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TTB Clarifies Trade Practice Enforcement During COVID-19

Given the circumstances of the alcohol industry under COVID-19, the Alcohol and Tobacco Tax and Trade Bureau (TTB) has made clarifications to the application of the trade practice provisions from the Federal Alcohol Administration (FAA) Act.

The TTB will allow the return of products that were to be used at cancelled events, temporarily extend the allowable credit terms for retailers from 30 to 120 days, and temporarily allow industry members to make donations to charities that support alcohol beverage retailers or their employees. The bureau also clarified that industry members may provide hand sanitizers to consumers, or donate prepaid gift cards to consumers, as long as the card is not tied to a retailer.

Source: Alcohol and Tobacco Tax and Trade Bureau, May 2020