27 C.F.R. Subpart O—Prescribed Records and Reports, and Posting of Signs
Title 27 - Alcohol, Tobacco Products and Firearms
Except as provided in §§31.223 and 31.224, every wholesale dealer in liquors shall keep daily records of the physical receipt and disposition of distilled spirits, as prescribed in §§31.225 and 31.226. When required in writing by the appropriate TTB officer, dealers shall also prepare and file a monthly summary report totaling the daily receipts and disposition of distilled spirits as prescribed in §31.230. (Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended, 1395, as amended (26 U.S.C. 5114, 5555)) [T.D. ATF–116, 47 FR 51571, Nov. 16, 1982. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19886, Apr. 15, 2005] Each wholesale dealer in liquors who receives wines, or wines and beer, and each wholesale dealer in beer shall keep at his place of business a complete record of all wines and beer received, showing (a) the quantities thereof, (b) from whom received, and (c) the receiving dates. This record, which must be kept for a period of not less than three years as prescribed in §31.237, shall consist of all purchase invoices or bills covering wines and beer received or, at the option of the dealer, a book record containing all of the required information. Wholesale dealers are not required to prepare or submit reports to the appropriate TTB officer of transactions relating to wines and beer. (68A Stat. 731 (26 U.S.C. 6001); sec. 201, Pub. L. 85–859, 72 Stat. 1342, 1345, 1348, 1395 (26 U.S.C. 5114, 5124, 5146, 5555)) [T.D. ATF–50, 43 FR 20494, May 12, 1978, as amended by T.D. ATF–116, 47 FR 51571, Nov. 16, 1982; T.D. ATF–172, 49 FR 14942, Apr. 16, 1984. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19886, Apr. 15, 2005] The provisions of this subpart relative to the maintenance of records and the submission of reports shall not apply to States, political subdivisions thereof, or the District of Columbia, or any liquor stores operated by such entities that maintain and make available for inspection by appropriate TTB officers records which will enable such officers to verify receipts of wines and beer and trace readily all distilled spirits received and disposed of by them: Provided, That such States, political subdivisions thereof, or the District of Columbia, and liquor stores operated by them, shall, on request of the appropriate TTB officer, furnish such transcripts, summaries, and copies of their records as he shall require. (72 Stat. 1342, 1348, 1395; 26 U.S.C. 5114, 5146, 5555) [Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19886, Apr. 15, 2005; T.D. TTB–44, 71 FR 16948, Apr. 4, 2006] Wholesale liquor dealer operations conducted by proprietors of distilled spirits plants shall be recorded and reported in accordance with the applicable provisions of Part 19 of this chapter. (Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended (26 U.S.C. 5114); sec. 807, Pub. L. 96–39, 93 Stat. 284 (26 U.S.C. 5207)) [T.D. ATF–62, 44 FR 71693, Dec. 11, 1979. Redesignated by T.D. TTB–25, 70 FR 19884, Apr. 15, 2005] (a) Information required. Every wholesale dealer in liquors shall maintain a daily record of the physical receipt of each individual lot or shipment of distilled spirits, which record shall show (1) name and address of consignor, (2) date of receipt (to include date of inventory for recorded gains), (3) brand name, (4) name of producer or bottler, except that this may be omitted if the dealer keeps available for inspection a separate list or record identifying the producer or bottler with the brand name, (5) kind of spirits, except that this may be omitted if the dealer keeps available for inspection a separate list or record identifying “kind” with the brand name, (6) quantity actually received (showing number of packages, if any, and number of cases by size of bottle, and explaining any difference from the quantity shown on the commercial papers covering the shipment), and (7) package identification numbers of containers of alcohol received for repackaging for industrial use pursuant to subpart R of this part. Additional information may also be shown. (b) Form of record. The record prescribed by paragraph (a) of this section will be a part of the accounting system and shall consist of consignors' invoices (or, where such invoices are not available on the day the shipment is received, memorandum receiving records prepared on the day of receipt of distilled spirits, to include records of inventory for recorded gains), and credit memorandums covering distilled spirits returned to the dealer, which contain all required information. (Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended, 1395, as amended (26 U.S.C. 5114, 5555)) [T.D. ATF–46, 42 FR 44758, Sept. 6, 1977, as amended by T.D. ATF–116, 47 FR 51571, Nov. 16, 1982; T.D. ATF–172, 49 FR 14942, Apr. 16, 1984. Redesignated by T.D. TTB–25, 70 FR 19884, Apr. 15, 2005] (a) Information required. Every wholesale dealer in liquors shall prepare a daily record of the physical disposition of each individual lot of distilled spirits, which record shall show (1) name and address of consignee, (2) date of disposition (to include date of discovery in the case of casualty, theft or recorded inventory losses), (3) brand name, (4) kind of spirits, except that this may be omitted if the dealer keeps available for inspection a separate list or record identifying “kind” with the brand name, (5) number of packages, if any, and number of cases by size of bottle, and (6) package identification numbers of containers of alcohol repackaged for industrial use pursuant to subpart R of this part. Additional information may also be shown. (b) Form of record. The record prescribed by paragraph (a) of this section will be part of the accounting system and shall consist of wholesale dealer's invoices (or, where such invoices are not available at the time the spirits are removed, memorandum shipping records prepared at the time of removal of the distilled spirits, to include date of discovery in the case of casualty, theft or recorded inventory losses) which contain all required information. (Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended, 1395, as amended (26 U.S.C. 5114, 5555)) [T.D. ATF–46, 42 FR 44759, Sept. 6, 1977, as amended by T.D. ATF–116, 47 FR 51571, Nov. 16, 1982; T.D. ATF–172, 49 FR 14942, Apr. 16, 1984. Redesignated by T.D. TTB–25, 70 FR 19884, Apr. 15, 2005] Entries on the records of receipt and disposition prescribed by §§31.225 and 31.226 shall not be erased or obliterated. Correction or deletion of any entry shall be accomplished by drawing a line through such entry, and making appropriate correction or explanation. If a wholesale dealer in liquors voids an invoice for any reason, the file copy prescribed in §31.235 will be marked “Cancelled” and be filed as provided in that section; any remaining copy of the voided invoice will be destroyed or similarly cancelled and filed. If a new invoice is prepared, its serial number will be cross referenced on any retained copies of the cancelled invoice. (Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended (26 U.S.C. 5114)) [T.D. 7014, 34 FR 8912, June 4, 1969. Redesignated at 40 FR 16835, Apr. 15, 1975, as amended by T.D. ATF–116, 47 FR 51572, Nov. 16, 1982. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19886, Apr. 15, 2005] A wholesale dealer in liquors may continue to use records of receipt and disposition in a format previously prescribed, or approved for him, provided he gives written notice of such intent to the appropriate TTB officer. Such records shall show the information required by paragraph (a) of §31.225 or paragraph (a) of §31.226, as applicable. Such records shall be preprinted with the name and address of the wholesale dealer. Each sheet or page shall bear a preprinted serial number, or page serial numbers may be affixed in unbroken sequence during the preparation or processing of the records. A serial number shall not be duplicated within a period of 6 months. (72 Stat. 1342; 26 U.S.C. 5114) [T.D. 7014, 34 FR 8912, June 4, 1969. Redesignated at 40 FR 16835, Apr. 15, 1975, and further redesignated and amended by T.D. TTB–25, 70 FR 19884, 19886, Apr. 15, 2005] (a) Authorization. The appropriate TTB officer may approve variations in the type and format of records of receipt and disposition, or in the methods of preparing such records, where it is shown that variations from the requirements are necessary in order to use data processing equipment, other business machines, or existing accounting systems, and will not (1) unduly hinder the effective administration of this part, (2) jeopardize the revenue, or (3) be contrary to any provision of law. A dealer who proposes to employ such a variation shall submit written application so to do to the appropriate TTB officer. Such application shall describe the proposed variations and set forth the need therefor. The appropriate TTB officer will determine the need for the variations, and whether approval thereof would unduly hinder the effective administration of this part or result in jeopardy to the revenue. Variations in type and format of records or methods of preparation shall not be employed until approval is received from the appropriate TTB officer. (b) Requirements. Any information required by this part to be kept or filed is subject to the provisions of law and this part relating to required records and reports, regardless of the form or manner in which kept or filed. [T.D. 7014, 34 FR 8912, June 4, 1969. Redesignated at 40 FR 16835, Apr. 15, 1975, and amended by T.D. ATF–172, 49 FR 14942, Apr. 16, 1984. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887, Apr. 15, 2005] (a) Requirement. Every wholesale dealer in liquors shall, when required, submit to the appropriate TTB officer, a monthly summary report of the total quantities of all distilled spirits received and disposed of daily during the month (including the date of discovery for theft, casualty and inventory losses and inventory gains). This report will be posted by the wholesaler on a daily basis. If there were no receipts or disposals of distilled spirits during the month, the report will be marked “No Transactions During Month.” This report will be filed not later than the 15th day of the month following the report period, and a copy retained by the dealer. Upon receipt of an application the appropriate TTB officer may authorize a dealer to post the report less frequently until otherwise notified. The appropriate TTB officer's authorization will specify the intervals at which the posting will be accomplished, but not less frequently than monthly. (b) Form of report. When required, the monthly summary report may be prepared in a format which most conveniently adapts itself to the dealer's accounting and recordkeeping systems. In addition to any other information shown therein, the report will include the daily totals of all distilled spirits received and disposed of, including dispositions caused by inventory, casualty or theft losses and receipts caused by recorded gains in inventory; and (1) Daily totals of all bottled spirits received and disposed of, recorded separately by wine gallons, or liters, (2) Daily totals of all bulk spirits in packages received and disposed of, recorded separately by proof gallons. (c) Declaration. When required to be filed, the monthly summary report will bear the following declaration signed by the dealer or an authorized agent:
I declare under the penalties of perjury that I have examined this report and to the best of my knowledge and belief, it is true, correct, and complete, and is supported by true, correct, and complete records which are available for inspection. (d) When the monthly summary report is not required by the appropriate TTB officer to be filed, every wholesale dealer in distilled spirits is still required to maintain and make available for review by appropriate TTB officers: (1) Records of receipt, required by §31.225; (2) Records of disposition, required by §31.226; and (3) Any other supporting information or documents regarding the receipt and disposition of distilled spirits which have a direct bearing in determining the completeness and accuracy of the accounting and recordkeeping systems. (Act of August 16, 1954, 68A Stat. 749 (26 U.S.C. 6065); sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended, 1348, as amended, 1395, as amended (26 U.S.C. 5114, 5146, 5555)) [T.D. ATF–116, 47 FR 51572, Nov. 16, 1982, and amended by T.D. ATF–172, 49 FR 14942, Apr. 16, 1984. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887, Apr. 15, 2005; T.D. TTB–44, 71 FR 16948, Apr. 4, 2006] When liters are converted to wine gallons, the quantity in liters shall be multiplied by 0.264172 to determine the equivalent quantity in wine gallons. Cases containing the same quantity of spirits of the same proof in metric bottles may be converted to U.S. units by multiplying the liters in one case by the number of cases to be converted, as follows: (a) If the conversion from liters to U.S. units is made before multiplying by the number of cases, the quantity in U.S. units shall be rounded to the sixth decimal. (b) If the conversion is made after multiplying by the number of cases, the quantity in U.S. units shall be rounded to the nearest hundredth. Once converted to wine gallons, the proof gallons of spirits in cases shall be determined as provided in 27 CFR 30.52. (26 U.S.C. 7805 (68A Stat. 917, as amended); 27 U.S.C. 205 (49 Stat. 981, as amended)) [T.D. ATF–198, 50 FR 8542, Mar. 1, 1985. Redesignated by T.D. TTB–25, 70 FR 19884, Apr. 15, 2005] When a wholesale dealer in liquors, who is required under §31.230 to file a monthly summary report, discontinues business, a monthly summary report marked “Final” shall be filed covering transactions through the date of discontinuance. (Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended, 1395, as amended (26 U.S.C. 5114, 5555)) [T.D. ATF–115, 47 FR 51572, Nov. 16, 1982. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887, Apr. 15, 2005] (a) When a wholesale dealer in liquors maintains a separate department on the premises for the retailing of distilled spirits, and the retail sales of distilled spirits normally represent 90 percent or more of the volume of distilled spirits sold, the dealer may “constructively” receive all distilled spirits in the retail department. Sales involving a wholesale transaction may be “constructively” sold through the wholesale department. (1) Receipts. In lieu of maintaining and preparing the records required by §§31.225 and 31.226, a wholesale dealer may constructively receive all distilled spirits in its retail department. In this case, the receiving document will serve as a receipt for (through) the wholesale department and a disposition (transfer) to the retail department. The receiving document will be maintained by the retail department, as required by §31.234. (2) Dispositions. In lieu of the records required by §31.226, a wholesale dealer may constructively sell distilled spirits from its retail department to other dealers. The sales invoice or bill will be filed in the wholesaler's disposition records and will serve as a record of receipt from the retail department and a record of disposition to another dealer. (b) Except as provided in paragraph (a) of this section, a wholesale dealer shall prepare and maintain the required records of receipt and disposition as prescribed in §§31.225 and 31.226. Transfers between the wholesale and retail departments will be treated in the same manner as any other transaction involving the wholesale department. (c) When required by §31.230, a wholesale dealer shall prepare and file the monthly summary report of actual or constructive receipts and dispositions of all distilled spirits. (d) Wholesale and retail departments need not be physically separated. (Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended, 1345, as amended, 1395, as amended (26 U.S.C. 5114, 5124, 5555)) [T.D. ATF–116, 47 FR 51572, Nov. 16, 1982. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887, Apr. 15, 2005]
Title 27: Alcohol, Tobacco and Firearms
PART 31—ALCOHOL BEVERAGE DEALERS
Subpart O—Prescribed Records and Reports, and Posting of Signs
Wholesale Dealers' Records and Reports
§ 31.221 General requirements as to distilled spirits.
§ 31.222 Requirements as to wines and beer.
§ 31.223 Records to be kept by States, political subdivisions thereof, or the District of Columbia.
§ 31.224 Records to be kept by proprietors of distilled spirits plants.
§ 31.225 Records of receipt.
§ 31.226 Records of disposition.
§ 31.227 Canceled or corrected records.
§ 31.228 Previously prescribed or approved records of receipt and disposition.
§ 31.229 Variations in format, or preparation, of records.
§ 31.230 Monthly summary report.
§ 31.231 Conversion between metric and U.S. units.
§ 31.232 Discontinuance of business.
§ 31.233 Requirements when a wholesale dealer in liquors maintains a retail department.
Retail Dealer's Records
§ 31.234 Requirements for retail dealers.
(a) Records of receipt. All retail dealers shall keep at their place of business complete records of all distilled spirits, wines, or beer received showing (1) the quantities thereof, (2) from whom received, and (3) the receiving dates. The appropriate TTB officer may, pursuant to an application authorize the records to be maintained at another business premises under the control of the same dealer when it is determined that such maintenance will not cause undue inconvenience to appropriate TTB officers desiring to examine such records. Records of receipts shall consist of all purchase invoices or bills covering distilled spirits, wines, and beer received, or, at the option of the dealer, a book record containing all of the required information.
(b) Records of sales of 20 wine gallons (75.7 liters) or more. Every retail dealer who makes sales of distilled spirits, of wines, or of beer in quantities of 20 wine gallons (75.7 liters) or more to the same person at the same time shall prepare and keep a record of each such sale, which shall show (1) the date of sale, (2) the name and address of the purchaser, (3) the kind and quantity of each kind of liquors sold, and (4) the serial numbers of all full cases of distilled spirits included in the sale. Each entry on such record shall be supported by a corresponding delivery receipt (which may be executed on a copy of the sales slip) signed by the purchaser or his agent.
(Approved by the Office of Management and Budget under control number 1512–0354)(Sec. 201, Pub. L. 85–859, 72 Stat. 1345, 1348, 1395, 1413 (26 U.S.C. 5124, 5146, 5555, 5691))
[T.D. 7130, 36 FR 12853, July 8, 1971. Redesignated at 40 FR 16835, Apr. 15, 1975, and amended by T.D. ATF–34, 41 FR 46861, Oct. 26, 1976. Redesignated and amended by T.D. ATF–116, 47 FR 51572, Nov. 16, 1982; T.D. ATF–172, 49 FR 14942, Apr. 16, 1984. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887, Apr. 15, 2005; T.D. TTB–44, 71 FR 16948, Apr. 4, 2006]
Files of Records and Reports
§ 31.235 Filing.
The required records of receipt and disposition of all distilled spirits, as prescribed in §§31.225 and 31.226, may be filed in accordance with the wholesaler's regular accounting and recordkeeping systems. The required records shall consist of the dealer's own file copies of the receiving or shipping invoices.
(a) Dealers may file records of receipt and disposition in accordance with their own filing system as long as the filing system systematically and accurately accounts for all receipts and dispositions of distilled spirits.
(b) The required records of receipt and disposition will be filed not later than one business day following the date the transaction occurred.
(c) Supporting documents for receipts and dispositions, such as delivery receipts and bills of lading, may be filed in accordance with the wholesaler's regular accounting and recordkeeping practices.
(Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended, 1395, as amended (26 U.S.C. 5114, 5555))
[T.D. ATF–116, 47 FR 51573, Nov. 16, 1982. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887, Apr. 15, 2005]
§ 31.236 Place of filing.
Prescribed records of receipt and disposition and monthly summary reports required by §31.230 will be maintained by transaction or reporting date, at the dealer's place of business. The appropriate TTB officer may, pursuant to an application, authorize files, or an individual file, to be maintained at another business location under the control of the dealer, if the alternative location does not cause undue inconvenience to appropriate TTB officers desiring to examine the files.
(Sec. 201, Pub. L. 85–859, 72 Stat. 1342, as amended (26 U.S.C. 5114))
[T.D. ATF–116, 47 FR 51573, Nov. 16, 1982. Redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887 Apr. 15, 2005; T.D. TTB–44, 71 FR 16948, Apr. 4, 2006]
Period of Retention
§ 31.237 Retention of records and files.
All records prescribed by this part, documents or copies of documents supporting these records, and file copies of reports submitted, shall be retained by the person required to keep the documents for a period of not less than three years, and during this period shall be available, during business hours, for inspection and copying by appropriate TTB officers. Furthermore, the appropriate TTB officer may require these records to be kept for an additional period of not more than three years in any case where he determines retention necessary or advisable. Any records, or copies thereof, containing any of the information required by this part to be prepared, wherever kept, shall also be made available for inspection and copying.
(68A Stat. 731 (26 U.S.C. 6001); sec. 201, Pub. L. 85–859, 72 Stat. 1342, 1345, 1348, 1395 (26 U.S.C. 5114, 5124, 5146, 5555))
[T.D. ATF–50, 43 FR 20494, May 12, 1978. Redesignated by T.D. ATF–116, 47 FR 51573, Nov. 16, 1982, and further redesignated and amended by T.D. TTB–25, 70 FR 19884, 19887 Apr. 15, 2005; T.D. TTB–44, 71 FR 16948, Apr. 4, 2006]
§ 31.238 Photographic copies of records.
(a) General. Dealers may record, copy, or reproduce records required by this part. Dealers may use any process which accurately reproduces the original record, and which forms a durable medium for reproducing and preserving the origninal record.
(b) Copies of records treated as original records. Whenever records are reproduced under this section, the produced records will be preserved in conveniently accessible files, and provisions will be made for examining, viewing, and using the reproduced record the same as if it were the original record, and it will be treated and considered for all purposes as though it were the original record. All provisions of law and regulations applicable to the original record are applicable to the reproduced record. As used in this section, “original record” means the record required by this part to be maintained or preserved by the dealer, even though it may be an executed duplicate or other copy of the document.
(Sec. 201, Pub. L. 85–859, 72 Stat. 1395, as amended (26 U.S.C. 5555))
[T.D. ATF–116, 47 FR 51573, Nov. 16, 1982. Redesignated by T.D. TTB–25, 70 FR 19884, Apr. 15, 2005]
