TTB Widens Definition of Hard Cider for Excise Tax Purposes

The Alcohol and Tobacco Tax and Trade Bureau (TTB) is amending its regulations to broaden the scope of what it considers hard cider for excise tax purposes, it said (here). The changes, which were mandated by the Protecting Americans from Tax Hikes Act of 2015, result in more products becoming eligible for the low $0.226 tax rate applicable to hard cider. The interim rule increases the amount of carbonation allowed in hard ciders, allows the use of pears and pear concentrate in addition to apples, and increases the maximum alcohol content in what can be considered a hard cider. The interim rule takes effect Jan. 23. TTB is seeking comments on the changes by March 24 in a separate proposed rule (here).