Steeping spirits and excise tax

[einhorn]

OK, off the wall question. Is it legal, without paying additional excise tax, to steep alcohol (namely vodka) in fruits/herbs/spices and then bottle it under another name? I am talking about buying larger amounts of vodka from a source, i.e. we would not be producing/distilling and then process and bottle it. Seems to me like alcohol tax was already paid when I buy the vodka, no?

Any info is welcome!

[Brewtopian]

I'm no expert on this but I think it will depend greatly on which state you're in. I don't think you'd be able to do this in most states though because of laws restricting pouring anything into a liquor bottle. I think the only way you'd be able to do this is if you did a contract production and had it bottled under you're own label.

[Natrat]

I think you're talking about buying NGS (Neutral Grain Spirit) and infusing it, yes? Usually, one does this when making gin...dilute the NGS with distilled water and add your botanicals, then re-distill to make gin.

Just infusing may not be legal depending on what you want to infuse it with. And yes, if you are packaging alcohol in any way, TTB wants to know and wants your taxes. Especially for resale.

If you want to buy vodka and put junk in it and give it to your friends, fill your pants. Re-branding? not without a distillery permit.

Nat

[liammckenna]

If the booze is shipped stored and used under federal excise bond, it should not be an issue. The final alcohol in the product needs to be quantified and the appropriate taxes submitted at sale, shipment or point of production (depending on your jurisdiction).

You must, of course, keep a paperwork record/trail of what you do that will stand up to scrutiny...

Oh wait, I'm in Canada, land of sane brewery rules...your jurisdiction may require submission of your firstborn...

Best of luck,

Pax.

Liam

[Natrat]

Oh wait, I'm in Canada, land of sane brewery rules...your jurisdiction may require submission of your firstborn...

Maybe Newfoundlandis sane, but you should try doing that stuff in BC!! BCLDB would drive you nuts!Not that the ABC here in North Carolina is much better, but it seems sometimes that it's easier to build and sell guns and bombs than alcohol.

[BrewinLou]

Not sure what permit you would need to hold in order to buy distillate in bulk and then package it for sale. But I know it is done in the state of Kentucky with Bourbon all the time. Are you talking about leaving the herbs and spices in the bottle or aging the vodka on the stuff in bulk and filtering out the addatives? Reason I ask is if there is something in the bottle that changes the amount of distillate, that will change the amount of taxes you pay. Most likely you would be responsible for taxes, and record keeping of loss during packaging. If I were you I would give the TTB a call they are some what hard to get a hold of but do return messages and are pretty easy to work with. Then call your state ABC office and determine their needs. Good luck.

[einhorn]

Are you talking about leaving the herbs and spices in the bottle or aging the vodka on the stuff in bulk and filtering out the additives?

Basically, this is what I was thinking. I assume that since the alcohol had already been taxed at the distillery, why should there be additional taxation?

But, as we all know, working in the alcohol business in the USA is never simple, so my theory probably will not hold. I will call the TTB and see if I can get an answer. Thanks for all of your input.