Yesterday, Customs & Border Protection (CBP) issued Guidance on the alcohol excise tax provisions contained in the Tax Cuts & Jobs Act (Tax Act). Key points
- Importers must continue to pay the full excise tax rate (not the rates reduced by the Tax Act’s lower rates or credits) upon importation.
- CBP and TTB are working on regulations to allow CBP to issue refunds retroactively.
- In anticipation of the new regulations, CBP advises importers to file protests on liquidated entries where a reduced rate or credit may apply.
- CBP will not process refund requests any earlier than January 15, 2019.
- The Guidance includes a detailed list of information an importer will need to provide in order to substantiate its eligibility to receive reduced rates and/or credits.
Please let us know if you have any questions about this development.