TTB pilot program to test simplified excise tax and operational reporting forms for brewers, aiming to reduce filing time and improve accuracy
Filing taxes is an annoying process, something even the Alcohol and Tobacco Tax and Trade Bureau (TTB) knows. So, they are looking to make things simpler – and they need your help. The TTB is seeking volunteers for the Tax Simplification Pilot Program. Under the pilot program, filers submit their excise tax returns and operational data using new simplified and consolidated forms in lieu of the excise tax returns and operational reports currently required under TTB regulations.
What is Tax Simplification?
In a 2020 customer experience survey, participants ranked simplification of the operational reports and combining tax returns and operational reports in the top three most valuable improvements that TTB could make to its services.
Hearing that feedback, TTB launched the Tax Simplification effort to update operational reports and excise tax returns for beer, wine, distilled spirits, and tobacco. As part of this effort, TTB is designing new forms that combine the excise tax return and the specific operational reports filed by each business type. If adopted, the new forms would simplify and synchronize the return and report filing process.
TTB tested earlier pilot forms with a small group of brewers representing different types of filers. The pilot forms were designed to simplify the information submitted to TTB by combining the minimum necessary elements from the current Excise Tax Return (TTB Form 5000.24) and the Brewer’s Report of Operations (TTB Forms 5130.9 and 5130.26).
TTB has incorporated the brewers’ feedback from the testing into two new pilot forms. TTB is now ready to expand the pilot program to include any brewers interested and eligible to participate.
Why should you participate?
Cut down on your filing time. TTB says it designed the pilot forms to simplify and synchronize the brewery return and report filing process – saving pilot participants time completing the form and reducing the number of filings.
Make your voice heard. Feedback from pilot participants on their use of the pilot forms and the form instructions will be used to guide improvements before we finalize the changes. Participants can provide feedback at any time through the Tax Simplification Contact Us webpage.
Who can participate?
Brewers who hold a TTB-approved Brewer’s Notice and who pay their Federal excise taxes on beer to TTB on a semimonthly, quarterly, or annual basis are eligible to participate. Brewers under direction to prepay their taxes under 27 CFR 25.173 are not eligible.
Pilot Duration
TTB expects the pilot program to continue for no less than 12 months. If TTB terminates it prior to that, we will notify participants when the pilot forms may no longer be used. Ultimately, TTB intends to use the experience of the pilot program to roll out new, streamlined forms and reporting requirements for all brewers, which would also require rulemaking.
