Sake

Sake is a unique product. In the eyes of the Alcohol and Tobacco Tax and Trade Bureau (“TTB”), it is regulated as a wine for labeling and advertising purposes under the Federal Alcohol Administration Act, but taxed as a beer under the Internal Revenue Code. 

Domestically-produced sake that is 7% alcohol by volume or greater typically requires a formulation approval. Imported sake that is 7% alcohol by volume or greater also requires a formula and generally also require sample analysis. 

Traditional sakes under the 7% alcohol by volume threshold generally do not require formula approval from the TTB, but will be subject to the labeling jurisdiction of the Food and Drug Administration (“FDA”).

In short, sake products are a minefield of potential regulatory issues that could span the jurisdiction of two or more government agencies. Importers of sake as well as domestic producers must remain aware of potential regulatory pitfalls to avoid potential violations from a labeling, advertising, tax, or formulations perspective.

Sake: Services

Lindsey Zahn P.C. can work with your domestic sake facility, overseas sake supplier, or your importer company to determine the regulatory requirements to sell in the U.S. Among other services offered, the firm can assist with:

• Determine the most appropriate federal TTB permit(s) for your business
• Draft and file the federal basic permit application with the TTB 
• Update and amend TTB permits
• Draft and file state license applications
• Update and amend state licenses
• Draft and submit formulas to the TTB for products that require formulation
• Review proposed labels for compliance with federal regulations
• Represent you before the TTB during the COLA submission process
• Review proposed sake labels for compliance with FDA food labeling regulations or TTB labeling regulations (depending on which agency has jurisdiction)
• Provide ongoing legal compliance guidance

Recent Representations

Some recent representations include: 

• Advised an importer of sake with respect to formulations of imported sake at or above 7% alcohol by volume
• Filed formulas with TTB for sake products
• Oversaw the submission and approval of TTB-regulated sake labels
• Reviewed proposed labels for a sake under 7% alcohol by volume for compliance with federal FDA food labeling regulations

For more information about how Lindsey Zahn P.C. can help your company, please contact us at lindsey@zahnlawpc.com.

Prior results do not guarantee a similar outcome.