DISCONTINUANCE OF JANUARY 1 INVENTORIES
OF TOBACCO MATERIALS, TOBACCO PRODUCTS,
Manufacturers of tobacco products:
Purpose. The purpose of this industry circular is to advise you of the
discontinuance of the furnishing, on Form 2130 or 2131, of an inventory of
tobacco materials, tobacco products, and tax stamps, held in each factory as
of January 1 of each year.
Background. In the past, the Internal Revenue Service has required manufacturers of tobacco products to furnish inventories, as of January 1 of each
year, of tobacco materials, tobacco products, or tax stamps. In recent years,
such inventories have been used principally for the compilation of statistics,
particularly in the area of "tobacco materials used."
Determination. It has been determined to discontinue the compilation and
release of statistics relating to tobacco materials used in the manufacture of
tobacco products. This determination is based upon the finding that such
statistics have Lost their usefulness. Because of this and the desire to effect
economies by eliminating requirements and services no longer considered
necessary, the general furnishing of such inventories, as of January 1 of each
year, of tobacco materials, tobacco products, and tax stamps, is hereby discontinued. This determination is not intended in any way to modify the provisions of regulations in 26 CFR 270.141(c) or 275.131(c).
Inquiries. Inquiries regarding this circular should refer to its number
and be addressed to the office of your assistant regional commissioner
(alcohol and tobacco tax).
Dwight E. Avis
Director, Alcohol and Tobacco Tax Division