Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax

Forms and Documents

Document Name	Status
Form TTB F 5200.14 Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax Form and Instruction	Modified
TTB Industry Circular 2004-3.htm Supplementary Document	2018-11-22
1513-0027 Supporting Statement (2018-11-04 draft).docx Supporting Statement A	2018-11-22

IC Document Collections

IC ID	Document Title	Status
39125	Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax Form and Instruction	Modified
234121	Letterhead Notices and Applications Related to Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax	New
234120	Tobacco Export Documentation and Monthly Summary Report Alternate Procedure under Industry Circular 2004–3	New

ICR Details

OMB Control No: 1513-0027	ICR Reference No: 201811-1513-007
Status: Active	Previous ICR Reference No: 201509-1513-003
Agency/Subagency: TREAS/TTB	Agency Tracking No: ICN 71 - 4/10
Title: Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 01/30/2019
	Date Received in OIRA: 11/30/2018
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	01/31/2022	36 Months From Approved	02/28/2019
Responses	5,772	0	61,600
Time Burden (Hours)	11,532	0	61,600
Cost Burden (Dollars)	0	0	0

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Abstract: The Internal Revenue Code (IRC) at 26 U.S.C. 5704(b) provides that a manufacturer or export warehouse proprietor may, in accordance with regulations prescribed by the Secretary, transfer tobacco products and cigarette papers and tubes, without payment of tax, to the bonded premises of another such entity, or may remove such articles, without payment of tax, for export or consumption beyond the jurisdiction of the internal revenue laws of the United States. In addition, the IRC at 26 U.S.C. 5722 requires that manufacturers of tobacco product and cigarette papers and tubes and export warehouse proprietors make reports as the Secretary may by regulation require. Under those IRC authorities, the TTB regulations in 27 CFR part 44 require manufacturers and export warehouse proprietors to report each such removal to TTB on form TTB F 5200.14, or, under the alternate procedure described in TTB Industry Circular 2004-3, respondents may submit a Monthly Summary Report of such removals provided that the export of each removal is documented by records maintained at the respondent's premises. Respondents also submit letterhead notices to modify certain information on previously-submitted TTB F 5200.1 forms, and they also submit letterhead applications to request TTB authorization to use the alternative Monthly Summary Report procedure. The collected information allows TTB to account for removals of tobacco products and cigarette papers and tubes made without payment of tax and assists in preventing the diversion of such articles to otherwise taxable uses. As such, the collected information is necessary to protect the revenue.

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Authorizing Statute(s): US Code: 26 USC 5704(b) Name of Law: Internal Revenue Code
   US Code: 26 USC 5722 Name of Law: Internal Revenue Code
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	83 FR 42975	08/24/2018
30-day Notice:	Federal Register Citation:	Citation Date:
	83 FR 61402	11/29/2018
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 3

IC Title	Form No.	Form Name
Letterhead Notices and Applications Related to Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax
Tobacco Export Documentation and Monthly Summary Report Alternate Procedure under Industry Circular 2004–3
Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax	TTB F 5200.14	Removal of Tobacco Products, Cigarette Papers and Tubes without Payment of Tax

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ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	5,772	61,600	0	-55,828	0	0
Annual Time Burden (Hours)	11,532	61,600	0	-50,068	0	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Miscellaneous Actions

Burden decreases because of Program Change due to Agency Discretion: Yes

Burden Reduction Due to: Miscellaneous Actions

Short Statement: Program changes: Previously, TTB has reported only one information collection under this collection request; however, this did not make clear that respondents have two options for reporting removals of tobacco products and cigarette papers and tubes, without payment of tax, for export purposes, and that certain matters require letterhead notices or applications be filed with TTB. Therefore, as a matter of agency discretion, and for purposes of transparency, TTB is dividing this collection request into three information collections to properly account for the two reporting options and their associated letterhead notices and applications contained under this information collection request: (1) Removals of Tobacco Products, Cigarette Papers and Tubes without Payment of Tax (containing the per-removal reports made to TTB on form TTB F 5200.14); (2) Tobacco Export Documentation and Monthly Summary Report Alternate Procedure under Industry Circular 2004–3 (containing the Monthly Summary Reports submitted to TTB, backed by export documentation maintained at a respondent’s premises); and (3) Letterhead Notices and Applications Related to Removals of Tobacco Products and Cigarette Papers and Tubes without Payment of Tax (containing the letterhead notices submitted to TTB to report modifications to consignment or shipping information on previously-submitted TTB F 5200.14 forms, and the letterhead applications submitted by respondents requesting permission to use the Monthly Summary Report alternate procedure). Therefore, due to the division of this collection request into three information collections, TTB is increasing the number of overall respondents to this collection request, from 280 to 292, and is reporting new burdens for the two new information collections. However, due to the use of the alternate Monthly Summary Report procedure by 80 of the 292 respondents to this information collection request, TTB is reporting significant decreases in the overall number of annual responses and burden hours for this request, from 61,600 responses and 61,600 hours to 5,772 responses and 11,532 hours.

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Annual Cost to Federal Government: $8,500

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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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:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(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;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

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.

Certification Date: 11/30/2018

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