The Internal Revenue Code (IRC) at 26 U.S.C. 5001 sets forth, in general, the Federal excise tax rates for distilled spirits produced in or imported into the United States, and at 26 U.S.C. 5207 the IRC requires distilled spirit plant (DSP) proprietors to maintain records of production, storage, denaturation, and processing activities and to render reports covering those operations, as may be prescribed by regulation. The TTB regulations in 27 CFR part 19 require DSP proprietors to keep records regarding the production materials used to produce spirits, the amount of spirits produced, the withdrawal of spirits from the production account, and the production of spirits byproducts, which must be maintained for at least 3 years. Based on those records, the part 19 regulations also require DSP proprietors to submit monthly reports of production operations on TTB F 5110.40. To protect the revenue, TTB uses the collected information to verify the amount of distilled spirits produced at a DSP, to account for the proprietor's resulting excise tax liability, and to determine the amount of bond coverage required, if any.
US Code:
27 USC 5207
Name of Law: Internal Revenue Code
There are no program changes associated with this collection. However, TTB is increasing the annual estimated burden associated with this information collection, from 150 respondents, 1,800 responses, and 3,600 burden hours to 1,600 respondents, 19,200 responses, and 38,400 burden hours. This increase in burden is due to the growth in the number of permitted and registered distilled spirits plants. In addition, TTB is clarifying the title of the information collection from âDistilled Spirits Records (TTB REC 5110/01) and Monthly Report of Production Operationsâ to âDistilled Spirits Production Records (TTB REC 5110/01) and Monthly Report of Production Operations.â
On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).
The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:
(i) Why the information is being collected;
(ii) Use of information;
(iii) Burden estimate;
(iv) Nature of response (voluntary, required for a benefit, or mandatory);
(v) Nature and extent of confidentiality; and
(vi) Need to display currently valid OMB control number;
If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.
Form TTB F 5110.40 Distilled Spirits Production Records (TTB REC 5110/01) and Monthly Report of Production Operations (TTB F 5110.40).
1513-0047 Supporting Statement (03-2018).docx
Distilled Spirits Production Records (TTB REC 5110/01) and Monthly Report of Production Operations (TTB F 5110.40).