ED 212-4 - Guidelines for Brewery Operations Beer Produced

March 1999

The quantity of beer reported as produced is to be that quantity packaged on each production day.

References

Excise Act, subsection 171
Brewery Regulations, sections 2, 3 and 5.
Departmental Brewery Regulations, sections 2, 4, 5 and 7.

Compliance

1.

(a) Produced beer is deemed to be beer that is put into packages.

(b) Notwithstanding subsection (a), where there is a continuous operation of packaging and removal from the packaging area, the daily production may be reported as the quantity of beer removed from the packaging area.

(c) Beer produced will include quantities of beer shipped in bulk determined by the use of approved meters or calibrated tanks.

2. All brewers are to notify and obtain the approval of the Superior Officer of Excise in respect of:

(a) the point at which they will establish their daily production; and

(b) the time of commencement and termination of their production day.

3. Brewers shall determine and record their daily production as a total of:

(a) the quantities of beer shipped in bulk determined by the use of approved meters or calibrated tanks computed to the nearest lower litre;

(b) the reputed content or established nominal volume of kegged beer; and

(c) the reputed content stated on the label of beer packaged in bottles, cans and spheres.

4. Brewers are to determine their daily production of spheres, bottled and canned beer to the nearest tenth of a litre by:

(a) multiplying the reputed content of each sphere, bottle or can by the number of spheres, bottles or cans in each package and by the number of packages produced, divided by 1000; or

(b) multiplying the reputed content of each sphere, bottle or can by the number of spheres, bottles or cans in each package, divided by 1000 and multiplied by the number of packages produced.

5. The reputed content or established nominal volume on keg and barrel production will be determined as follows:

(a) Single Aperture Kegs

(i) The net content of single aperture kegs will be based on the reputed contents as defined by the keg manufacturers specifications.

(ii) Prior to the introduction of any new size container, the brewer will supply Excise with sufficient technical information to enable a reputed content to be established.

(b) All Other Kegs

(i) All other kegs must have a clearly established nominal volume, mutually agreed upon by the brewer and the Regional Excise office.

(ii) Nominal volume will be established on a representative sample of each size container or package size in the licensee's pool of kegs.

(iii) The nominal volume will be review/verified by Excise on an annual basis.

6. Pursuant to section 5(a) and (b), daily production of kegged and barrelled beer will be calculated to the nearest tenth of a litre by multiplying the reputed content or the established nominal volume by the number of kegs and barrels filled.

7. The daily production determined and computed pursuant to Section 3, upon which duty is payable, may be reported as the total daily beer produced to the nearest lower complete hectolitre for calculation of duty liability and revenue.

This supersedes Circular ED 212-4, dated March 1987.

THE INFORMATION IN THIS CIRCULAR DOES NOT REPLACE THE LAW FOUND IN THE EXCISE ACT AND ITS REGULATIONS. IT IS PROVIDED FOR CONVENIENCE OF REFERENCE ONLY. AS IT MAY NOT COMPLETELY ADDRESS YOUR PARTICULAR OPERATION, YOU MAY WISH TO REFER TO THE ACT OR APPROPRIATE REGULATION, OR CONTACT ANY REVENUE CANADA TAX SERVICES OFFICE FOR ADDITIONAL INFORMATION.