Winegrower Tax Return BOE 501 WG

WINEGROWER TAX RETURN

STATE OF CALIFORNIA - BOARD OF EQUALIZATION

BOARD OF EQUALIZATION SPECIAL TAXES AND FEES P O BOX 942879 SACRAMENTO CA 94279-6079

READ INSTRUCTIONS BEFORE PREPARING

NOTE: Report all alcoholic beverages in wine gallons. To convert liters to wine gallons multiply the quantity in liters by 0.264172. Round the resulting figures to the nearest gallon.

SALES AND TAX LIABILITY

I hereby certify that this return, including any accompanying schedules and statements, has been examined by me and to the best of my knowledge and belief is a true, correct, and complete return.

Make check or money order payable to State Board of Equalization.

Always write your account number on your check or money order. Make a copy of this document for your records.

SCHEDULE A - SUMMARY OF WINE IN BOND

(TRANSFERRED, EXPORTED, AND IN INVENTORY)

INSTRUCTIONS - WINEGROWER TAX RETURN

Payments: You can make your payment by paper check, Online ACH Debit (ePay) or by credit card. To use ePay, go to our website at www.boe.ca.gov, click on the eServices tab and log in to make a payment. To pay by credit card, go to our website or call 800-272-9829. Mandatory EFT accounts must pay by EFT or ePay. Be sure to sign and mail your return.

GENERAL

The California State Board of Equalization (BOE) administers the California Alcoholic Beverage Tax Law, which includes the state excise tax on wine as defined by Business and Professions Code section 23007. The tax rates as they relate to wine are shown on this return.

Report all alcoholic beverages in wine gallons. To convert liters to wine gallons, multiply the quantity in liters by 0.264172. Round the resulting figure(s) to the nearest gallon.

FILING REQUIREMENTS

Every licensed winegrower or wine blender shall, on or before the fifteenth day of each month, or on or before the fifteenth day of the month following the close of such other reporting period authorized by the BOE, file a tax return of all sales of wine for the reporting period. A return must be filed each reporting period regardless of whether any tax is due. The report must be completed in every detail and supported by the necessary supplemental report on BOE-269-A. A remittance for the amount due as shown must accompany the return. A duplicate of the return should be retained on the licensed premises for verification by the BOE auditors.

INTEREST AND PENALTY FOR LATE FILING

California law imposes a penalty for the late filing of this return regardless of whether any tax is due. The penalty for late payment of tax is 10 percent (0.10) of the amount of tax due together with interest on the tax from the date on which the tax is due and payable until the date of payment. The penalty for the late filing of this return is $50.00. The penalties imposed shall be limited to either $50.00, or 10 percent (0.10) of the amount of tax due, whichever is greater. The BOE is authorized by law, for good cause, to extend the time for the filing of this return not to exceed one month. Any request for an extension should be made in writing and addressed to the BOE in Sacramento.

PREPARATION OF RETURN

Regulations 2558 and 2559 may require you to adjust how you report your wine gallons. Wine gallons reported on this return should only include wine as defined by Business and Professions Code section 23007 and wine gallons from products listed on the BOE website at www.boe.ca.gov/sptaxprog/pdf/product_list.pdf as meeting the presumption set forth in Regulation 2559. Wine that does not meet the definition of Business and Professions Code section 23007 and not listed on the BOE website should be reported on your distilled spirits return.

Line 1. Removed from internal revenue bond on payment of tax. Enter the total gallons of wine removed from internal revenue bond on which you paid the Federal Internal Revenue Tax.

Line 2. Imported into California. Enter the total gallons of wine imported into California. This amount must be supported by a completed BOE-269-A, Beer and Wine Imported into California (Report). Report wine received in customs bond and internal revenue bond in the reporting period in which the shipments are received. Imports in or bulk transfers to internal revenue bond are not taxable at the time of receipt or transfer. A deduction should be taken on line 6 for the in bond quantity.

Line 3. Out-of-state winegrowers - Shipped directly to California residents under wine direct shipper permit. Out-of-state winegrowers: Enter the total gallons of wine sold and shipped directly to California residents under a direct wine shipper permit on which California state excise tax has not been paid.

Line 4. Totals. Add lines 1, 2, and 3.

Line 5. Federal tax-paid wine exported. Enter the total gallons of federal tax-paid wine exported or sold for export from California. Documents supporting the claim for exemption must be retained on the licensed premises for verification by the BOE auditors for all transactions included in the claimed amount.

Line 6. Imported in or bulk transfers to U.S. Internal Revenue bond. Enter the total gallons of wine included on line 2 on which the Federal Internal Revenue Tax has not yet been paid.

Line 7. Federal tax-paid wine sold for industrial use. Enter the total gallons of federal tax-paid wine sold for use in the trades, professions or industries for other than beverage use.

Line 8. Other exemptions. Enter the total gallons of wine which are exempt from the state excise tax during this reporting period not claimed elsewhere. You must attach supporting documentation explaining why the transactions are exempt from tax.

Line 9. Total exemptions. Add lines 5 through 8.

Line 10. Taxable sales. Subtract line 9 from line 4 and enter total gallons in each column.

COMPUTATION OF TAX

Line 12. Amount of tax. Multiply line 10 by the rate of tax shown on line 11.

Line 13. Total tax. Add columns A, B, and C of line 12.

Line 15. The interest rate is noted on line 15 on the front of the return form and applies for each month or portion of a month after the due date.

Line 16. Total amount due and payable. Add lines 13, 14, and 15 and enter the total amount due and payable.

SCHEDULE A - Summary of Wine in Bond (Transferred, Exported, and in Inventory)

Enter the total gallons of wine transferred in bond to other wine cellars or exported in bond as reported on your federal tax reports. Also show the amount of in bond wine remaining on your premises at the end of the reporting period.

If you need additional information, please contact the State Board of Equalization, Special Taxes and Fees, P.O. Box 942879, Sacramento, CA 94279-0088. You may also visit the BOE website at www.boe.ca.gov or call the Taxpayer Information Section at 800-400-7115 (TTY: 711); from the main menu, select the option Special Taxes and Fees.