1. Skip to navigation
  2. Skip to content
  3. Skip to sidebar

Mises Economics Blog

Abolish the Alcohol and Tobacco Tax and Trade Bureau

May 28, 2006 1:38 PM by Laurence M. Vance | Other posts by Laurence M. Vance | Comments (22)

The Alcohol and Tobacco Tax and Trade Bureau (TTB) is the result of the division of the functions of the Bureau of Alcohol, Tobacco and Firearms (ATF). Tax collections functions of the ATF are now under the Department of the Treasury and law enforcement functions of the ATF are under the Department of Justice.

Do you think the price of gas is too high? Do you want to distill your own ethanol to add to your gasoline? Better not try it, you might be committing a federal crime. According to the TTB:

In recent days, we have seen several news items on people distilling ethanol at home to supplement their gasoline needs. Unfortunately, some of the reports do not inform the public that it is illegal to distill alcohol without first obtaining a Federal permit through the Alcohol and Tobacco Tax and Trade Bureau (TTB). Failure to obtain a Federal permit prior to engaging in this activity is a criminal offence under the Internal Revenue Code.
Federal law provides for the issuance of Alcohol Fuel Plant (AFP) permits for persons who intend to produce, process, store, use or distribute distilled spirits exclusively for fuel use. Persons wishing to distill ethanol for fuel use should contact TTB’s National Revenue Center at 513-684-3334 in order to apply for a permit. There may also be additional permitting requirements and other restrictions on the State and local level.

If the Republicans ever make good on their promises to cut back the government (I am not holding my breath), they can start by abolishing the Alcohol and Tobacco Tax and Trade Bureau.

Comments (22)

  • Tom Schofield
  • What was Ronald Regan's exact quote about nothing in this world so nearly approaching immortality as a government agency? The "revenueers", like the poor, we shall always have with us.

  • Published: May 28, 2006 3:02 PM

  • Curt Howland
  • Reagan certainly failed to live up to his election rhetoric. Even the one agency, the Education department, that he had specifically stated he wanted to abolish, over his tenure had its budget raised like everyone else's.

    That was the most frustrating thing about Ronny RayGun's tenure: He talked sooo "libertarian", and acted nothing like it.

  • Published: May 28, 2006 3:25 PM

  • Lee De Francesco
  • I never understood why the Feds found it neccessary to regulate tobacco and alcohol. Even State regulation goes against my grain. I guess it has to do with America's Purintanical roots. Might as well throw gambling in the discussion too.

  • Published: May 28, 2006 9:08 PM

  • Chris Marshall
  • Alcohol Tobacco and Firearms should the name of a store, not a government agency.

  • Published: May 29, 2006 5:29 AM

  • J Henderson
  • Producers of ethanol must add an extra step to the manufacturing process. They must poison the ethanol by adding gasoline, methanol, or other toxic substances to render it undrinkable. This denaturing step is necessary to avoid the liquor tax of $20 per agallon.

  • Published: May 29, 2006 10:08 AM

  • Tom Schofield
  • "Alcohol, Tobacco & Firearms" sounds like a grand idea for a retail operation. Any idea how many federal, state, and local permits would be required to open such a store? For that matter, is there any juristiction in the U.S. that would countenance this combination of useful goods?

  • Published: May 29, 2006 12:11 PM

  • ashley
  • In the first and last cases, alcohol beverage stakeholders had a big say in the final outcome. The Administrator explains that such private sector involvement is part and parcel of our governing process. The governed and the governors work together in a "reasonable and fair regulatory process."

  • Published: July 8, 2006 4:08 AM

  • ashley
  • I was about to write such thing not to abolish alcohol and tobbaco tax but after reading the whole post and comment i suspect it should be abolished.

  • Published: July 15, 2006 12:28 AM

  • Curt Howland
  • Ashley, such "partnerships" are the rule in every field. Doctors chair the medical regulatory boards, lawyers run the bar associations, the railroad commission is made up of the owners of the railroads, etc etc etc. Government regulation always results in vested interests protecting their own interests. Individuals, you know, the PEOPLE, are the ones left out of the process. It is a nullification of the market process of deciding what is and is not desired by consumers.

    Aspartame and the FDA is an excellent example. Pushed through by Rumsfeldt as a political move that has certainly paid off for both he and the chemical company who created it.

    As an aside, there is an effort to legally reclassify aspartame into the same category as "spices" so it doesn't have to be listed in the ingredients on food products. Funny thing, consumers have been choosing NOT to buy aspartame-treated products, and that is not good for sales. More "government-business partnership" at work.

  • Published: July 15, 2006 8:17 AM

  • Pozycjonowanie
  • I was about to write such thing not to abolish alcohol and tobbaco tax but after reading the whole post and comment i suspect it should be abolished.

  • Published: October 28, 2006 9:02 AM

  • Milf Orgy
  • I was about to write such thing not to abolish alcohol and tobbaco tax but after reading the whole post and comment i suspect it should be abolished.fgd

  • Published: November 12, 2006 5:59 PM

  • Brautkleider mieten
  • Hi, I think you all can be happy not to be here in germany. Here tax on alcohol and on tobbaco is much higher. For example: one litre gas: round about 2 $ (tax of 70%), pack of cigaretts 5$ (tax of 80 %). So situation in the states is far away from situation in germany.

  • Published: January 3, 2007 9:11 AM

  • Sam
  • Wait a tick didn't I read a Libertarian article complaining about how ethanol is being added to petrol causing engines to corrode and stuff up and it was a Greenie conspiracy against car owners?

    Secondly, I seen on MythBusters and a few other shows that diesel engines can run on cooking oil without any problems. Indeed the MythBusters show though did point out cooking oil efficiency is a tad below that of diesel.

    Thirdly, isn't distilling alcohol kinda dangerous or are reports of potential explosions urban myths?

  • Published: January 3, 2007 9:45 AM

  • nawadnianie
  • I was about to write such thing not to abolish alcohol and tobbaco tax but after reading the whole post and comment i suspect it should be abolished.

  • Published: May 14, 2007 7:46 AM

  • iluzjoniści
  • Aspartame and the FDA is an excellent example. Pushed through by Rumsfeldt as a political move that has certainly paid off for both he and the chemical company who created it.

  • Published: June 11, 2007 11:59 PM

  • myspace proxy
  • in my country 60% of price my famous alkohol (beer) is a tax. its too much i think

  • Published: June 24, 2007 2:30 PM

  • Hochzeitsvideo -dler
  • It´s hard: each country needs taxes, needs a lot of money and alcohol and tobacco is everywhere a good resource....... I think it is more important, what a state wants to do with the money... in germany is this the biggest problem....

  • Published: July 25, 2007 12:28 PM

  • Aminosäuren
  • Thanks for very interesting article. btw. I really enjoyed reading all of your posts. It’s interesting to read ideas, and observations from someone else’s point of view… makes you think more.

  • Published: September 19, 2007 12:28 AM

  • Jimmy
  • Thank you very much for sharing your information, need to read that book. Guys above, if you want a low tax country, go to ireland!

  • Published: October 7, 2007 5:36 AM

  • Sexlexikon
  • hey, have to read that book ,too. sounds nice!

  • Published: October 24, 2007 2:35 PM

  • Erotiklexikon
  • thx for the great stuff. ill buy that book!

  • Published: October 24, 2007 2:36 PM

  • Die Swadba
  • Alcohol, Tobacco and Firearms should the name of a store, not a government agency.

  • Published: November 26, 2007 9:41 AM

Post an intelligent and civil comment