[Code of Federal Regulations]
[Title 27, Volume 1]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 27CFR24.77]

[Page 540]
 
            TITLE 27--ALCOHOL, TOBACCO PRODUCTS AND FIREARMS
 
 CHAPTER I--BUREAU OF ALCOHOL, TOBACCO AND FIREARMS, DEPARTMENT OF THE 
                                TREASURY
 
PART 24--WINE--Table of Contents
 
         Subpart C--Administrative and Miscellaneous Provisions
 
Sec. 24.77  Experimental wine.

    (a) General. Any scientific university, college of learning, or 
institution of scientific research may, without payment of tax, produce, 
receive, blend, treat, and store wine for experimental or research use, 
but not for consumption (other than organoleptic tests) or sale, and may 
receive wine spirits without payment of tax in quantities as may be 
necessary for the production of wine.
    (b) Qualification. An institution that wants to conduct experimental 
wine operations must apply in letter form to the appropriate ATF 
officer. The application will show the name and address of the 
institution, the nature, extent, and purpose of the operations to be 
conducted, describe the operations and equipment and the location at 
which operations will be conducted (including identification of the 
building or buildings, or portions thereof, to be used), and the 
security measures to be provided. If wine spirits are to be used, that 
fact will be stated together with the estimated annual requirements in 
proof gallons. A secure place of storage under lock will be provided for 
such spirits and will be described in the application.The applicant 
must, when required by the appropriate ATF officer, furnish as part of 
the application, additional information that may be necessary to 
determine whether the application should be approved. Operations may not 
begin until authorized by the appropriate ATF officer.
    (c) Procurement of spirits. Where the approved application provides 
for the use of wine spirits in experimental wine operations, such 
spirits may be procured to the extent stated in the approved qualifying 
application. However, an application will be filed with the appropriate 
ATF officer and authorization obtained for each wine spirits 
procurement.
    (d) Records. All approved qualifying documents and applications will 
be retained in the files of the institution and will be exhibited on 
request to appropriate ATF officers. No reports concerning wine or wine 
spirits need be filed unless required by appropriate ATF officer, but 
records appropriate to the experiments to be conducted and records 
documenting the disposition of the wine and wine spirits will be 
retained and will be made available for inspection by appropriate ATF 
officers. If wine spirits are used, the records will show the quantities 
of spirits received and used each day.
    (e) Discontinuance. When an institution discontinues experimental 
wine operations, all remaining wine or wine spirits will be disposed of 
either by destruction or shipment to premises authorized to receive wine 
or wine spirits. A letter application will be filed with the appropriate 
ATF officer and authorization obtained prior to the destruction or 
shipment of the wine or wine spirits. When the authorized destruction or 
shipment has been completed, a letter notification will be sent to the 
appropriate ATF officer. (Sec. 201, Pub. L. 85-859, 72 Stat. 1331, as 
amended (26 U.S.C. 5042))

(Approved by the Office of Management and Budget under control numbers 
1512-0292 and 1512-0298)

[T.D. ATF-299, 55 FR 24989, June 19, 1990, as amended by T.D. ATF-409, 
64 FR 13683, 13684, Mar. 22, 1999]

                                Formulas