Source: https://www.ttb.gov/beer/beer-faqs
Timestamp: 2020-03-30 23:52:03
Document Index: 787272027

Matched Legal Cases: ['art 25', 'art 25', 'art 16', 'art 25', 'art 19', 'art 7', 'art 25']

TTBGov - Beer FAQs
TTB | Beer | FAQs
B1: What are the guidelines regarding brew-on-premises (“brew your own” facilities)?
Brew-on-premises (BOP) is a business that provides space and equipment to the public to brew and bottle their own beer. The following Federal guidelines apply to BOPs that are not on a TTB qualified brewery. (See item #2 for information regarding BOPs on TTB qualified brewery premises.) State and local requirements may vary. See contact information for State alcohol control boards.
1. Owners of BOPs
A person may establish and operate a BOP without qualifying with TTB under the conditions outlined below. Further, no Federal excise tax is imposed on beer produced by individuals at a BOP under the conditions outlined below.
Proprietors of BOPs must operate their business in compliance with State and local laws. The provision to produce beer for personal or family use and without payment of tax at a BOP under the Internal Revenue Code of 1986 (IRC, 26 U.S.C. 5053(e)) does not authorize production of beer by adults, or operation of a BOP business, in violation of any State or local law.
Proprietors and employees of BOPs may:
Furnish space, brewing equipment, ingredients, bottling supplies, and advice and expertise to customers.
Furnish unfermented wort to BOP customers.
Provide certain assistance to customers, such as:
Moving containers of beer between storage areas;
Cleaning, maintenance, and repair of equipment;
Climate and temperature control;
Disposal of spent grains and wastes; or
Quality control (including laboratory analysis and tasting of beer for quality control purposes).
Fermenting mash,
Adding sugar, CO2, or any other ingredients to beer,
Filtering or bottling beer, or
Providing physical assistance in the production, tank transfer, racking, or the bottling or kegging of beer.
Produce or provide non-taxpaid beer to customers or prospective customers for sampling purposes.
Operation of a BOP business in a manner contrary to the conditions outlined above may cause the facility to be considered a brewery, subject to all statutory and regulatory provisions relating to brewery operation under Chapter 51 of the IRC and TTB regulations under 27 CFR part 25.
Proprietors of BOPs who have questions regarding what services they may or may not provide to their customers may contact the manager of the Beer Program within the Regulations and Rulings Division by telephone at (202) 453-1039, Ext. 110 or contact the Beer Program Manager online.
2. TTB Brewers Operating BOPs
Under some circumstances, a TTB qualified brewery may operate a BOP. All beer produced at a BOP on brewery premises is taxable under Federal law, must be labeled in accordance to 27 CFR part 25, must bear the Government Warning Statement required under 27 CFR part 16, and is subject to recordkeeping and other requirements.
For further information regarding qualification of a brewery or operation of a BOP at a brewery, contact the Brewery Applications Section at the National Revenue Center, Alcohol and Tobacco Tax and Trade Bureau, 550 Main Street, Room 8002, Cincinnati, OH 45202, or by:
Telephone (toll free): (877) 882-3277
Fax: (202) 453-2978
Online: Submit Inquiry
Adults using BOPs should note that owners and employees of BOPs are limited in the assistance they may provide customers. It is the responsibility of BOP customers to carry out the activities that are required to brew, store, and package beer.
TTB regulations do not authorize the production of beer that is contrary to State or local law. See contact information for State alcohol control boards.
B2: How do I determine the barrel equivalent of beer containers?
Last reviewed/updated 03/21/2014
Register for Permits Online! Permits Online makes it easy for you to apply for operations to make beer and to start your business - just follow the instructions and prompts. When you finish entering the required information and click submit, we begin processing your application, and send you a tracking number so you can check the status of your application online. There is no fee to apply.
E-mail to: National Revenue Center
Last reviewed/updated 06/18/2014
B6: How much does it cost if TTB approves my operations to make beer?
There is no fee required to obtain a Brewer's Notice. However, brewers must have bond coverage before beginning the business of brewing. Surety (insurance) companies charge premiums for bond coverage. There also are charges involved in the purchase of Treasury Notes, which may be used as collateral bonds. TTB will also accept collateral bonds secured by cash or other tangible assets.
IRC law and TTB regulations require sufficient bond coverage to cover authorized activities conducted on brewery premises. The minimum penal sum of a bond is $1,000. The maximum penal sum of the bond, if you will prepay the tax on beer, is not to exceed $150,000, or $500,000 if you will defer the tax and pay the tax semimonthly.
For more information on bond coverage requirements, see the TTB regulations at Subpart H of 27 CFR part 25. For questions regarding bonds you may contact the Brewery Applications Section at the National Revenue Center, Alcohol and Tobacco Tax and Trade Bureau, 550 Main Street, Room 8002, Cincinnati, OH 45202, or by:
Contact Online: National Revenue Center
B7: Where can I find surety (insurance) companies who may provide a bond?
You may obtain information on surety companies from the following web site: https://www.fiscal.treasury.gov/fsreports/ref/suretyBnd/c570_a-z.htm
Last reviewed/updated 10/08/2015
B8: Does TTB have the regulations and forms for beer on its website?
The brewery regulations may be found on our Regulations page. Forms relating to the brewery industry are available on the Beer Forms page. A complete listing of all TTB forms can be found on the main Forms page. For additional information about obtaining copies of forms, please contact the TTB National Revenue Center at 1-877-882-3277.
B10: Am I permitted to label my product with a specialized farming term to show my compliance with or concern for environmental initiatives and movements?
Last reviewed/updated 12/12/2014
B11: May a brewer transfer bulk beer to a brewery, bonded wine premises, or distilled spirits plant?
Yes, but only if the brewers are under the same ownership. Under Federal law and TTB regulations, a brewer may only remove bulk beer in bond for transfer to another breweryif the brewery transferring the bulk beer and the brewery receiving the bulk beer are under the same ownership. Certain regulatory requirements, such as recordkeeping requirements, apply. See 26 U.S.C. 5414 and 27 CFR 25.181-25.186.
No, brewers may not transfer bulk beer to a bonded wine premises. Federal law regarding operations that may take place on bonded wine premises do not include receipt of bulk beer. In addition, TTB regulations addressing agricultural wine (that is, wine produced from agricultural products other than fruit) provide that beverage alcohol products made with grain, cereal, malt, or molasses (such as, beer) may not be produced or stored on bonded wine premises. See 26 U.S.C. 5361 and 27 CFR 24.200.
Yes, a brewer may transfer bulk beer in bond from their brewery to a distilled spirits plant if the beer is to be used as distilling material and if the transfer is covered under the brewer's bond. See 26 U.S.C. 5053(f).
A brewer also may transfer bulk beer from the brewery via pipeline to the bonded premises of a distilled spirits plant that is located contiguous to the brewery. Certain regulatory requirements, such as recordkeeping requirements, apply. See 26 U.S.C. 5412 and 5222 and 27 CFR 25.201.
See 27 CFR part 19 for regulations applicable to distilled spirits plants, including regulations regarding the receipt of beer at a distilled spirits plant.
See information regarding bulk transfers of wine or spirits.
Last reviewed/updated: 12/12/2014
B12: Do I need a permit to import beverage alcohol products for my own use, or to ship or bring my personal alcohol collection into the U.S. from overseas?
B13: Am I Exempt from Formula Requirements if I Sell my Malt Beverage only at my Brewpub or only within my State?
Brewers may want to review Industry Circular 2007-4 and TTB guidance document TTB G 2016-1A, which summarize the relevant formula requirements.
If you have questions on the labeling and formulation requirements of your product, you may contact the Alcohol Labeling and Formulation Division.
B14: Am I Exempt from Formula Requirements if I Do Not Need a COLA for my Domestic Malt Beverage?
It may help to know that formula and COLA requirements for domestic beer are prescribed under separate statutory authorities. TTB regulations under 27 CFR part 7 regarding the COLA requirements for a malt beverage are under the statutory authority of the Federal Alcohol Administration Act and TTB regulations under 27 CFR part 25 regarding the formula requirements for beer are under the statutory authority of the Internal Revenue Code of 1986, as amended.