Explanation of H.R. 747
Explanation of H.R. 747
H.R. 747 is the Craft Beverage Modernization and Tax Reform Act of 2017. This bill aims to reform the taxation of alcoholic beverages by amending the Internal Revenue Code of 1986. The bill addresses various aspects of the production and taxation of beer, wine, and distilled spirits.
Highlights of the Bill:
Title I - Production Period
This section focuses on the production period for beer, wine, and distilled spirits. It exempts the aging period of these beverages from certain tax calculations.
Title II - Beer
This title reduces the excise tax rate on beer, simplifies rules for the use of ingredients, and allows for the transfer of beer between bonded facilities.
Title III - Wine
This title introduces a reduced excise tax rate for certain wines and adjusts the alcohol content level for tax rate applications. It also defines mead and low alcohol by volume wine.
Title IV - Distilled Spirits
This title reduces the excise tax rate on certain distilled spirits and addresses the transfer of distilled spirits between bonded facilities.
Title V - Funding
This section authorizes increased funding for the Alcohol and Tobacco Tax and Trade Bureau to carry out the provisions of the bill, including processing applications and enforcing trade practice violations.