Alcohol and Tobacco Tax and Trade Bureau

Recent updates have come down the pipeline for crafters and importers of great beer, wine and distilled spirits - both industrial scale production, home brewers and moonshiners should be aware of these changes. The Craft Beverage Modernization Act (CBMA) provisions of the Internal Revenue Code (IRC) provide for reduced rates or tax credits for certain quantities of beer, wine, and distilled spirits produced in or imported into the United States.

First change to be aware of: U.S. Customs and Borders Protection (CBP) is no longer administering the Craft Beverage Modernization Act (CBMA). This responsibility now falls squarely on the shoulders of the Alcohol and Tobacco Tax and Trade Bureau (TTB).

Second change: Importers need to be aware of the change to the reduced rates/tax credit that they currently enjoy. Beginning January 01st, 2023 "importers who want to take advantage of assigned tax benefits must pay the full tax rate to CBP and then subsequently submit a claim to TTB for a refund." So knowing the process and time line by which you have to follow, to receive the tax credit. If you need assistance submitting these documents, please reach out and I will happily assist you in this process.

Watch the video below for an overview of the changes by TTB's Craft Beverage Modernization Act - the video is 13:18

https://www.youtube.com/watch?v=sAMZzFfHJOQ