80 FR 55246 - Return of Wine to Bonded Premises

DEPARTMENT OF THE TREASURY
Alcohol and Tobacco Tax and Trade Bureau

Federal Register Volume 80, Issue 178 (September 15, 2015)

Page Range		55246-55249
FR Document		2015-23132

The Alcohol and Tobacco Tax and Trade Bureau is revising the wine regulations governing the return of wine to bonded wine premises in response to two statutory changes. First, to incorporate a provision contained in the Taxpayer Relief Act of 1997, TTB is removing a regulatory requirement that wine returned to bond must be unmerchantable. Second, to incorporate a provision contained in the Internal Revenue Service Restructuring and Reform Act of 1998, TTB is revising the regulations to clarify that the refund or credit of excise tax applies to any wine removed from a bonded wine cellar and subsequently returned to bond. The current regulatory text states that a refund or credit of tax is available only for wine produced in the United States.

Federal Register, Volume 80 Issue 178 (Tuesday, September 15, 2015)

[Federal Register Volume 80, Number 178 (Tuesday, September 15, 2015)]
[Rules and Regulations]
[Pages 55246-55249]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-23132]


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DEPARTMENT OF THE TREASURY

Alcohol and Tobacco Tax and Trade Bureau

27 CFR Parts 24 and 70

[Docket No. TTB-2015-0013; T.D. TTB-130]
RIN 1513-AB92


Return of Wine to Bonded Premises

AGENCY: Alcohol and Tobacco Tax and Trade Bureau, Treasury.

ACTION: Final rule; Treasury decision.

-----------------------------------------------------------------------

SUMMARY: The Alcohol and Tobacco Tax and Trade Bureau is revising the 
wine regulations governing the return of wine to bonded wine premises 
in response to two statutory changes. First, to incorporate a provision 
contained in the Taxpayer Relief Act of 1997, TTB is removing a 
regulatory requirement that wine returned to bond must be

[[Page 55247]]

unmerchantable. Second, to incorporate a provision contained in the 
Internal Revenue Service Restructuring and Reform Act of 1998, TTB is 
revising the regulations to clarify that the refund or credit of excise 
tax applies to any wine removed from a bonded wine cellar and 
subsequently returned to bond. The current regulatory text states that 
a refund or credit of tax is available only for wine produced in the 
United States.

DATES: This rule is effective on October 15, 2015.

FOR FURTHER INFORMATION CONTACT: Jennifer Berry, Alcohol and Tobacco 
Tax and Trade Bureau, Regulations and Rulings Division; telephone 202-
453-1039, ext. 275.

SUPPLEMENTARY INFORMATION:

Background

TTB Authority

    Chapter 51 of the Internal Revenue Code of 1986, as amended (IRC), 
26 U.S.C. chapter 51, sets forth excise tax collection and related 
provisions pertaining to, among other things, the production and 
importation of wine. Under 26 U.S.C. 5041(a), a Federal excise tax is 
imposed on all wine in bond in, produced in, or imported, into the 
United States, and such tax is determined at the time the wine is 
removed for consumption or sale. As a general matter, the tax is 
determined or paid at the time the product is removed from bonded 
premises in accordance with 26 U.S.C. 5041(a). Tax on imported wine, 
however, is imposed when the product is imported into the United 
States, and is generally determined or paid when the product is removed 
from bonded premises or from customs custody for consumption or sale in 
accordance with relevant statutory provisions and Treasury regulations 
and orders.
    Section 5361 of the IRC (26 U.S.C. 5361) provides that taxpaid wine 
may be returned to bonded wine premises, and section 5044(a) of the IRC 
(26 U.S.C. 5044(a)) states that, under regulations prescribed by the 
Secretary of the Treasury, when wine is removed from a bonded wine 
cellar and subsequently returned to bond, then: (1) If tax on wine 
returned to bond has been paid (taxpaid wine), that tax shall be 
refunded or credited, without interest, to the proprietor of the bonded 
wine cellar to which the wine is delivered; and (2) if tax on wine 
returned to bond has not been paid, the person liable for the tax may 
be relieved of liability.
    The Alcohol and Tobacco Tax and Trade Bureau (TTB) administers 
chapter 51 of the IRC pursuant to section 1111(d) of the Homeland 
Security Act of 2002, codified at 6 U.S.C. 531(d). The Secretary has 
delegated various authorities through Treasury Department Order 120-01, 
dated December 10, 2013, to the TTB Administrator to perform the 
functions and duties in the administration and enforcement of this law.

Current Regulatory Requirements

    Regulations implementing the provisions of chapter 51 of the IRC 
pertaining to the establishment and operation of wine premises are 
contained in 27 CFR part 24. Provisions regarding the return of wine to 
bonded premises are contained in 27 CFR 24.295. Section 24.295(a) 
states that when taxpaid wine produced in the United States has been 
removed from bonded premises and subsequently found to be 
unmerchantable, such wine may be returned to a bonded wine premises for 
reconditioning, reformulation, or destruction. When such wine is 
returned to bond, the tax paid on such wine may be refunded or credited 
without interest to the proprietor of the bonded premises to which the 
wine was delivered if a claim pursuant to 27 CFR part 70, subpart G has 
or will not be made. In the case of untaxpaid domestic wine that was 
removed from bonded premises and then found to be unmerchantable, the 
person liable for the tax may be relieved of that liability when such 
wine is returned to bond. Claims for relief, credit, or refund may be 
filed pursuant to Sec.  24.66.
    Section 24.66 (27 CFR 24.66) currently provides that a claim for 
credit or refund, or relief from liability, of tax on unmerchantable 
U.S. wine returned to bond will be filed with the appropriate TTB 
officer within six months after the date of the return of the wine to 
bond. A single claim may not be filed under this section for a quantity 
on which the credit or refund of tax would be less than $25. However, 
this limitation does not apply to any returned wine on which the six- 
month period for filing a claim will expire.

Statutory Changes and Conforming Regulatory Amendments

Public Law 105-34

    Section 1416 of the Taxpayer Relief Act of 1997, Public Law 105-34, 
111 Stat. 788, amended section 5044 of the IRC to remove a previous 
requirement that wine returned to bond must be unmerchantable. 
Accordingly, TTB is amending its regulatory provisions to conform the 
regulations to the statute by removing the word ``unmerchantable'' from 
where it appears in Sec. Sec.  24.66(a), 24.295, and 24.312, and from 
the undesignated center heading that precedes Sec.  24.295. TTB is also 
removing the definition of unmerchantable wine from 27 CFR 24.10 since 
that definition is no longer relevant with respect to the part 24 
regulations. In addition, TTB is removing the word ``unmerchantable'' 
in the four instances where it appears in Part 70, Procedure and 
Administration (see Sec. Sec.  70.411(c)(10), 70.413(c)(2)(ii) 
(removing the phrase ``as unmerchantable''), 70.413(d)(2), and 
70.414(d)(3)).

Public Law 105-206

    Section 6014(b)(2) of the Internal Revenue Service Restructuring 
and Reform Act of 1998, Public Law 105-206, 112 Stat. 685, amended 
section 5044 of the IRC by removing a prior requirement that wine 
returned to bond must have been produced in the United States and 
instead required only that the wine first have been removed from a 
bonded wine cellar. To conform the regulations to the statute, TTB is 
removing references to ``United States'' or ``produced in the United 
States'' when it modifies the term ``wine'' in Sec. Sec.  24.66(a) and 
24.295, respectively. TTB is also removing the word ``domestic'' in the 
two instances where it modifies ``wine'' in part 70, Procedure and 
Administration (see Sec. Sec.  70.413(d)(2) and 70.414(d)(3)).

OMB Information Collection Control Numbers

    In addition, TTB is removing obsolete references to Office of 
Management and Budget (OMB) control numbers for information collection 
requests used by the former Bureau of Alcohol, Tobacco and Firearms 
(ATF) and replacing them with the OMB control numbers assigned to TTB. 
Specifically, in the second parenthetical statement at the end of Sec.  
24.66, OMB control number ``1512-0492'' is updated to ``1513-0030''; in 
the second parenthetical statement at the end of Sec.  24.295, OMB 
control numbers ``1512-0216,'' ``1512-0298,'' and ``1512-0492'' are 
updated to ``1513-0053,'' ``1513-0115,'' and ``1513-0030'' 
respectively; in the second parenthetical statement at the end of Sec.  
24.312, OMB control number ``1512-0298'' is updated to ``1513-0115''; 
and in the first parenthetical statement at the end of Sec.  70.413, 
OMB control number ``1512-0141'' is updated to ``1513-0030.'' The 
changes to these OMB control numbers are technical in nature and do not 
change any TTB information collection or recordkeeping requirement.

[[Page 55248]]

Inapplicability of Prior Notice and Comment

    TTB is issuing this final rule without prior notice and comment 
pursuant to authority under section 4(a) of the Administrative 
Procedure Act (5 U.S.C. 553(b)(3)(B)). This provision authorizes an 
agency to issue a rule without prior notice and comment when the agency 
for good cause finds that those procedures are ``impracticable, 
unnecessary, or contrary to the public interest.'' TTB finds that prior 
notice and comment for this rule is unnecessary because the rule is 
limited to conforming TTB regulations to statutory amendments that TTB 
lacks discretion to change.

Regulatory Flexibility Act

    Because no notice of proposed rulemaking is required, the 
provisions of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.) do 
not apply. Accordingly, a regulatory flexibility analysis is not 
required. Pursuant to section 7805(f) of the IRC, TTB submitted this 
final rule to the Chief Counsel for Advocacy of the Small Business 
Administration for comment on the impact of the regulations, and no 
comments were received.

Paperwork Reduction Act

    The collections of information in the regulations contained in this 
final rule have been previously reviewed and approved by the Office of 
Management and Budget (OMB) in accordance with the Paperwork Reduction 
Act of 1995 (44 U.S.C. 3507), and assigned control numbers 1513-0030, 
1513-0053, and 1513-0115. An agency may not conduct or sponsor, and a 
person is not required to respond to, a collection of information 
unless it displays a valid control number assigned by OMB. There is no 
new collection of information imposed by this final rule.

Executive Order 12866

    This final rule is not a significant regulatory action as defined 
by Executive Order 12866 of September 30, 1993. Therefore, it requires 
no regulatory assessment.

Drafting Information

    Jennifer Berry of the Regulations and Rulings Division, Alcohol and 
Tobacco Tax and Trade Bureau, drafted this document.

List of Subjects

27 CFR Part 24

    Administrative practice and procedure, Claims, Electronic fund 
transfers, Excise taxes, Exports, Food additives, Fruit juices, 
Labeling, Liquors, Packaging and containers, Reporting and 
recordkeeping requirements, Research, Scientific equipment, Spices and 
flavorings, Surety bonds, Vinegar, Warehouses, Wine.

27 CFR Part 70

    Administrative practice and procedure, Claims, Excise taxes, 
Freedom of information, Law enforcement, Penalties, Reporting and 
recordkeeping requirements, Surety bonds.

Amendments to the Regulations

    For the reasons discussed in the preamble, TTB amends 27 CFR, 
chapter I, parts 24 and 70 as set forth below:

PART 24--WINE

0
1. The authority citation for 27 CFR part 24 continues to read as 
follows:

    Authority: 5 U.S.C. 552(a); 26 U.S.C. 5001, 5008, 5041, 5042, 
5044, 5061, 5062, 5121, 5122-5124, 5173, 5206, 5214, 5215, 5351, 
5353, 5354, 5356, 5357, 5361, 5362, 5364-5373, 5381-5388, 5391, 
5392, 5511, 5551, 5552, 5661, 5662, 5684, 6065, 6091, 6109, 6301, 
6302, 6311, 6651, 6676, 7302, 7342, 7502, 7503, 7606, 7805, 7851; 31 
U.S.C. 9301, 9303, 9304, 9306.


Sec.  24.10  [Amended]

0
2. Section 24.10 is amended by removing the definition of 
``Unmerchantable wine''.


Sec.  24.66  [Amended]

0
3. In Sec.  24.66:
0
a. The first sentence of paragraph (a) is amended by removing the words 
``unmerchantable United States''; and
0
b. The second parenthetical phrase at the end of the section is amended 
by removing the Office of Management and Budget control number ``1512-
0492'' and adding, in its place, the number ``1513-0030''.

Subpart N--[Amended]

0
4. In subpart N, the undesignated center heading located before Sec.  
24.295 is revised to read as follows:

Return of Wine to Bond

0
5. In Sec.  24.295:
0
a. The section heading and paragraph (a) are revised;
0
b. The first sentences of paragraph (b) and paragraph (c) are amended 
by removing the word ``unmerchantable'';
0
c. Paragraph (b) is amended by removing the term ``United States'' 
where it occurs in two instances; and
0
d. The second parenthetical phrase at the end of the section is amended 
by removing the Office of Management and Budget control numbers ``1512-
0216, 1512-0298, and 1512-0492'' and adding, in their place, the 
numbers ``1513-0053, 1513-0115, and 1513-0030''.
    The revisions read as follows:


Sec.  24.295  Return of wine to bond.

    (a) General. Wine, domestic or imported, which has been taxpaid and 
removed from bonded wine premises, may be received by the proprietor of 
a bonded wine premises for return to bond. The proprietor may, when 
such taxpaid wine is returned to bond, make a claim for refund or 
credit, without interest. However, tax will not be refunded or credited 
for any wine for which a claim has been or will be made under 27 CFR 
part 70, subpart G. If the tax has been determined but not paid, the 
person liable for the tax may, when such wine is returned to bond, be 
relieved of the liability. Claims for refund or credit, or relief from 
tax paid or determined on wine returned to bond, are filed in 
accordance with Sec.  24.66.
* * * * *

0
6. In Sec.  24.312:
0
a. The section heading is revised, and the introductory text is amended 
by removing the word ``unmerchantable''; and
0
b. The second parenthetical phrase at the end of the section is amended 
by removing the Office of Management and Budget control number ``1512-
0298'' and adding, in its place, the number ``1513-0115''.
    The revision reads as follows:


Sec.  24.312  Wine returned to bond record.

* * * * *

PART 70--PROCEDURE AND ADMINISTRATION

0
7. The authority citation for part 70 continues to read as follows:

    Authority: 5 U.S.C. 301 and 552; 26 U.S.C. 4181, 4182, 5123, 
5203, 5207, 5275, 5367, 5415, 5504, 5555, 5684(a), 5741, 5761(b), 
5802, 6020, 6021, 6064, 6102, 6155, 6159, 6201, 6203, 6204, 6301, 
6303, 6311, 6313, 6314, 6321, 6323, 6325, 6326, 6331-6343, 6401-
6404, 6407, 6416, 6423, 6501-6503, 6511, 6513, 6514, 6532, 6601, 
6602, 6611, 6621, 6622, 6651, 6653, 6656-6658, 6665, 6671, 6672, 
6701, 6723, 6801, 6862, 6863, 6901, 7011, 7101, 7102, 7121, 7122, 
7207, 7209, 7214, 7304, 7401, 7403, 7406, 7423, 7424, 7425, 7426, 
7429, 7430, 7432, 7502, 7503, 7505, 7506, 7513, 7601-7606, 7608-
7610, 7622, 7623, 7653, 7805.


Sec.  70.411  [Amended]

0
8. Section 70.411 is amended by removing the word ``unmerchantable'' 
from paragraph (c)(10).

[[Page 55249]]

Sec.  70.413  [Amended]

0
9. In Sec.  70.413:
0
a. Paragraph (c)(2)(ii) is amended by removing the words ``as 
unmerchantable,'';
0
b. Paragraph (d)(2) is amended by removing the words ``unmerchantable 
domestic''; and
0
c. The first parenthetical phrase at the end of the section is amended 
by removing the Office of Management and Budget control number ``1512-
0141'' and adding, in its place, the number ``1513-0030''.


Sec.  70.414  [Amended]

0
10. Section 70.414 is amended by removing the words ``unmerchantable 
domestic'' from paragraph (d)(3).

    Signed: June 11, 2015.
John J. Manfreda,
Administrator.
    Approved: June 19, 2015.
Timothy E. Skud,
Deputy Assistant Secretary (Tax, Trade, and Tariff Policy).
[FR Doc. 2015-23132 Filed 9-14-15; 8:45 am]
BILLING CODE 4810-31-P

Federal Register / Vol. 80, No. 178 / Tuesday, September 15, 2015 / Rules and Regulations 55247

unmerchantable. Second, to incorporate 2002, codified at 6 U.S.C. 531(d). The 24.295, and 24.312, and from the
a provision contained in the Internal Secretary has delegated various undesignated center heading that
Revenue Service Restructuring and authorities through Treasury precedes § 24.295. TTB is also removing
Reform Act of 1998, TTB is revising the Department Order 120–01, dated the definition of unmerchantable wine
regulations to clarify that the refund or December 10, 2013, to the TTB from 27 CFR 24.10 since that definition
credit of excise tax applies to any wine Administrator to perform the functions is no longer relevant with respect to the
removed from a bonded wine cellar and and duties in the administration and part 24 regulations. In addition, TTB is
subsequently returned to bond. The enforcement of this law. removing the word ‘‘unmerchantable’’
current regulatory text states that a in the four instances where it appears in
refund or credit of tax is available only Current Regulatory Requirements
Part 70, Procedure and Administration
for wine produced in the United States. Regulations implementing the (see §§ 70.411(c)(10), 70.413(c)(2)(ii)
DATES: This rule is effective on October provisions of chapter 51 of the IRC
(removing the phrase ‘‘as
15, 2015. pertaining to the establishment and
unmerchantable’’), 70.413(d)(2), and
FOR FURTHER INFORMATION CONTACT: operation of wine premises are
70.414(d)(3)).
Jennifer Berry, Alcohol and Tobacco contained in 27 CFR part 24. Provisions
Tax and Trade Bureau, Regulations and regarding the return of wine to bonded Public Law 105–206
Rulings Division; telephone 202–453– premises are contained in 27 CFR
1039, ext. 275. 24.295. Section 24.295(a) states that Section 6014(b)(2) of the Internal
when taxpaid wine produced in the Revenue Service Restructuring and
SUPPLEMENTARY INFORMATION:
United States has been removed from Reform Act of 1998, Public Law 105–
Background bonded premises and subsequently 206, 112 Stat. 685, amended section
TTB Authority found to be unmerchantable, such wine 5044 of the IRC by removing a prior
may be returned to a bonded wine requirement that wine returned to bond
Chapter 51 of the Internal Revenue premises for reconditioning, must have been produced in the United
Code of 1986, as amended (IRC), 26 reformulation, or destruction. When States and instead required only that the
U.S.C. chapter 51, sets forth excise tax such wine is returned to bond, the tax wine first have been removed from a
collection and related provisions paid on such wine may be refunded or bonded wine cellar. To conform the
pertaining to, among other things, the credited without interest to the regulations to the statute, TTB is
production and importation of wine. proprietor of the bonded premises to
Under 26 U.S.C. 5041(a), a Federal removing references to ‘‘United States’’
which the wine was delivered if a claim or ‘‘produced in the United States’’
excise tax is imposed on all wine in pursuant to 27 CFR part 70, subpart G
bond in, produced in, or imported, into when it modifies the term ‘‘wine’’ in
has or will not be made. In the case of §§ 24.66(a) and 24.295, respectively.
the United States, and such tax is
untaxpaid domestic wine that was TTB is also removing the word
determined at the time the wine is
removed from bonded premises and ‘‘domestic’’ in the two instances where
removed for consumption or sale. As a
then found to be unmerchantable, the it modifies ‘‘wine’’ in part 70, Procedure
general matter, the tax is determined or
person liable for the tax may be relieved and Administration (see §§ 70.413(d)(2)
paid at the time the product is removed
of that liability when such wine is and 70.414(d)(3)).
from bonded premises in accordance
returned to bond. Claims for relief,
with 26 U.S.C. 5041(a). Tax on imported
credit, or refund may be filed pursuant OMB Information Collection Control
wine, however, is imposed when the
to § 24.66. Numbers
product is imported into the United
Section 24.66 (27 CFR 24.66)
States, and is generally determined or In addition, TTB is removing obsolete
currently provides that a claim for credit
paid when the product is removed from references to Office of Management and
or refund, or relief from liability, of tax
bonded premises or from customs Budget (OMB) control numbers for
on unmerchantable U.S. wine returned
custody for consumption or sale in information collection requests used by
to bond will be filed with the
accordance with relevant statutory the former Bureau of Alcohol, Tobacco
appropriate TTB officer within six
provisions and Treasury regulations and and Firearms (ATF) and replacing them
months after the date of the return of the
orders. with the OMB control numbers assigned
wine to bond. A single claim may not
Section 5361 of the IRC (26 U.S.C.
be filed under this section for a quantity to TTB. Specifically, in the second
5361) provides that taxpaid wine may
on which the credit or refund of tax parenthetical statement at the end of
be returned to bonded wine premises,
would be less than $25. However, this § 24.66, OMB control number ‘‘1512–
and section 5044(a) of the IRC (26 U.S.C.
limitation does not apply to any 0492’’ is updated to ‘‘1513–0030’’; in the
5044(a)) states that, under regulations
returned wine on which the six- month second parenthetical statement at the
prescribed by the Secretary of the
period for filing a claim will expire. end of § 24.295, OMB control numbers
Treasury, when wine is removed from a
bonded wine cellar and subsequently Statutory Changes and Conforming ‘‘1512–0216,’’ ‘‘1512–0298,’’ and ‘‘1512–
returned to bond, then: (1) If tax on Regulatory Amendments 0492’’ are updated to ‘‘1513–0053,’’
wine returned to bond has been paid ‘‘1513–0115,’’ and ‘‘1513–0030’’
Public Law 105–34 respectively; in the second parenthetical
(taxpaid wine), that tax shall be
refunded or credited, without interest, Section 1416 of the Taxpayer Relief statement at the end of § 24.312, OMB
to the proprietor of the bonded wine Act of 1997, Public Law 105–34, 111 control number ‘‘1512–0298’’ is updated
cellar to which the wine is delivered; Stat. 788, amended section 5044 of the to ‘‘1513–0115’’; and in the first
mstockstill on DSK4VPTVN1PROD with RULES

and (2) if tax on wine returned to bond IRC to remove a previous requirement parenthetical statement at the end of
has not been paid, the person liable for that wine returned to bond must be § 70.413, OMB control number ‘‘1512–
the tax may be relieved of liability. unmerchantable. Accordingly, TTB is 0141’’ is updated to ‘‘1513–0030.’’ The
The Alcohol and Tobacco Tax and amending its regulatory provisions to changes to these OMB control numbers
Trade Bureau (TTB) administers chapter conform the regulations to the statute by are technical in nature and do not
51 of the IRC pursuant to section removing the word ‘‘unmerchantable’’ change any TTB information collection
1111(d) of the Homeland Security Act of from where it appears in §§ 24.66(a), or recordkeeping requirement.

VerDate Sep<11>2014 19:08 Sep 14, 2015 Jkt 235001 PO 00000 Frm 00027 Fmt 4700 Sfmt 4700 E:\FR\FM\15SER1.SGM 15SER1

55248 Federal Register / Vol. 80, No. 178 / Tuesday, September 15, 2015 / Rules and Regulations

Inapplicability of Prior Notice and additives, Fruit juices, Labeling, removing the Office of Management and
Comment Liquors, Packaging and containers, Budget control numbers ‘‘1512–0216,
TTB is issuing this final rule without Reporting and recordkeeping 1512–0298, and 1512–0492’’ and
prior notice and comment pursuant to requirements, Research, Scientific adding, in their place, the numbers
authority under section 4(a) of the equipment, Spices and flavorings, ‘‘1513–0053, 1513–0115, and 1513–
Administrative Procedure Act (5 U.S.C. Surety bonds, Vinegar, Warehouses, 0030’’.
Wine. The revisions read as follows:
553(b)(3)(B)). This provision authorizes
an agency to issue a rule without prior 27 CFR Part 70 § 24.295 Return of wine to bond.
notice and comment when the agency (a) General. Wine, domestic or
Administrative practice and
for good cause finds that those imported, which has been taxpaid and
procedure, Claims, Excise taxes,
procedures are ‘‘impracticable, removed from bonded wine premises,
Freedom of information, Law
unnecessary, or contrary to the public may be received by the proprietor of a
enforcement, Penalties, Reporting and
interest.’’ TTB finds that prior notice bonded wine premises for return to
recordkeeping requirements, Surety
and comment for this rule is bond. The proprietor may, when such
bonds.
unnecessary because the rule is limited taxpaid wine is returned to bond, make
to conforming TTB regulations to Amendments to the Regulations a claim for refund or credit, without
statutory amendments that TTB lacks For the reasons discussed in the interest. However, tax will not be
discretion to change. preamble, TTB amends 27 CFR, chapter refunded or credited for any wine for
Regulatory Flexibility Act I, parts 24 and 70 as set forth below: which a claim has been or will be made
under 27 CFR part 70, subpart G. If the
Because no notice of proposed PART 24—WINE tax has been determined but not paid,
rulemaking is required, the provisions the person liable for the tax may, when
of the Regulatory Flexibility Act (5 ■ 1. The authority citation for 27 CFR such wine is returned to bond, be
U.S.C. 601 et seq.) do not apply. part 24 continues to read as follows: relieved of the liability. Claims for
Accordingly, a regulatory flexibility refund or credit, or relief from tax paid
Authority: 5 U.S.C. 552(a); 26 U.S.C. 5001,
analysis is not required. Pursuant to 5008, 5041, 5042, 5044, 5061, 5062, 5121, or determined on wine returned to
section 7805(f) of the IRC, TTB 5122–5124, 5173, 5206, 5214, 5215, 5351, bond, are filed in accordance with
submitted this final rule to the Chief 5353, 5354, 5356, 5357, 5361, 5362, 5364– § 24.66.
Counsel for Advocacy of the Small 5373, 5381–5388, 5391, 5392, 5511, 5551, * * * * *
Business Administration for comment 5552, 5661, 5662, 5684, 6065, 6091, 6109,
■ 6. In § 24.312:
on the impact of the regulations, and no 6301, 6302, 6311, 6651, 6676, 7302, 7342,
■ a. The section heading is revised, and
comments were received. 7502, 7503, 7606, 7805, 7851; 31 U.S.C. 9301,
9303, 9304, 9306. the introductory text is amended by
Paperwork Reduction Act removing the word ‘‘unmerchantable’’;
§ 24.10 [Amended] and
The collections of information in the ■ b. The second parenthetical phrase at
regulations contained in this final rule ■ 2. Section 24.10 is amended by
removing the definition of the end of the section is amended by
have been previously reviewed and removing the Office of Management and
approved by the Office of Management ‘‘Unmerchantable wine’’.
Budget control number ‘‘1512–0298’’
and Budget (OMB) in accordance with § 24.66 [Amended] and adding, in its place, the number
the Paperwork Reduction Act of 1995 ‘‘1513–0115’’.
(44 U.S.C. 3507), and assigned control ■ 3. In § 24.66:
■ a. The first sentence of paragraph (a) The revision reads as follows:
numbers 1513–0030, 1513–0053, and
1513–0115. An agency may not conduct is amended by removing the words § 24.312 Wine returned to bond record.
or sponsor, and a person is not required ‘‘unmerchantable United States’’; and
* * * * *
■ b. The second parenthetical phrase at
to respond to, a collection of
information unless it displays a valid the end of the section is amended by PART 70—PROCEDURE AND
control number assigned by OMB. There removing the Office of Management and ADMINISTRATION
is no new collection of information Budget control number ‘‘1512–0492’’
imposed by this final rule. and adding, in its place, the number ■ 7. The authority citation for part 70
‘‘1513–0030’’. continues to read as follows:
Executive Order 12866 Authority: 5 U.S.C. 301 and 552; 26 U.S.C.
Subpart N—[Amended] 4181, 4182, 5123, 5203, 5207, 5275, 5367,
This final rule is not a significant
regulatory action as defined by 5415, 5504, 5555, 5684(a), 5741, 5761(b),
■ 4. In subpart N, the undesignated 5802, 6020, 6021, 6064, 6102, 6155, 6159,
Executive Order 12866 of September 30, center heading located before § 24.295 is 6201, 6203, 6204, 6301, 6303, 6311, 6313,
1993. Therefore, it requires no revised to read as follows: 6314, 6321, 6323, 6325, 6326, 6331–6343,
regulatory assessment. 6401–6404, 6407, 6416, 6423, 6501–6503,
Return of Wine to Bond 6511, 6513, 6514, 6532, 6601, 6602, 6611,
Drafting Information
■ 5. In § 24.295: 6621, 6622, 6651, 6653, 6656–6658, 6665,
Jennifer Berry of the Regulations and ■ a. The section heading and paragraph 6671, 6672, 6701, 6723, 6801, 6862, 6863,
Rulings Division, Alcohol and Tobacco (a) are revised; 6901, 7011, 7101, 7102, 7121, 7122, 7207,
Tax and Trade Bureau, drafted this 7209, 7214, 7304, 7401, 7403, 7406, 7423,
■ b. The first sentences of paragraph (b) 7424, 7425, 7426, 7429, 7430, 7432, 7502,
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document. and paragraph (c) are amended by 7503, 7505, 7506, 7513, 7601–7606, 7608–
List of Subjects removing the word ‘‘unmerchantable’’; 7610, 7622, 7623, 7653, 7805.
■ c. Paragraph (b) is amended by
27 CFR Part 24 removing the term ‘‘United States’’ § 70.411 [Amended]
Administrative practice and where it occurs in two instances; and ■ 8. Section 70.411 is amended by
procedure, Claims, Electronic fund ■ d. The second parenthetical phrase at removing the word ‘‘unmerchantable’’
transfers, Excise taxes, Exports, Food the end of the section is amended by from paragraph (c)(10).

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Federal Register / Vol. 80, No. 178 / Tuesday, September 15, 2015 / Rules and Regulations 55249

§ 70.413 [Amended] for Regulatory Affairs, Pension Benefit regulation will be 1.25 percent for the
■ 9. In § 70.413: Guaranty Corporation, 1200 K Street period during which a benefit is in pay
■ a. Paragraph (c)(2)(ii) is amended by NW., Washington, DC 20005, 202–326– status and 4.00 percent during any years
removing the words ‘‘as 4024. (TTY/TDD users may call the preceding the benefit’s placement in pay
unmerchantable,’’; Federal relay service toll free at 1–800– status. In comparison with the interest
■ b. Paragraph (d)(2) is amended by 877–8339 and ask to be connected to assumptions in effect for September
removing the words ‘‘unmerchantable 202–326–4024.) 2015, these interest assumptions are
domestic’’; and SUPPLEMENTARY INFORMATION: PBGC’s unchanged.
■ c. The first parenthetical phrase at the regulations on Allocation of Assets in PBGC has determined that notice and
end of the section is amended by Single-Employer Plans (29 CFR part public comment on this amendment are
removing the Office of Management and 4044) and Benefits Payable in impracticable and contrary to the public
Budget control number ‘‘1512–0141’’ Terminated Single-Employer Plans (29 interest. This finding is based on the
and adding, in its place, the number CFR part 4022) prescribe actuarial need to determine and issue new
‘‘1513–0030’’. assumptions—including interest interest assumptions promptly so that
§ 70.414 [Amended]
assumptions—for valuing and paying the assumptions can reflect current
plan benefits under terminating single- market conditions as accurately as
■ 10. Section 70.414 is amended by employer plans covered by title IV of possible.
removing the words ‘‘unmerchantable the Employee Retirement Income Because of the need to provide
domestic’’ from paragraph (d)(3). Security Act of 1974. The interest immediate guidance for the valuation
Signed: June 11, 2015. assumptions in the regulations are also and payment of benefits under plans
John J. Manfreda, published on PBGC’s Web site (http:// with valuation dates during October
Administrator. www.pbgc.gov). 2015, PBGC finds that good cause exists
Approved: June 19, 2015. The interest assumptions in Appendix for making the assumptions set forth in
B to Part 4044 are used to value benefits this amendment effective less than 30
Timothy E. Skud,
for allocation purposes under ERISA days after publication.
Deputy Assistant Secretary (Tax, Trade, and
section 4044. PBGC uses the interest PBGC has determined that this action
Tariff Policy).
assumptions in Appendix B to Part 4022 is not a ‘‘significant regulatory action’’
[FR Doc. 2015–23132 Filed 9–14–15; 8:45 am]
to determine whether a benefit is under the criteria set forth in Executive
BILLING CODE 4810–31–P
payable as a lump sum and to determine Order 12866.
the amount to pay. Appendix C to Part Because no general notice of proposed
4022 contains interest assumptions for rulemaking is required for this
PENSION BENEFIT GUARANTY private-sector pension practitioners to
CORPORATION amendment, the Regulatory Flexibility
refer to if they wish to use lump-sum Act of 1980 does not apply. See 5 U.S.C.
interest rates determined using PBGC’s 601(2).
29 CFR Parts 4022 and 4044 historical methodology. Currently, the
Allocation of Assets in Single- rates in Appendices B and C of the List of Subjects
Employer Plans; Benefits Payable in benefit payment regulation are the same. 29 CFR Part 4022
Terminated Single-Employer Plans; The interest assumptions are intended
Interest Assumptions for Valuing and to reflect current conditions in the Employee benefit plans, Pension
Paying Benefits financial and annuity markets. insurance, Pensions, Reporting and
Assumptions under the asset allocation recordkeeping requirements.
AGENCY: Pension Benefit Guaranty regulation are updated quarterly;
Corporation. 29 CFR Part 4044
assumptions under the benefit payments
ACTION: Final rule. regulation are updated monthly. This Employee benefit plans, Pension
final rule updates the benefit payments insurance, Pensions.
SUMMARY: This final rule amends the interest assumptions for October 2015
Pension Benefit Guaranty Corporation’s In consideration of the foregoing, 29
and updates the asset allocation interest CFR parts 4022 and 4044 are amended
regulations on Benefits Payable in assumptions for the fourth quarter
Terminated Single-Employer Plans and as follows:
(October through December) of 2015.
Allocation of Assets in Single-Employer The fourth quarter 2015 interest PART 4022—BENEFITS PAYABLE IN
Plans to prescribe interest assumptions assumptions under the allocation TERMINATED SINGLE-EMPLOYER
under the benefit payments regulation regulation will be 2.46 percent for the PLANS
for valuation dates in October 2015 and first 20 years following the valuation
interest assumptions under the asset date and 2.98 percent thereafter. In ■ 1. The authority citation for part 4022
allocation regulation for valuation dates comparison with the interest continues to read as follows:
in the fourth quarter of 2015. The assumptions in effect for the third
interest assumptions are used for Authority: 29 U.S.C. 1302, 1322, 1322b,
quarter of 2015, these interest 1341(c)(3)(D), and 1344.
valuing and paying benefits under assumptions represent no change in the
terminating single-employer plans select period (the period during which ■ 2. In appendix B to part 4022, Rate Set
covered by the pension insurance the select rate (the initial rate) applies), 264, as set forth below, is added to the
system administered by PBGC. an increase of 0.14 percent in the select table.
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DATES: Effective October 1, 2015. rate, and an increase of 0.68 percent in
FOR FURTHER INFORMATION CONTACT: the ultimate rate (the final rate). Appendix B to Part 4022—Lump Sum
Catherine B. Klion (Klion.Catherine@ The October 2015 interest Interest Rates for PBGC Payments
PBGC.gov), Assistant General Counsel assumptions under the benefit payments * * * * *

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Document Created: 2015-12-15 10:09:20
Document Modified: 2015-12-15 10:09:20

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Rules and Regulations
Action		Final rule; Treasury decision.
Dates		This rule is effective on October 15, 2015.
Contact		Jennifer Berry, Alcohol and Tobacco Tax and Trade Bureau, Regulations and Rulings Division; telephone 202- 453-1039, ext. 275.
FR Citation		80 FR 55246
RIN Number		1513-AB92
CFR Citation		27 CFR 24 27 CFR 70
CFR Associated		Administrative Practice and Procedure; Claims; Electronic Fund Transfers; Excise Taxes; Exports; Food Additives; Fruit Juices; Labeling; Liquors; Packaging and Containers; Reporting and Recordkeeping Requirements; Research; Scientific Equipment; Spices and Flavorings; Surety Bonds; Vinegar; Warehouses; Wine; Freedom of Information; Law Enforcement and Penalties

80 FR 55246 - Return of Wine to Bonded Premises

DEPARTMENT OF THE TREASURYAlcohol and Tobacco Tax and Trade Bureau

Federal Register Volume 80, Issue 178 (September 15, 2015)

DEPARTMENT OF THE TREASURY
Alcohol and Tobacco Tax and Trade Bureau