Three Excise Tax Return Periods in September?

[Max Action]

Anyone know what the deal is with the semi-monthly tax period ending Sept 26th, and then another ending Sept 30th?

[TimeandTask]

There are three serial numbers in September. Number 17 is 9/1-9/15 due 9/29. Number 18 is 9/16-9/26 due 9/29. Number 19 9/27-9/30 due 10/14.

[TimeandTask]

The fiscal year end for the TTB is September 30. So they want to get all available tax dollars in hand for the close of the year.

[dhdunbar]

Actually, the fiscal year has nothing to do with it. Well, it may have something to do with it, but if it does, it is hidden, improbably, in the technical reasons that fall out of something called the Uruguay Rounds Agreements Act. Uruguay Round, really? Yup. I'm not kidding.

TTB "explains" the need for three returns (only if you file semimonthly - not if you file quarterly) in a 1995 Industry Circular, which you can find at http://www.ttb.gov/industry_circulars/archives/1995/95-04.html. TT states:

"The Uruguay Round Agreements Act enacted on December 8, 1994, amended the law relating to the payment of certain excise taxes. The new law permanently accelerates the payment of taxes due on distilled spirits, wine, beer, tobacco products, and cigarette papers and tribes for the second semimonthly period of September. The new law splits the second semimonthly period of September into two payment periods and requires receipt of payment as described below."

That is hardly an explanation. But don't look t me for anything more. Although I pretend to understand how most regulations evolved since the end of prohibition, this one is a Gordian knot that I don't even attempt to unravel.

For example, Sec 101 of the Uruguay Act act provides as follows:

SEC. 101. APPROVAL AND ENTRY INTO FORCE OF THE URUGUAY ROUND AGREEMENTS.
(a) APPROVAL OF AGREEMENTS AND STATEMENT OF ADMINISTRATIVE ACTION.—^Pursuant to section 1103 of the Omnibus Trade and Competitiveness Act of 1988 (19 U.S.C. 2903) and section 151 of the Trade Act of 1974 (19 U.S.C. 2191), the Congress approves—
(1) the trade agreements described in subsection (d) resulting from the Uruguay Round of multilateral trade negotiations under the auspices of the General Agreement on Tariffs and Trade, entered into on April 15, 1994, and submitted to the Congress on September 27,1994; and
(2) the statement of administrative action proposed to implement the agreements that was submitted to the Congress on September 27,1994.

If you have some masochistic need to flay yourself with more such language, you can pursue this further by downloading a copy of the act from the internet. Be prepared, it takes a couple of minutes to do so. That's to download it - not understand it. I have no idea how long that would take, because I haven't pursued it further and don't intend to. For me, this provision falls into the category of "those things that are because TTB says they are."

What you should understand, if TTB calls you on it, are the rules for payment in the regulations. You can find those in Section 19.237. The "safe harbor" rules in subsection ( make things a bit easier, but only if you do not try to understand "why" or "how"."