How to Make Brewers Tax Reporting Easier

How to make brewers tax reporting easier

Most breweries, every month, are required to submit production totals to the Tax and Trade Bureau in the form of a Brewers Report of Operations (TTB BRO). This can be a real hassle, especially if you’re a smaller brewery just getting started. In short, this reporting requires brewers to track their losses and variances, effectively accounting for all the fermented alcoholic beverages they’ve created, for tax purposes.

Thankfully, there are tools that can keep track of all this information in real time and historically, so you’re not having to write everything down or dig through a file cabinet to find and report historical data. Automating the process and keeping a more thorough accounting of what you’re brewing will not only save you time, but also money.

Automation, Transparency, and Efficiency

The beauty of having all of your production accounted for within an all-in-one solution, is that you don’t have to calculate all of your TTB BRO numbers after the fact. Taking the time to build all of your recipes in the system, then accounting for losses and variances during production as you go, enables the system to know exactly where your numbers are immediately.

So when you have to dump a batch or if the totals for a specific step in your process turn out to be less than expected, that’s totaled up in your database, ensuring that when you are ready to generate that report, the numbers are waiting for you. And even if something might be off a bit, the excel-based TTB BRO that’s generated will account for each different line-item. So if the numbers aren’t matching, you can dig into those details through direct links to the documentation in the system where things may not have been accounted for properly.

Even more, what can become complicated over time is the added complexity that comes with opening a taproom or expanding your distribution footprint. If you’re working with a contract brewery, using an off-site warehouse, brewing at multiple locations and/or have one or more taprooms, determining your tax determination can become more complex. Thankfully, these factors are built into the software, enabling you to set things just as you need them to be, ensuring you’re reporting the correct information.

The automation of your production numbers within the database not only provides greater transparency for your brewing process and assists in saving you money in avoiding unnecessary losses, it also helps breweries stay compliant with regulations.

Less Hassle and Better Insight

An important thing to remember is that keeping track of all this information isn’t an automatic thing – no software can do work for you. In the end, the greatest success you’re going to have within any software is to ensure that everyone is on the same page regarding your process – who enters what information, when, and to audit your data to make sure your numbers reflect reality.

Then the question becomes, do you want a reliable way to keep track of all your production totals or do you want to continue utilizing spreadsheets and notes to keep track of how much you’re brewing each month? Taking advantage of OrchestratedBEER’s TTB BRO functionality saves breweries time and money, making it a better way to “Conduct Your Craft.”