Important Craft Beverage Modernization Act Changes for Foreign Producers and Importers
Starting January 1, 2023, changes to the Craft Beverage Modernization Act (CBMA) will require foreign producers of beer, wine, and distilled spirits to register with the Alcohol and Tobacco Tax and Trade Bureau (TTB) before their US importers can take advantage of reduced tax rates or credits on the imported products. CBMA tax benefits are limited in quantity, and foreign producers may only assign a certain number of benefits to their US importers for each category of product imported.
Prior to 2023, US Customs and Border Protection (“CBP”) administered CBMA tax provisions for products imported into the US. Pursuant to the new changes to the CBMA, TTB will soon be responsible for administering CBMA tax benefits instead of CBP.
For TTB links and more information here.