All terms
Distillery glossary
CBMA (Craft Beverage Modernization Act)
The CBMA provides reduced federal excise tax rates on the first tiers of distilled spirits a producer removes each calendar year, lowering the tax burden for craft producers.
The reduced rate applies to the first proof gallons removed in a year, with higher rates on volume above each threshold. Because the tiers reset annually and apply cumulatively, your marginal excise rate must be tracked across the whole calendar year to bill and accrue tax correctly.
Related
See your distillery in Spirit Sight
Book a walkthrough with our team. We’ll show your operation - barrels, TTB, and the books - in one place.
Schedule a Demo