Under the Internal Revenue Code (IRC) at 26 U.S.C. 5051, Federal excise tax is imposed on beer removed from domestic breweries for consumption or sale. However, under the IRC at 26 U.S.C. 5053, brewers may remove beer without payment of tax for export purposes, subject to regulations prescribed by the Secretary of the Treasury. As such, the TTB regulations in 27 CFR part 28 allow brewers to remove beer without payment of tax for export to a foreign county, use as supplies on certain vessels or aircraft, transfer to a foreign trade zone for export, or shipment to U.S. armed forces stationed overseas. Those regulations also require brewers to give notice of each such removal on form TTB F 5130.12. Or, brewers may apply to TTB to use an alternative procedure to report beer removed for export purposes via a monthly summary report, provided that the brewer completes the notification section of TTB F 5130.12 for each removal and maintains the form and the related supporting export verification records at their premises. This collection request is necessary to protect the revenue as TTB uses the required information to account for beer removed without payment of tax for export purposes and ensure that such beer is not diverted into the taxable domestic market.
US Code:
26 USC 5053
Name of Law: Internal Revenue Code
Program changes: Previously, TTB reported only one information collection under this collection request, Beer for Exportation, with each such removal reported to TTB on form TTB F 5130.12. However, this did not clearly account for the alternative procedure under which brewers submit a monthly summary report of such removals to TTB while maintaining records documenting each individual removal at their premises. Therefore, as a matter of agency discretion and for purposes of transparency, TTB is now dividing this collection request into two information collections: (1) Beer for Exportation (reported on TTB F 5130.12 per the TTB regulations in 27 CFR part 28 noted above in Question 1), and (2) Beer for Exportation Monthly Summary Report and Recordkeeping Alternate Procedure (as described in TTB Industry Circular 2004â3). As a result of this program change, for the Beer Exportation information collection filed on TTB F 5130.12, TTB is reporting 25 fewer annual respondents, resulting in an decrease of 4,520 responses and 7,458 annual burden hours for that information collection. For the monthly summary report and recordkeeping alternative procedure, TTB is reporting 80 annual respondents, each making 2 reports per month at 3 hours per response (2 hours of recordkeeping and 1 hour of reporting), resulting in the addition of 1,920 responses and 5,760 annual burden hours. Taken together, for the overall information collection request, these program changes result in the addition of 55 respondents but an overall decrease of 2,600 responses and 1,698 annual burden hours. This reduction in the collection requestâs overall burden results from the addition of the monthly summary report and recordkeeping alternate procedure, which allows brewers who make a large number of removals of beer without payment of tax for export purposes to report such removals less frequentlyâon a monthly basis instead of on a per-removal basis.
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 5130.12 Beer for Exportation
TTB Industry Circular 2004-3.htm
1513-0114 Supporting Statement (02-2019).docx
Beer Export Documentation and Monthly Summary Report Alternate Procedure