal business entity's name. You need to attach a copy of your amended Articles showing the name change.

  • Add/Remove Brewery Trade Name
    If it is required by the state or the county, a proof of trade name registration must be uploaded and attached to your application. If the state or county does not require trade name registration, a signed and dated statement of this fact should be submitted.

  • Change in Brewery Operations
    Use this amendment if you will change from a Brewpub to a Brewery or a Brewery to a Brewpub.

  • Change in Control *
    A change in actual or legal control occurs when there are changes in stock ownership, LLC membership ownership, or possibly major changes in the corporate officers or directors of a corporation. In such situations, the legal business entity which operated the business in the past continues to operate the business. In other words, the same legal entity remains in existence which continues to operate the business in question.

  • If you are adding a new person, an Owner Officer Information Application must be completed through Permits Online.

  • Change in Officer, Director, Member, or Stockholder/Interest *
    Select this amendment when there is a change in the officers, directors, members and managers, as well as any stockholders/interest holders who hold 10 percent or more. An Owner Office Information Application must be completed for each new person through Permits Online.

  • Bond Superseding/Strengthening/Continuation
    Select this amendment if there are any changes to your existing bond.

  • Brewer's Bonds expire every four years. In order to continue operations without interruption, one of the following must be filed with original signatures and approved prior to the expiration date of the current bond or continuation certificate:

  • Add/Remove Non-Contiguous Brewery Premises
    Select this amendment if you will be adding or removing a non-contiguous premise. Extending existing premises to include an additional building located at a different address within ten miles of each other. You will need to submit the following information in Permits Online:

  • Change in Brewery Bonded Premises (extended, curtailed, or modified)
    Select this amendment if you will have a change in construction or use of the building(s) of the premises including extension or curtailment of your approved premises. A new diagram is required.

  • Add/Remove/Change in Alternation of Brewery Premises
    Select this amendment type if you are an already established brewery and wish to add/remove a contiguous bonded winery, tax paid bottling house, or distilled spirits plant. You will need to submit:

    • Updated diagram showing which areas will be alternating

    • Variance Request: Application to use Brewery for Other Purposes

    • A letterhead notice requesting a variance from the requirement to submit notification of each alternation should be filed

    • Change in Bond (Consent of Surety) TTB F 5000.18
      You will need to submit a new application for the commodity that you are adding.

  • Add/Remove Brewery Alternation of Proprietor
    Select this amendment type if you are an established brewery and will be having another brewery, winery, or distilled plant of different ownership; share your premises and/or equipment. You will need to submit in Permits Online:

    • Updated diagram showing which areas will be alternating

    • Variance Requests: Application to use Brewery for Other Purposes and Request for Alternate Method of Operations – Change in Premises

    • Change in Bond (Consent of Surety) TTB F 5000.18

    • Alternating Agreement Contract

  • Add/Remove Variance or Alternate Method *
    Selecting this amendment is a request to vary from the regulations. You will need a letterhead notice stating the regulations you wish to vary from along with a reason why this variance is needed.

  • Termination of Business *
    Select this amendment if you are discontinuing business.

    A final Brewery Report of Operations TTB F 5130.9, or Brewpub Report of Operations TTB F 5130.26, must be filed showing all beer on hand as paid or transferred to the new owner before termination. The report must be marked "FINAL REPORT" and have 0.0 "on hand" amount end-of-period.

    A final Excise Tax Return TTB F 5000.24 covering the last period of liability marked "FINAL RETURN". The period should cover up to the last day of business as a brewery (including all removals)

 

There are additional responsibilities and requirements that you may have to meet including state laws.

  • TTB personnel have the right of entry into your premises (under 27 CFR 24.35).

BreweryCompliance.com(The Company) is not a law firm and does not provide legal advice.

The Company does not represent any federal, state or local government agency.

The Company expressly disclaims all liability resulting from any actions taken or not taken based on any or all of the content on this website.

TOAST® is a Registered Trademark of ABC Consulting VA, LLC

©2019 AlcoholConsulting.com                           ©2019 BreweryCompliance.com