Rev. Rul. 56-368

Where the proprietor of an internal revenue bonded warehouse desires to dump packages of distilled spirits into a bulk gauging tank for transfer by pipeline to a contiguous taxpaid bottling house or a contiguous rectifying plant, but does not wish to rinse the emptied packages of his internal revenue bonded warehouse premises, he may remove the empty packages to the contiguous taxpaid bottling house or rectifying plant, add rinse water, and then dump the rinse water into a closed locked tank for taxpayment of the rinsings on a proof gallon basis, subject to the following requirements:

(1) The emptied packages at the time of removal from the warehouse to the taxpaid bottling house or rectifying plant must be marked `Not rinsed';

(2) The empty packages will be removed immediately from the warehouse, with the bungs out;

(3) A notation must be made on the gauge papers that the emptied packages were removed to the taxpaid bottling house or rectifying plant premises for rinsing;

(4) The marks and brands on the packages will be completely effaced and obliterated immediately upon dumping the rinse water therefrom at the taxpaid bottling house or rectifying plant premises; and

(5) The procedure has been authorized by the Assistant Regional Commissioner, Alcohol and Tobacco Tax.