Rev. Proc. 56-29

SECTION 1. BACKGROUND.

Treasury Decision 6159, C.B. 1956-1, 758, removed from the Regulations relating to the Production of Distilled Spirits and the Regulations relating to the Production of Brandy the requirements for determining and reporting calculated yield. Accordingly, the instructions and provisions of Form 15, Monthly Return of Fruit Distiller (revised October 1955), and Form 1598, Proprietor's Report of Operations at Registered Distillery (revised November 1955), as they relate to calculated yield, will not apply to records and reports covering operations occurring on and after March 1, 1956. Until such forms are revised, a modified procedure, as stated herein, will be followed in preparing the forms.

SEC. 2. FORM 15.

In part 1, entries will not be made in columns 14, 15, and 16. The percentage of alcohol by volume of distilling materials received in bond will continue to be reported in part 2, section 2, column 9. Lines 3, 6, 12, 13, 14, and 18 of part 3, section 3, will not be completed.

SEC. 3. FORM 1598.

Columns (o), (q), and (r) of part 1 will not be completed. Lines 3, 6, 12, 13, 14, and 18 of part 3, section 4, will not be completed.

SEC. 4. CLARIFICATION OF CERTAIN ITEMS.

Line 4, `Received from other accounts,' and line 7, `Transferred to other accounts,' in section 3, part 3, of Form 15, will be used to report the transfer of any unfinished spirits intended for the production of one class and type of spirits to use in the production of another class and type of spirits. Similar use will be made of lines 4 and 7 of section 4, part 3, of Form 1598. Thus, for example, if unfinished spirits distilled from a bourbon mash are transferred for use in the production of neutral spirits, the quantity so transferred would be entered in line 7, Column (e), and line 4, column (b), of section 4, pare 3, of Form 1598.

SEC. 5. EFFECTIVE DATE.

The instructions contained in this Revenue Procedure are effective for records and reports covering operations occurring on and after March 1, 1956, the date established by Industry Circular No. 56-8, ¹ upon which this Revenue Procedure is based.

SEC. 6. INQUIRIES.

Any inquiries with respect to this Revenue Procedure should be addressed to the appropriate Assistant Regional Commissioner, Alcohol and Tobacco Tax.

¹ Although that Circular was not published in the Internal Revenue Bulletin, it was distributed to affected industry members and was made available to the general public.